The overall objective of this programme is to consolidate the sustainable agricultural transformation in Rwanda, by (i) fostering Rwanda’s agricultural transition to socially and environmentally inclusive food systems and (ii) ensuring Rwanda’s environmental and climate sustainability. The project will contribute to Rwanda’s Nationally Determined Contributions objective on climate adaptation.
The programme also encompasses a Team Europe Initiative on ‘Sustainable and inclusive agricultural transformation’, built around the construction and development of the Kigali Wholesale market and related markets in secondary cities, as central components of highly productive and inclusive value chains.
Commenting on the development, the Minister of Finance and Economic Planning Dr. Uzziel Ndagijimana noted: “The financial support we just signed today is a timely contribution to our National Strategy for Transformation for modernization and strengthening the productivity of agriculture and livestock while promoting sustainable management of the environment and natural resources to transition Rwanda towards a Green Economy.”
EU designate Ambassador, Belen Calvo Uyarra also reaffirmed the good cooperation between Rwanda and the EU.
“The European Union has a long standing partnership with Rwanda and we are proud to be one of the key partners in the country’s path to sustainable development. With this strategy we renew the EU’s commitment to support pro-poor, sustainable and inclusive economic growth, by focusing on a green deal for agricultural transformation and achieving Rwanda’s climate adaptation goals,” he said.
The three-year Financing Agreement will reinforce Rwanda-EU bilateral cooperation and advance on common interests. The new cooperation will be implemented under budget support-sector reform contract and complementary support.
Budget support-sector reform contract (€52 million): The Budget support, via its performance indicators, will target progress achieved on farmer’s incomes and better services delivery to farmers at local level including land husbandry and climate-smart agricultural practices with a focus on agroforestry and landscape restoration.
Complementary support (€ 17 million): The complementary support encompasses a Team Europe Initiative component to support inclusive and sustainable high-value chains (horticulture and aquaculture) via a Contribution agreement with the Belgian Development Agency-Enabel, (€ 10 million) as well as Technical assistance (€7 million) to support the Ministry of Agriculture and Animal Resources, Ministry of Environment and related agencies in the policy design, monitoring and implementation.