The Government of Rwanda has announced a budget increase of Frw 126.3 billion for the 2024/25 fiscal year, raising the total budget from Frw 5,690.1 billion to Frw 5,816.4 billion. The announcement was made by the Minister of Finance and Economic Planning, Yusuf Murangwa, during his speech to Parliament on the revised budget proposal.
This budget adjustment aims to enhance resource allocation, support emerging national priorities, and improve public service efficiency. Minister Murangwa highlighted Rwanda’s economic resilience despite global challenges such as inflation, climate change, and geopolitical tensions. The government remains committed to maintaining macroeconomic stability and fostering inclusive growth through investments in agriculture, infrastructure, climate change mitigation, education, healthcare, and social protection.
Key Budget Adjustments
- Resource Increase: Additional Frw 126.3 billion in total budgetary resources.
- Revenue Adjustments: Tax revenue forecasts were revised downward by Frw 20 billion, with privatization proceeds and external concessional loans expected to compensate for the shortfall.
- Development Budget: Increased by Frw 80.6 billion, from Frw 2,007.3 billion to Frw 2,087.9 billion, affecting both foreign and domestically financed capital expenditures.
- Recurrent Budget: Increased by Frw 45.7 billion, from Frw 3,682.9 billion to Frw 3,728.5 billion, mainly due to higher pension contributions.
The revised budget aligns with Rwanda’s medium-term macroeconomic framework, ensuring continued economic stability. The government will closely monitor economic performance and take necessary actions to support the successful implementation of the revised budget.
Stay updated for further insights on how these changes will impact national development and service delivery.
