Heineken & IFC collaborate to expand Rwanda’s Bralirwa Brewery

On April 22, the World Bank Board of Directors approved a $25 million IFC investment in Brasserie et Limonaderies du Rwanda Ltd. (“Bralirwa”). Bralirwa is the leading beer brewer in Rwanda with more than six beer brands and seven Coca-Cola brands, and is owned for 75% by Heineken N.V., one of the largest brewers in the world.

The IFC’s senior loan is part of a larger Bralirwainvestment of $50 million that supports the company’s capacity expansion program over the next few years.

The collaboration between Heineken and the IFC is mutually beneficial. Heineken and the IFC share the same goal of increasing capacity, profitability, and employment opportunities directly, and making a positive indirect impact by strengthening the supply chain and increasing the demand for raw materials. The partnership envisions the following development impact:

  1. Farmer Benefits: Heineken has committed to local sourcing from hundreds of thousands of farmers, in emerging markets broadly and Africa in general. Through its small-holder initiative, Bralirwa is committed to a four year program to increase food security and improve livelihoods of maize producers in Rwanda. The program aims to provide training to farmers on maize cultivation and strengthening producer groups. The Company is looking to partner with the advisory services unit of IFC to meet this objective.
  2. Job creation and private sector development: Bralirwa is among the top private employers in the country offering over 700 direct employments in two locations in the country. The proposed Project is expected to create numerous jobs related to the establishment and operation of the new facilities and support establishing and/or growth of a number of local ancillary businesses along Bralirwa’s supply chain and distribution systems. Bralirwa’s adherence to equitable compensation and safety standards creates benefits reaching far beyond mere employment.
  3. Government revenues and economic development: Bralirwa is a major contributor to the domestic economy in Rwanda and it is expected that the extra capacity funded by the proposed Project will result in higher contribution to the Rwandan economy.

More detailed information on this collaboration can be found on the IFC website.

Bralirwa - better future