In 2011, the BDF was established as a branch of the Development Bank of Rwanda (BRD) to support small and medium-sized enterprises through loan collateral, general fund management, capacity building, sacco leasing, and corporate leasing. of business start-ups and business advisory services.

The government merged into the BDF various funds that had been earmarked for small and medium enterprises that had been distributed to various ministries and agencies.
After the BRD was handed over to the private sector, the functioning and management of the BDF was revised in order to continue to assist small and medium enterprises in development.
The BDF is one of the key agencies in the implementation of the National Employment Program, and its activities are in line with that.

The mission of the BDF is to help small and medium enterprises get funding through various channels at low prices.

Loan management and collateral are handled in a comprehensive manner through contracts with financial institutions.