The Rwandan government requires at least Frw 518.58 billion (approximately US$ 415 million) to recover from physical damages and economic losses caused by recent floods and landslides, according to the recent landslides and floods damage and needs assessment.
Presented at the 82nd Development Partners Coordination Group (DPCG), a quarterly forum which brings together senior Government officials and Development Partners to discuss development related matters, the post-disaster needs assessment indicated that, to revive economic activities, employment opportunities, social protection & food security, the infrastructure sector will require Frw 388.37 billion, social sector will need Frw 107.5 billion, while Frw 14.5 billion will be needed by the productive sectors (including agriculture, trade and industry) to fully recover. Meanwhile cross-cutting needs such as disaster risk management, gender and social protection will need about Frw 8 billion.
The valuation also noted that damages and losses caused by the floods amount to an estimated Frw 222.31 billion (US$ 193.32 million). Transport sector was the most hit accounting for nearly 60% of the total damages and losses, housing sector 12 %; environment and water resources management sector 12 %; and health sector losses are estimated at 8 %.
The Minister of State in charge of National Treasury, Richard Tusabe, chair of the DPCG forum said the meeting comes at a very critical moment when climate change effects continue to negatively affect the socio-economic livelihoods of Rwandans.
“Disasters are a clear demonstration of the effects of climate change on the lives of people. This calls for cooperation both at national and international level to ensure joint frameworks and interventions to reduce the severity of the climate change associated hazards to our Countries,” Minister Tusabe said.
Ms. Aissa Toure Sarr, African Development Bank Country Manager and DPCG co-chair, acknowledged Rwanda’s progress on climate action despite the socio-economic impact of the recent disasters. She assured Development Partners continued support the Green growth agenda and aligning efforts.
“We would like to highlight the importance of a renewed focus on the green growth and inclusion agenda. The COVID-19 pandemic had reeling effects, alongside other existing and emerging challenges which heightened poverty and vulnerabilities. Noting this, the Development Partners are willing to support green growth and inclusion agenda as part of the next medium term plan agenda,” Ms. Toure Sarr said.
Impact on Growth
Direct effect of flooding is expected to reduce production by an estimated US$ 31.1 million (approximately Frw 36.1 billion) leading to an estimated decline in growth of about 0.17 percent. Indirect effect, which reflects additional production losses resulting from massive damage of key assets and infrastructure (estimated at US$ 159.7 million or Frw 186 billion) will further reduce real GDP growth by about 0.23 percent.
Consequently, total losses and damages are expected to reduce the 2023 real GDP growth to 5.8 percent compared to the 6.2 percent projected before the disasters, a notable decline from the growth rates of the post-COVID-19 pandemic.
On the night of May 2-3 2023, heavy rains triggered floods and landslides causing severe damage and loss of life in different parts of Western, Northern and Southern Provinces. More than 130 lives were lost, leaving thousands homeless while infrastructure and crops were severely damaged. (End)