Germany Government has backed Rwanda’s quest to create jobs with a financing agreement worth €42 million (Rwf42.2 billion).
According to Rwanda’s Finance Ministry, the funds will be dispatched to finance both job creation and governance. The financing agreement was signed by Finance Minister Dr. Uzziel Ndagijimana and Germany Ambassador to Rwanda Dr. Peter Woeste.
According to the terms of agreement, €12 million will support decentralization and good governance while € 9 million will be disbursed in the reform of Public Finance Management.
The Ministry will also allocate (€ 14 million to develop technical and vocational training (TVET) centres, while €7million will be channeled to support activities of Rwanda’s Green Fund (FONERWA).
Minister Ndagijimana who signed the agreement on behalf of the government, said that the financing agreement will contribute towards Government of Rwanda priority areas such as good governance, employment as well as capacity building which will contribute to the achievement of the country’s long term development goals.
“The sustained development cooperation as well as the current agreement signed illustrates, once again, the mutual trust and excellent relations shared by the Government of the Federal Republic of Germany and the Government of Rwanda,” he said.
Rwanda has set a target of creating 1.5 million off-farm jobs in the next seven years.
The German Ambassador expressed his appreciation of Rwanda’s development results in the past and highlighted the importance of the cooperation between governments, private sector and civil society for reaching the Sustainable Development Goals globally.
Germany is currently focusing strongly on improving its links with Africa, with the German Chancellor inviting African leaders in October to a G20 conference.
“The ambitious plan of President Paul Kagame to become independent from donors is highly appreciated,” Ambassador Woeste said.