Netherlands supports Rwanda's local infrastructure with 30 million euros

The Government of Rwanda and the Kingdom of Netherlands Monday inked a financing agreement worth 30 million euros towards support of Rwanda's basic infrastructure projects in districts.

The grant is expected to contribute to the achievements of Rwanda national targets of poverty reduction and economic development.

It is in line with the long-term partnership between Netherlands and Rwanda in the area of decentralization in general and local economic development in particular since 2007, according to officials.

"This support fits in well with Rwanda's development programs and country system, the results of this collaboration will contribute to poverty reduction and connect local communities to economic opportunities," Frederique de Man, the Ambassador of Netherlands to Rwanda said.

Claver Gatete, Rwanda's Minister of Finance and Economic Planning, said priority will be given to income-generating and economic infrastructure projects, while all projects will be selected based on the District Development Plans.

"In line with Government's decentralization policies and strategies, the project will allow local government to implement local priorities, thus making them also more responsive to the specific local needs and enhancing local accountability," he said.

Local economic development strategy has been adopted by the government of Rwanda to guide districts in the process of developing their local economies through wealth and job creation.

In order to fulfill this mandate districts see the need to invest in infrastructure that makes their cities attractive for people and private investors.

Eligible investments are those infrastructure projects that fit the districts own contexts, align to their economic potentialities and development plans such as market infrastructure, irrigation, community based post-harvest facilities, road infrastructure, agricultural infrastructure (terraces) drainage, solid waste management, water and sanitation, access to energy among others.

All the 30 districts of Rwanda will benefit from this grant with main focus to poorest and densely populated districts, officials said.

Local administrative entities Development Agency (LODA) as a government institution mandated to coordinate the financing of development projects in decentralized entities will manage the funds.

Netherlands interventions are in Decentralization and Governance, Private Sector Development, Justice, Reconciliation, Law and Order Sector, and water & sanitation. Endit