The Government of Rwanda and the European Union have today signed a financing agreement worth € 20 million (approximately Rwf17.4 Billion) to support accountable economic governance.
The grant will specifically help to improve the governance of public funds by strengthening the organizational and operational capacity on public finance, revenue mobilization and audit in three key institutions, namely; Ministry of Finance and Economic Planning, Office of the Auditor General and Rwandan Revenue Authority.
The support will also improve evidence-based policy-making and monitoring in Rwanda by enhancing the capacity of the National Institute of Statistics (NISR) and the overall National Statistical System (NSS) to collect and process good-quality and timely statistics that can inform decision-makers during policy and strategy formulation and evaluation.
“Accountable Economic Governance is one of the top priorities for the Government. We acknowledge the role of PFM reform in ensuring efficiency, effective and accountable use of public resources as a basis for economic development and poverty eradication through improved service delivery,” Claver Gatete, the Minister of Finance and Economic Planning said.
Public finance management is an important aspect in accounting for country resources to benefit the citizenry. EU regards Rwanda as the leader in sub-Saharan Africa in terms of proper use of donor money. We have high confidence in the country systems,” Michael Ryan, the EU Ambassador to Rwanda said.
This €20 million grant is part of the EU’s €460 million package of support to Rwanda signed in September, 2014 with European Commission in Brussels.
Under the donor Division of Labour, European Commission is active in the Agriculture (including feeder roads), Energy and Decentralization & Governance, Social Protection and provides support to the PFM basket fund.