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Local Government Ministry Faces Rwf 34.5 Billion Funding Gap for Key Projects

by Editor
9 May 2025
in Economy
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Local Government Ministry Faces Rwf 34.5 Billion Funding Gap for Key Projects

The Parliamentary Public Accounts Committee (PAC)

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The Ministry of Local Government (MINALOC) says it requires more than Rwf 34.5 billion to complete ongoing and planned infrastructure projects for the 2024–2025 fiscal year. The funding gap emerged as the ministry reviewed its budget execution with lawmakers ahead of the fiscal year’s close in June.

Speaking during a virtual session with Parliament’s Public Accounts Committee (PAC) on May 9, MINALOC Permanent Secretary Bob Gakire said that while projects valued at Rwf 11.2 billion have already been completed, unfinished works requiring an additional Rwf 23.3 billion are still underway. He noted that some contractors have not yet been paid for completed infrastructure, while others are struggling to progress due to inadequate funding.

Among the projects facing shortfalls are road and transport infrastructure, with completed projects valued at over Rwf 5 billion and ongoing works worth Rwf 13 billion, amounting to Rwf 18.7 billion. In water and sanitation, completed works stand at Rwf 1.6 billion, while ongoing activities total more than Rwf 7.78 billion, bringing the category’s financial needs to Rwf 9.3 billion. Administrative facilities that bring services closer to citizens have also experienced funding delays, with Rwf 1.4 billion worth of infrastructure completed and projects valued at Rwf 1.2 billion still under construction, totaling over Rwf 2.6 billion.

Gakire added that the construction of health centers has consumed Rwf 1 billion so far, while projects still in progress are valued at Rwf 280 million, making the total cost Rwf 1.28 billion. Education infrastructure has seen completed projects worth Rwf 768 million, with another Rwf 176 million needed for ongoing school construction, for a combined value of Rwf 945 million. Agricultural initiatives remain largely pending, with projects worth Rwf 325 million yet to be implemented.

Despite the funding hurdles, Gakire said all projects related to sports and culture have been successfully completed.

PAC Chairperson Odette Uwamariya said lawmakers are taking the ministry’s concerns seriously and will engage the Ministry of Finance and Economic Planning (MINECOFIN) to explore budgetary solutions. “We recognize the gap and will follow up with MINECOFIN to find a way forward,” she said.

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