Economic Development

SUSTAINABLE GROWTH FOR JOBS AND EXPORTS:

The Government of Rwanda has been pursuing a reform agenda focusing on enhancing the attractiveness of the country as an investment location for the past 16 years. Rwanda has made remarkable socio-political progress and implemented wide-ranging structural reforms in its economy. It has a well articulated and inspiring 2020 vision – that sees per capita GDP quadrupling over the next decade and a half.

The Government is committed to investing in core infrastructure and creating an enabling environment for the private sector to lead and participate in the development of key economic sectors to increase exports and sustain high economic growth creating jobs and prosperity for all Rwandans.

The following are the key priorities on which the government seeks to deliver for Rwandans.

Improving Energy, Transport, Water and ICT Infrastructure:

  • Energy sector: priority will be given to activities aimed at increasing the national power generation capacity through the hydropower and methane gas. Focus will also be concentrated on the intensification and extension of the national grid which will connect at least 350,000 customers to the national grid by 2012.
  • Transport sector: the government is engaged in a number of regional initiatives to improve connectivity of trade routes and reduce transport costs in order to support regional trade. Priority will be given to maintaining and rehabilitating the national road network, including feeder roads in rural areas to support commercialisation and value addition activities in agriculture. The Kigali International Airport, the Gisenyi and Cyangugu Airports will be upgraded.
  • Water resources, supply and sanitation services will be strengthened.
  • ICT activities related to the National Backbone program will be implemented. Activities which aim at reducing the cost of connecting to a telecommunication network will be supported.

The government will support the promotion of joint ventures and public private partnership (PPP) in the implementation of many of these activities.

Creating an enabling environment for private sector:

  • Through the Rwanda Development Board (RDB), the cost of doing business will be reduced through key administrative and licensing reforms and excellent investor care services to both foreign and domestic investors will be provided.
  • Government will continue to support the activities of the Private Sector Federation through capacity building initiatives and strengthening the Private Sector Federation’s Business Development Services (BDS), which aim at developing SMEs.
  • Other programmes will be implemented to address specific constraints facing SMEs include increasing access to finance, skills development and improving access to market information.

Modernising agriculture and improving the value chain:

  • Activities will be implemented to consolidate productivity gains from the crop intensification programme (land consolidation, increase use of fertilisers and improved seeds and enhance farmer extension services), water management and soil erosion control programmes.
  • Priority will also be given to activities aimed at building the technical and organisational capacity of farmers and cooperatives
  • The government will promote agribusiness and higher value addition activities in export crops such as tea, coffee and horticulture, and major food crops such as maize, rice, cassava and dairy products. In doing this, the value chain approach will be implemented and cross cutting support such as rural finance, infrastructure and marketing will be provided.

Promoting Industry:

  • Establishment of new industries through the development of the free economic zones and industrial parks to facilitate trade.
  • Priority will be given to activities to facilitate private sector participation, to increase productivity and value addition in the mining sector.

Improving customer care:

  • The government will continue to improve tourism infrastructure and attract private sector investment to diversify into other areas such as conferences.
  • Priority is being given to ensure that all sectors, services in particular, exhibit a very high level of customer care.
  • The government is working to foster the financial sector by increasing savings, developing capital markets, increasing access to long term financing and modernising the payments system.

Links

MINISTRY OF FINANCE AND ECONOMIC PLANNING BUDGET SPEECH FINANCIAL YEAR 2010/11VISION 2020 EDPRS