COVID-19: CHOGM postponement deals Rwanda’s service sector a heavy blow

The postponement of the Commonwealth Heads of State and Government Meeting (CHOGM), which was scheduled for June 21st this year, dealt a heavy blow to Rwanda's service sector. The private sector had made significant investments in preparation for the event, only to be met with disappointment when the meeting was rescheduled. Theoneste Ntagengerwa, Spokesperson of the Rwanda Private Sector Federation, shed light on the extent of the impact and the current state of the sector in an interview with CNBC Africa. Ntagengerwa highlighted the various investments made by players in the private sector, from upgrading facilities to expanding services to accommodate the expected influx of visitors. Despite the setback, he expressed optimism that the sector would bounce back once the event takes place. The postponement of CHOGM also raised questions about the readiness of SMEs to tap into new markets and leverage opportunities in the African Continental Free Trade Area (AfCFTA). Ntagengerwa emphasized the importance of supporting SMEs through access to finance and incentives to ensure they can benefit from the emerging opportunities. The interview delved into the potential for partnerships and market expansion in Rwanda, particularly with the recent formation of a company in the Central African Republic. Ntagengerwa underscored the need for collaboration and strategic investments to capitalize on the growing opportunities within the region, emphasizing the importance of preparedness and adaptability in the face of changing circumstances. As Rwanda navigates the challenges posed by the postponement of CHOGM and explores new avenues for economic growth, the resilience and proactive approach of the private sector will play a pivotal role in shaping the country's service industry. With a focus on supporting SMEs and fostering an enabling environment for business growth, Rwanda aims to position itself as a key player in the evolving landscape of regional trade and investment.