Rwanda: Over Rwf1.5 Billion Invested in Agri-Subsidies in Nyamagabe

3 December 2023

Over Rwf 1.5 billion is annually invested in fertilizer and seed subsidies in Nyamagabe District to boost agricultural production, officials have announced.

Agriculture, being a pivotal sector for economic growth and the enhancement of citizens' lives, commands a substantial portion of Nyamagabe district's budget.

Nyamagabe's budget saw an increase from Rwf 34 billion last year to Rwf 37 billion, with the biggest contribution from the national budget, taxes being the main source, considering the district's limited capacity to generate between 3% and 5% in district-owned revenues.

Hildebrand Niyomwungeri, the Mayor of Nyamagabe district, stated that at least over Rwf 1.5 billion was invested in agricultural subsidies.

"Farmers have been receiving subsidies at a rate of 50 percent. This means if we spend Rwf 1.5 billion, the total cost of fertilizer would have been around Rwf 3 billion. This is something that our people are very happy with," he said.

During the 2022/2023 financial year, the district, characterized by high mountains, witnessed the construction of radical terraces covering over 85 hectares, providing employment to more than 300 individuals.

For instance, terraces in Musebeya sector incurred a cost of approximately Rwf 45 million.

For over five decades, the Nyamagabe mountains, bordering the Nyungwe forest, have harbored flourishing tea plantations in sectors such as Kitabi, Uwinkingi, Gatare, Kibilizi, Buruhukiro, and Musebeya.

This region boasts multiple tea factories, including Mushubi and Kitabi, serving as major employers for a substantial portion of the local population.

Additionally, substantial investments were made in various infrastructures, exemplified by the construction of a new building at Kigeme Hospital, accommodating a maternity ward and administrative offices.

This collaborative initiative with the EAR Diocese saw the church contributing part of their savings, with the government supplementing approximately Rwf 400 million. "Over Rwf 300 million was invested in infrastructure, while another Rwf 100 million was invested in hospital materials," Niyomwungeri added.

Further investment, exceeding Rwf 1 billion, was channeled into the construction of suspended bridges. Notably, a bridge spanning Gatare and Mushubi hills was erected at a cost of around Rwf 250 million.

The bridge not only facilitated smoother journeys to markets but also safeguarded lives during the rainy seasons when the Gondo river posed a threat, as attested by local resident Callixte Munyaneza.

"Previously, we witnessed the river flooding due to rain from other areas, leading to the loss of livestock and human lives. However, with the bridge in place, there have been no reported casualties along the Gondo river," he affirmed.

Nyamagabe district's commitment to infrastructure development is also evident in the construction of 10 kilometers of asphalt road and a 10-kilometer-long electric line from Rambya to Kizimyamuriro, incurring a total cost of Rwf 1 billion.

Alice Kayitesi, the Southern Province Governor, highlighted the reciprocal benefits of tax contributions, emphasizing collective responsibility for tax compliance to sustain continued development.

She emphasized that the Kigeme hospital building will help mothers "access seamless medical services and take care of their newborns," insisting that some other health centers were renovated.

"We must all adhere to the practice of providing an EBM receipt for every transaction, recognizing that our current level of compliance falls short of the desired standard. It is important for sellers to furnish receipts proactively, without awaiting client requests.

As customers, we can also play a crucial role in ensuring this compliance by reminding sellers, thereby closing any potential loopholes for tax evasion," she added.

The governor emphasized the importance of exceeding tax collection targets to ensure sustained development, calling for a collective sense of ownership and responsibility among the province's residents.

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