The funds, according to the World Bank were approved under the International Development Agency, a concessional lending arm of the bank.

"The Rwandan government is very happy with the funding from the World Bank and the money will help the country to become the regional ICT hub," Murenzi said.

The bank said the volume of international bandwidth connected to Rwanda is expected to triple and the price of the bandwidth is expected to fall by 50 percent.

The regional infrastructure program in Rwanda is expected to promote investment and competition among local ISPs.

The World Bank has already released $4 million to Kenya to support online content generation for the government and the private sector. The bank has also set aside $50 million for ICT infrastructure development, connectivity, skills development and capacity building for Nigeria.