Rwanda’s Minister of Finance Dr Uziel Ndagijimana on Monday presented to lawmakers a proposed budget increase of Rwf140.1 billion to the current Rwf2.8 trillion in order to manage operationalization of the newly established embassies, community health-based insurance subsidies, milk support program under the National Early Childhood Development Program as well as planned international sports activities.

Other activities that have pushed the 2019/2020 budget include salaries for newly recruited health staff and promotion of medical staff within the Ministry of Health, Finance Minister told lawmakers at the parliamentary building in Kimihurura. Lawmakers gave green light to the new revised budget.

Recently, Rwanda opened its new Embassies in Morocco, Ghana, Mozambique and Angola. As the new Embassies were being opened, the new Kigali Sports City – a new name has been given to the Remera are hosting Amahoro National Stadium and surrounding sports facilities. Amahoro National Stadium is undergoing extension works to accommodate much more sports activities.

This increase in the budget is done in accordance with Article 41 of Organic Law N°12/2013/OL of 12/09/2013 on State Finances and Property.

Addressing members of Parliament, Minister Ndagijimana pointed out that the budget revision process had been informed by the economic and budget performance for the first six months of 2019/20 fiscal year.

Under the new budget projections, Finance Minister Ndagijimana told lawmakers that the budget was projected to increase to Rwf 3,017.1 billion from Rwf 2,876.9 billion approved in the original budget, reflecting a net increase of Rwf 140.1 billion.

During this fiscal year, according to Minister Ndagijimana, domestic resources are projected to increase by Rwf 75.7 billion from Rwf1,726.2 billion to Rwf 1,801.9 billion.

The expenditure envelope has been revised to reflect the changes under recurrent spending, capital expenditure and net lending outlays, he added.

The Minister highlighted that the recurrent expenditure is expected to increase by Rwf 124.1 billion from Rwf 1,424.5 billion in the original budget to Rwf 1,548.6 to cater for salaries for newly recruited health staff and promotion of medical staff, operationalization of the newly established embassies, community health-based insurance subsidies, milk support program under the National Early Childhood Development Program as well as planned international sports activities.

Rwanda is expected to host a number of different International Sports tournaments. For instance, the country will host Basketball All Africa game finals next year. The country is the favourite host of CAF Champions League finals and recently won the bid to host Union Cycliste Internationale (UCI) World Championship, among others.

Capital expenditure is expected to increase by Rwf4.0 billion from Rwf 1,152.1 billion to Rwf 1,156.2 billion. Net lending will increase by Rwf 13 billion from original Rwf 244.1 billion to Rwf 257.2 billion.

The Minister further informed the parliamentarians that the revised budget for 2019/20 was part of the revised medium term macro-economic framework that aims to continue the implementation of National Strategy for Transformation (NST1).

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