MSMEs GO DIGITAL: EXPANDING E-COMMERCE IN RWANDA

In 2021, during the COVID-19 lockdowns, the United Nations Capital Development Fund (UNCDF) in partnership with the Ministry of ICT and Innovation (MINICT) and the ICT Chamber piloted the ‘MSMEs Go Digital project’ to onboard micro-, small- and medium- sized enterprises (MSMEs) to e-commerce platforms to improve their sales, drive more customers to buy online, while promoting awareness of e-commerce and building digital literacy within the wider community.

In an assessment done in 2022, it was indicated that over 1,200 new MSMEs had been onboarded to e-commerce platforms. Some of these include VubaVuba, Murukali, Olado, Imigongo and Mariketa, exceeding the target of 1,000 MSMEs that was set out as the initial goal.

Tadhim Uwizeye is the founder and CEO of Olado Business Group, an e-commerce enterprise that she co-founded in 2017 with a mission to change and make the Rwandan shopping experience easier through e-commerce. Her platform, Olado, is one of the e-commerce platforms that played a key role in onboarding MSMEs to digital commerce through the ‘MSMEs Go Digital Project’.

“Being supported by the project has pushed us ahead. We are trained on the basics of building a successful business but more importantly we are given access to a network of other startups whom we could exchange ideas. We were able to secure basic support from different partners who appreciated our initiative, and we are now a recognized e-commerce platform, with promising opportunities ahead.” said Tadhim.

Many businesses and platforms expressed the need for digitalization, as well as optimism that growth will begin once the initial stages of the onboarding process are completed.

The assessment made also highlighted the key achievements and lessons learned from the pilot that can be applied to projects that aim to boost e-commerce both in Rwanda and globally, given the growth in interest in digital transformation for both businesses and clients.

The project was seen as helpful in not only awareness raising, but in building trust in digital sales and showing the public how to access and purchase from e-commerce platforms. More information is available here