Rwanda’s rising tide of sustainable entrepreneurship

Rwanda has effectively positioned itself as a hub for innovation in Africa, with the government and private sector organizations working together to boost sustainable entrepreneurship efforts across the country. Entrepreneurs for Entrepreneurs, a program that focuses on supporting sustainable entrepreneurship, has been instrumental in driving this initiative forward. The General Manager of Entrepreneurs for Entrepreneurs, Bjorn Macauter, shed light on the program's impact during an interview with CNBC Africa's Murungi Sarah. The organization launched the Sustain for Africa program in 2018, starting in Uganda and expanding to Rwanda, Senegal, and Benin. The program prioritizes sustainable entrepreneurship, emphasizing the triple bottom line of people, profit, and planet. Macauter highlighted the significance of creating profitable companies that also generate value for society and prioritize ecological sustainability. The program not only provides expertise but also crucial access to finance, addressing a common challenge faced by African micro, small, and medium enterprises (MSMEs). By combining expertise and finance, Entrepreneurs for Entrepreneurs offers a comprehensive approach to supporting entrepreneurs. Macauter emphasized the importance of focus for young companies, noting that maintaining a clear focus on core business activities is essential for long-term success. He highlighted a common challenge of 'grantpreneurship,' where entrepreneurs become distracted by chasing after grants, leading them away from building sustainable businesses. As inflation rises and companies continue to lay off employees, the spotlight on entrepreneurship grows even brighter. Sustainable entrepreneurship efforts have become increasingly vital to drive economic growth and job creation. Collaboration plays a key role in fostering sustainable entrepreneurship. Entrepreneurs for Entrepreneurs collaborates with local partners and organizations to create a supportive ecosystem for African entrepreneurs. By mapping the local ecosystem and identifying complementary partners, the program ensures a coordinated effort to support businesses at various stages of growth. Partnerships with organizations and institutions like Enable, RDB, the University of Rwanda, and the Ministry of Environment further strengthen the entrepreneurial landscape in Rwanda. Policy changes can also significantly impact sustainable entrepreneurship efforts. Macauter highlighted the need for policies that promote sustainability and circularity, particularly in sectors like construction. By creating a level playing field and incentivizing sustainable practices, governments can drive the adoption of eco-friendly business models. Macauter emphasized the importance of customer preferences and the role of policies in aligning market forces with sustainability goals. Overall, Rwanda's focus on sustainable entrepreneurship, backed by collaborative partnerships and supportive policies, sets a strong foundation for economic resilience and innovation.