The Deputy Chamber Budget Committee has on Wednesday presented before the plenary sitting a report on the State’s 2017/18-2019/20 Budget Framework Paper.
The report was submitted by Constance Rwaka Mukayuhi, the President of State’s Budget Committee at the Parliament’s Consultative Meeting for further assessment.
Reference to the report’s analysis, Mukayuhi predicts that Rwanda’s economy could increase from 6.2 per cent in 2017 up to 6.8 per cent in 2018 as the budget could also increase next year in comparison with this year.
She said, “The state’s budget obviously is and will keep increasing, even in 2018, despite yet reaching the targeted budget”
There has been a 7 per cent increase between 2014/15 and 2016/17 state budgets while it could also rise to between 7 and 12 per cent during the next two years’ budgets.
According to the April 2017 report, the 2016/17 budget has reportedly been used by public institutions at 86 per cent so far.
On the other hand, there has been a decrease of donors’ support as 83 per cent of the total 2017/18 budget, equal to Rwf 1,738 billion, will come from national revenues and loans, while only 17 per cent are from foreign donors.
“Rwanda is trying to adopt self reliance in its community by slowing down on basing on foreign financial grants in its budget planning,” said Mukayuhi.
The 2017/18 has been planned referring to the policies which are being implemented at the national level, basically Vision2020, Economic Development and Poverty Reduction Strategy (EDPRS) II, 7 Years Government Program (7 YGP) and at the international level basing on Sustainable Development Goals (SDGs).
The budget has been distributed mainly on different development sectors, with 21 per cent of the total budget, equal to Rwf 432.6 billion to spend on the country’s economic progress project while Rwf 328.6 (16 per cent of the total budget) billion will be funded on rural development .
The government will also inject 131.2 billion, corresponding to 6 per cent of the total budget, on Productivity and Youth employment while Rwf 972.6 billion, equal to 46 per cent, will be spent on Foundational Sectors.