The City of Kigali budget for the 2020-2021 fiscal year has decreased by 19 per cent due to the effects of the novel coronavirus.

During a presentation to the city’s advisory council on Monday, June 29, the Commission in charge of Economic planning and Development stated that the 2020-2021 budget is 100 billion as opposed to 124 billion in 2019-2020.

Antoine Mutsinzi, who heads the Commission in charge of Economic Planning told the advisory council that the budget has decreased. 

For the last four years, Rwanda has been receiving Rwf24 billion as a loan from Exim bank to carry out Kigali Urban Road Upgrading project. The loan facilitated the City of Kigali to upgrade major roads in the city. The loan stopped being issued this year and has partly led to the fall in the 2020-2021 budget.

Mutsinzi also said that the budget was not fully implemented since only 76 per cent was executed.

The city expects to raise the 2020-2021 budget from taxes and fines, disposal of assets, loans and others government agencies input. It expects a loan from the World Bank worth 12 billion.

Education is a priority

In the 100 billion 2020-2021 budget, 25.1 billion will be spent on advancing education. 1634 classrooms along with washrooms, worth 4.6 billion will be constructed.

The money will also be invested in resources that reduce overcrowding in schools. For secondary schools, the city of Kigali plans to construct storied classrooms to preserve land and increase classrooms at the same time.

Housing and urban development has 9.8 billion reserved for it.

During the presentation, Mutsinzi highlighted that "Although City of Kigali has 1.6 million population according to Integrated Household Living Conditions Survey (EICV 5), the city needs to be prepared in terms of housing and urban development in order to be able to accommodate 1.4 million more of the population expected in 2040.”

Health and transport infrastructure are among other areas of focus in the 2020-2021 budget with 5.7 billion and 7.7 billion in that order.

Other priorities include social protection and good governance that has 7 billion in total.

Uncompleted projects in the 2019-2020 fiscal year that account have been postponed to 2020-2021. The majority of them are roads, water and sanitation mega projects.

The city of Kigali has a vision to become a model city in Africa in 2050.