The European Union has provided a grant of 260Million to the country for four years to support its education sector, green environment and climechange sectors, as well as political and economic governance.
According to the Ministry of Finance and Economic Planning (MINECOFIN), the fund will be invested in severalsectorsincluding improving Early Child Development programs (ECD), skills empowerment for youth, Urbanization and settlement programs, controlling floods, and improving law enforcement institutions in the country.
The announcement was made today at the meeting of the European Union (EU), Ministry of Finance and Economic Planning, and MINECOFIN headquarters in Kigali.
The grant is part a program of the European Union called European Union Multiannual Indicative Program for Rwanda 2021-2027.
The MIP is designed to promote the mutual interest of Rwanda and EU over a six-year period. The grant of 260Million dollars will be used to support the projects for four year, from 2021-2024.
According to the MIP Rwanda has the potential, despite its small size, to become a regional hub to EU companies. Rwanda presents itself as an attractive destination for businesses, offering a zero-tolerance policy regarding corruption, high levels security and relatively good infrastructure.
The proposed initiatives should improve trade and investment opportunities for European private sector. This includes support for investment promotion in the pharmaceutical industry, as well as building Rwanda’s human capital through significant support to education. This is part of the MIP document.
Further, the MIP document says that the Green Deal program should ensure Rwanda continues its development along a sustainable path. This will underpin the country’s commitment towards the EUs climate and environment agendas.
EU support in key areas like human capital development, green economic through agriculture transformation, and private sector development is a sign that there has been strengthened collaboration, partnership, as well as enhanced ownership to bring about the transformational change we both desire,” Dr. Uzziel Nagijimana, Minister at MINECOFIN, said.
Myriam Ferran (Deputy Director-General, European Commission) stated that the support for the sector of political governance will consolidate rule of law and ensure Rwanda’s continued role in the Great Lakes region as a peaceful, stable partner.
The European Union has had a longstanding partnership in Rwanda. We are proud to be a key partner in the country’s journey to sustainable development. Ferran stated that this strategy renews the EU’s commitment to support pro-poor, sustainable and inclusive economic growth.
She said that the focus of the program will be on skills development as a precondition for investment and growth, green deal to transform agriculture, good governance, and private-sector development, which includes developing the pharmaceutical industry as an emerging high priority.
