Jali Finance Ltd, one of Rwanda’s fastest-growing financial institutions has raised $3million worth of investment from Variant Impact Fund, a US based investment company, to boost e-mobility programme.
The investment deal which was secured with support from Jali Finance’s local financial advisors was finalized through the signing of an agreement during the visit of Variant Impact Fund’s Principal Curt Fintel, to Rwanda in December 2022.
Jali Finance Ltd is a financial institution that has been operational for over years with a focus on motorcycle leasing. Since its inception in 2017, it contributed enormously to job creation through innovative credit approach.
By leasing motorcycles, Jali Finance has created over 700 jobs and impacted over 3,500 lives in various communities in Rwanda.
The firm ensured that its job creation efforts are aligned with environment protection and advancement of locally made products, hence building a growth strategy around promoting electric mobility (e-mobility) and sourcing local and African motorcycle suppliers for partnerships.
It is in this line that Jali Finance Limited received the investment financing to boost its e-mobility sector in the course of reducing the Greenhouse Gas (GHG) emissions in Rwanda.
In addition to reducing the GHG emissions, the investment is also meant to create more jobs as over 2,000 electric motorcycles are expected to be leased to youth before the end of 2023 and expected to impact over 10,000 lives in various communities in Rwanda.
The firm will help the country avoid 50,000 tons of carbon emission.
According to the CEO of JALI Finance, Felix Nkundimana, e-bike users have testified to extended advantages because the bikes help them to save significantly. For an amount of Rwf1,390 spent on a battery swap, an e-bike will travel 71 kilometres as opposed to just 37 kilometres that the fuel-based motorcycle will travel if an equal amount is spent on fuel.
E-bikes also help drivers save at least 25 per cent without counting about $200 per year spent on oil change.
Oscar, one of Jali’s early e-bike customers, speaks of what made him shift from a fuel-based motorcycle to an e-bike.
“A fuel-based motorcycle has numerous expenses tied to it. In addition to buying fuel, I had other regular expenses such as a weekly oil change and other service-related expenses,” he said.
He added that ever since he shifted to an e-bike, he noticed a significant increase in his savings.
“For instance, I manage to pay my children’s school fees on time, I save regularly in my savings group, and I gave my wife startup capital to launch her small business, which means that we now have more than one source of income at home,” he said.