Rwanda secures EU funds to expand electricity supply

KIGALI (Reuters) - Rwanda signed an energy financing deal with the European Union on Tuesday worth 177 million euros ($200 million) that will help the government meet its target to ensure 70 percent of the population has access to power by 2018. In 2015, the government said just 23 percent of Rwanda's 11 million population could access the electricity grid or other off-grid sources. Broader access to power is seen as vital to boosting economic growth in Rwanda and across Africa. The five-year financing agreement, part of an overall package worth 460 million euros, aims to help improve the supply, transmission and distribution of electricity and managing the industry in Rwanda, the EU said in a statement. "Energy is one of the top priorities for the government of Rwanda," Rwanda's Finance Minister Claver Gatete said in the statement, adding that it was vital to reaching the nation's goal of achieving middle income status by 2020. The World Bank defines middle income as a nation with gross national income (GNI) per capita of more than $1,045. Rwanda's stood at $700 in 2014, according to the bank. (Reporting by Clement Uwiringiyimana; Writing by Edmund Blair; Editing by Louise Ireland)