Post 2015: Global Action for an Inclusive and Sustainable Future

in rwanda compared to an average of 32% of GDp
for SSa and 47% for the Eac.
tax revenue in rwanda was 12.1% of GDp in
2009, comparable to most of its neighbours in the
Eac. tax revenues are increasing due to consistent
(donor-supported) efforts by the rwanda revenue
authority to make the tax system more efficient. the
government has tried to tackle the comparatively
low levels of savings by introducing grassroots
savings cooperatives as a means to increase access
to credit and as a step towards increasing economic
inclusion. other means to mobilise domestic
resources for financing development include the
so-called Dignity Fund to mobilise voluntary
contributions, with plans to launch a Diaspora
bond. the government also seeks to establish an
Environment and climate change Fund to facilitate
access to international funds on the environment
and climate change adaptation.
rwanda’s government remains heavily dependent
on foreign aid, with oDa contributing 44.2%
of the national budget. total oDa stood at $322
million in 2000 and at $1,034 million by 2010.
the government budget has almost tripled over
the period of the first Economic Development and
Poverty Reduction Strategy (2007–2012). In 2010/11
the total aid was equivalent to 17.6% of nominal
GDp, which was lower than in previous years
and suggests that rwanda may be reducing its aid
dependency in relative terms even if the real value
of aid is increasing.
the government has prioritised the quality of
aid, and has openly criticised donors for their lack
of discipline in meeting disbursement schedules
and for the unpredictability of aid flows. the
government has taken the lead in coordinating
donors, and implementing the key principles of the
HlF aid-effectiveness agenda. the joint monitoring
of donor alignment, transparency and aid
predictability through a performance assessment
framework reflect that a number of oEcD donors
are not adhering to the principles. the European
commission is seen as an important contributor
to the objectives of predictability and ownership. It
has increased its budget support from 23% in 2008
to 70% in 2009/10, and is among the top performers
in terms of meeting disbursement schedules. Its
total 2008–2013 contribution to rwanda amounts
to €380 million. over two thirds of oDa went to the
traditionally non-productive sectors in 2010, and
aid for economic infrastructure represented 29%
of the total.
new development partners like china and
the arab Funds contribute most of their aid
to productive sectors, primarily in the form of
concessional loans and technical assistance. the
aid is often tied to goods and services in the home
country. Given the different nature of South–South
cooperation (SSc), the multiple Southern partners
are not integrated into the aid-effectiveness agenda,
although the government is encouraging china to
do so.
rwanda emphasises the importance of mobilising
additional foreign investment and resources through
aid for trade (aft) and funds to mitigate climate
change, but has no specific demands to the Eu in
this respect. Following donors’ recent decisions
to halt or reduce aid in response to allegations of
rwandan involvement in regional insecurity, the
government has criticised the unpredictability of
some of its development partners.
rates of internal and international migration have
been quite high. nearly 80% of rwandan migrants
are living in other Eac countries and just under
10% in the Eu, but the figures are unreliable.
although they remain low, remittances are growing
and the government is encouraging the diaspora to
contribute financial and technical resources to the
country’s development.
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