The Government of Rwanda and The Federal Republic of Germany concluded cooperation negotiations that saw German donate €69.5 million equivalent to Rwf 60 billion, to support Rwanda’s economic development.

The donation will be invested in technical and vocational education, decentralization and financial sector development, respectively.

The Minister of Finance and Economic Planning highlighted that the contribution will enhance Rwanda’s economic development through capacity building and creating employment opportunities.

“Capacity building is a key strategic objective for the Rwandan government. The government of Rwanda will continue to undertake appropriate reforms to enhance business and investment,” said Minister Claver Gatete.

€38 million of the funds is allocated for Financial Coop­eration while €31.5 million will be invested in Technical cooperation in a three year framework {2015-2018}.

Both the Rwanda and Federal republic of German held two day negotiations on development co-operation and agreed to work on the post-2015 agenda for sustainable development.

The head of the German delegation, Mrs. Gudrun Grosse Wiesmann, regional director Sub-Saharan Africa, Federal Ministry of Economics and Development, said the donation was meant to support Rwanda’s progress in priority areas and targets for the Vision 2020 program.

The grant will be aligned to the Second Economic Development and Poverty Reduction Strategy (EDPRS II)

Mrs . Gudrun said Rwanda’s accountability and economic development were an attraction to cause international co-operation.

“Rwanda has made visible and tangible results in its social and economic development. Talking to the Auditor General as well as to representatives of local government and civil society demonstrated how all stakeholders contribute to improve accountable governance,” said Mrs. Wiesmann

Since 2006, Germany has financed different Rwandan projects worth €27 in health, education and infrastructure. In June, both governments signed €13.7 million grant to promote rural development and combat climate change.

Germany also contributes to Rwanda’s by $26m, a fund that had been suspended in 2012 following allegations of Rwanda supporting illegal militia in Eastern Congo, but was restored in 2013.

According to the Ambassador of Germany to Rwanda, both countries international relation are steady fast growing and bearing fruit.

“We seek to contribute to Rwanda’s development not only through supporting projects but also wooing Germany business world to invest in the country,” German Ambassador , Peter Fahrenholtz told KT press.

Sofa, Rwanda only has 10 major Germany run businesses in fields of energy, infrastructure, manufacturing, something that might change soon.

Meanwhile, the funds allocated to Technical and vocational trainings came in just in time Rwanda committed to investing more in Technical and Vocational Education and Training (TVET) schools.

The country has more than 307 TVET schools with at least 4 schools in each district. The national target is enrolling at least 60 % of students who graduate from nine-year basic education in to TVETS by 2017. The number still stands at 40 %.

 

By: Lillian Gahima