Agaciro Fund: Sign of dignity

Late last month, Rwandans launched, Agaciro Development Fund, a move set to raise more domestic resources to help accelerate economic development. Since its launch, less than fifteen days ago, over Rwf 5 billion has been raised.The Fund would not replace the traditional sources of state revenues, including donor aid, but will supplement them instead.John Rwangombwa, Minister of Finance and Economic Planning, has emphasised that the solidarity fund has been initiated by Rwandans to improve the level of financial autonomy of the nation which is the first of its kind in Africa.A walk in Kigali and other districts gives you a sense that every Rwandan has embraced the idea willingly. Huge cash deposits continue to pour into various accounts. Eugene Nkurunziza is a businessman based in Kigali. He says while the local fund is not enough for Rwanda, the gesture is good. “Africa needs to think about home-grown solutions to their problems,” says Nkurunziza.“Rwandans have shown the world that they can work together to drive their own development; giving the entire population a higher level of direct ownership in the nation’s projects,” observed Rwangombwa recently after the official launch.African countries depend largely on foreign aid. This has made Rwanda to stand out of the crowd and reduce dependency on foreign donor support. The fund is not to be thought of as a counter reaction to aid as it was thought of. Rwanda has always viewed goal to become aid independent and always valued the partnership shared with many of donors.The fund will work in tandem with all development policies to build more autonomous and sustainable Rwandan economy for the future. At the launch recently, Agaciro fund got off to a roaring start where Rwandans and friends of Rwanda raised more than Rwf1.2 billion ($2 million) on a single day. The idea of the fund was initially floated in 2011 during the National Dialogue (Umushyikirano) – a two day annual event, hosted by the President where ideas are openly exchanged and progress examined with national and global participation through the use of modern technology. Some analysts view the fund as a vital initiative that will focus on long term economic development and prosperity for Rwanda’s future generations. Odette Uwamwiza, 32, phonecard vendor in Kigali City says that, Agaciro Fund gives Rwandans a chance to invest in prosperity for future generations.“I don’t find hard to contribute to something that will have a big impact on me and my fellow Rwandans. I will contribute Rwf 50,000 ($82) monthly towards the fund because the benefits are bigger than the money,” she noted.The management of the fund will be undertaken by citizen trustees once the Finance Ministry establishes a legal framework.“Development of our country is the responsibility of all Rwandans, young or old,” President Paul Kagame said during the launch, adding that no country has ever progressed while depending on others.The President added that the Fund should be perceived as a sign of dignity – something that is earned and not accorded by others.Contributions to the Fund will always be reflected in the National Budget. It will finance key priority projects identified in the country’s vision.During an annual campaign that is scheduled for every month of July, Rwandans will be consulted to decide which priorities will be financed and the outcome of the consultations will be validated at the National Dialogue that takes place in December every year.To make deposits simpler, the Ministry of Finance has negotiated with telecom companies to enable individuals to make deposits through airtime vouchers. The elaborate process involves sending sms text to ’2020’ with the ‘Agaciro [space] 500’.Mr. Ronald Nkusi, Director of External Finance in the Ministry of Finance says: “People are committed, they are contributing in groups like at the district level, in Banks via Agaciro fund accounts and our task is to collect the money.”Since its inception, some government agencies – through their employees have contributed hundreds of millions to the fund.