Rwanda’s agriculture sector gets 200M boost from EU


Rwanda’s agriculture is expected to remain the backbone of Rwanda’s economy as EU pledges to boost the sector with 200 million Euros.

The 200-million-Euro support to agricultural sector is part of the 460 million Euros earmarked for Rwanda’s development program.


The sector will improve in the areas of feeder roads, nutrition, and centralized and decentralized agriculture by 2020, following the funding.


Rwanda’s finance minister Claver Gatete said the agricultural sector was at the center of economic transformation, contributing to poverty reduction and economic growth.


The sector’s contribution to poverty reduction was around 50 per cent in the previous economic development strategy, according to Gatete.


Under the Second Economic and Poverty reduction strategy (EDPRS2) agriculture is expected to have a high impact on poverty reduction.


There has been a steady decline in agriculture employment share since 2012 reflecting increase in of farm jobs, agriculture still commands 33% of GDP.


The agricultural sector employs about 80 per cent of Rwanda’s population.


According to 2005 study, the sector has grown at an average of 5%.


“We like what is happening in agriculture sector, we like what the agriculture ministry is doing,” Ambassador Michael Ryan said, at the closing of the two-day second Comprehensive Agricultural African Development Program High-Level Stakeholders Meeting on June, 10 2014 in Kigali.


The envoy explained that they had been working closely with the Rwandan government and through the Ministry of Finance they had reached a consensus to channel a section of the funds through budget sector support.


During the CAAP I, Rwanda has been able to reduce poverty by 12% and agriculture is believed to have contributed over 60% to this success.


The sector is expected to grow by 7% and significantly contribute towards the targeted 28% export growth.


Rwanda’s agricultural sector in the next five years is also supported by organizations including the African Development Bank, the Private Sector Federation, DFID, Japan International Corporation Agency, USAID and the World Bank.



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