The Mitigation Action Facility’s E-Moto project
The Mitigation Action Facility supports and finances the innovative “Accelerating the deployment of electric motorcycles in Rwanda” (Rwanda E-Moto) project, which aims to transform the motorcycle taxi market, reduce climate emissions, and create employment opportunities. Implemented by the Rwanda Green Fund (RGF) and the Development Bank of Rwanda (BRD), with technical support from ICLEI – Local Governments for Sustainability, Africa (ICLEI Africa) and the Global Clearinghouse for Development Finance (GlobalDF), the E-Moto project has the objective to mobilise over USD 150 million in finance to increase the supply of e-moto taxis and their adoption by taxi operators.
There are 110,000 motorcycles in Rwanda, of which 70,000 are moto taxis with 25,000 operating in Kigali1. While moto taxis with internal combustion engine (ICE) play a vital role in the daily commute of residents, they contribute significantly to air and noise pollution as well as greenhouse gas emissions. Given its strong underlying economic benefits (40% lower operating costs and a doubling of operator income), the Rwandan e-moto sector is a catalyst for the country’s green economy.
Our E-Moto project has been designed to address both supply and demand barriers across the entire e-mobility value chain by utilising proven innovative financial instruments to unlock finance and innovative market cultivation approaches to create jobs, especially for women who are vastly underrepresented in the transport sector. It is anticipated that over 53,000 e-motos will be made available during the project’s duration. Other key outputs are increased female participation as operators, riders, and employees; improved waste management; and national replication.
How does it work?
The E-Moto Credit Enhancement Facility provides first-loss guarantees to unlock access to private finance.
The E-Moto Rebate Scheme provides selected low-income operators with subsidies to lower the costs of e-motos.
The E-Moto Partnership Group will facilitate public-private sector coordination and engage development partners for additional funding and risk mitigation support.
What has been achieved so far?
As the project is currently Implementation Phase 1 (IP1) to prepare for operation in February 2026, key developments include:
- Over 50 stakeholder consultations have been conducted verifying the essential need for the E-Moto project and the resolute commitment of all stakeholders, including government partners, e-moto companies, commercial banks, asset financiers, and waste recyclers. These meetings have reaffirmed the strong commitment of all parties across the public and private sectors towards achieving climate and development impact through job creation, especially for women.
- Deploying e-motos in Rwanda requires financing solutions that enable both e-moto deployment and adoption. As increased significant financing gaps impede the supply and adoption of e-motos, the ongoing consultations with the e-moto companies and asset financiers have underscored the core premise of the E-Moto project.
- The project’s structured finance approach received strong endorsement from the e-moto companies and asset financiers. The E-Moto project team has received over ten requests for financial advisory support from e-moto companies, asset financiers (banks, micro-finance institutions), and institutional investors.
- The importance of public-private coordination was reaffirmed in ensuring an enabling environment and regulatory framework for the e-moto sector. While the project team confirmed the government’s commitment to improving the enabling environment, meetings with government ministries and moto cooperative managers provided valuable insights into the need to enhance consumer safety and reduce the cost of e-moto leases and purchases.
Voices from the project’s stakeholders
Virtually all stakeholders have voiced the urgent need for targeted interventions that immediately increase the supply of e-motos and their adoption, including greater social inclusion.
“We cannot access finance now. With support from the E-Moto project, we will now be able to provide the e-motos to meet the high demand.”
— Senior manager, e-moto company
“We have a list of over 2,000 taxi operators who want to lease e-motos, but there is no supply, and we do not have the funds to lend people money.”
— Micro-finance manager, asset financier
“Women need to make money for their families but cannot afford to pay for an e-moto.”
What’s ahead
IP1 consultations have underscored the significant demand for e-motos and the need for finance. Currently, the E-Moto project team is developing a pipeline of transactions, operationalising the Rebate Scheme and E-CEF First Loss Facility, and cultivating the e-moto market to expand employment opportunities for low-income people, especially women. Through these IP1 activities, the E-Moto project is laying the foundation to secure high climate and development impact, with IP2 operations set to begin in February 2026.
Learn more
Read more about the project here.
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1 Information obtained from RURA