A recent analysis by local watchdog Transparency International Rwanda revealed deficiencies in asset management and public procurement practices across all districts and the City of Kigali.
The anti-corruption regulator raised the concerns on November 24 during the dissemination of findings of an analysis it made on the 2021/2022 Auditor General's report, specifically focusing on districts and the City of Kigali's public assets mismanagement
According to the report released, deficiencies in managing public assets and procurement processes were obvious across the regions. The analysis highlighted various discrepancies and loopholes, raising concerns about the transparency and efficacy of these administrative bodies.
In particular, the analysis found 1,615 recommendations from the Auditor General of Public Finance. Among these, at least 49.4 per cent were very easy to put into action, 23.9 per cent were mild, 13.5 per cent were moderate, 10.5 per cent severe, and 2.7 per cent were deemed too difficult to implement.
On average, the regions managed to implement these recommendations fully at a rate of 57 per cent.
Equally, errors in managing public finances notably increased, particularly in cash spending, rising by 75 per cent to Rwf5.27 billion from the prior fiscal year's Rwf21.01 million.
Concurrently, errors lacking supporting documentation saw a 75 per cent reduction. The total value of non-compliance-based errors amounted to Rwf1.924 billion, with a significant portion attributed to mismanagement of regional assets and the City of Kigali, estimated at over Rwf1.172 billion, comprising at least 60 per cent of the total value.
This analysis also highlighted that infrastructure projects such as roads, water systems, and schools occupy the top positions in the project list, receiving a higher allocation of funds.
Additionally, idle assets, valued at Rwf3.5 billion out of the total Rwf9.42 billion for the year 2020-2021, are also considered within this evaluation.
The aforementioned were the most alarming findings and shortcomings in the procurement processes regarding asset mismanagement within the districts and the City of Kigali.
Addressing the press, Apollinaire Mupiganyi, the Executive Director of Transparency Rwanda said, "There is a need to enhance collaboration with other institutions, improve the management of public resources and finances to boost consultation rates, and strive to decrease inefficiencies in state-owned enterprises."
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He noted: "While significant strides have been made, the government still faces losses, particularly concerning incomplete infrastructure projects and delays attributed to contractors, impacting quality."
Mupiganyi emphasised that these inefficiencies could lead to delays in payments, including capitation grants for VUP beneficiaries, resulting in significant consequences for the delivery of public services to citizens.
He further recommended that authorities should keep the momentum and try to close the loopholes where there are delays and other mismanagements. They should also revisit internal verifications and increase capacity where needed.
"What is interesting is to see the increase in the percentage of the implementation of the AG's recommendations from 55 to 57 per cent in 2021/22. Yes, we are on a good track but we should not relax and think that we have accomplished our goals," he added.
