Government to relocate parastatal headquarters to secondary cities

The Government will soon assess the potential of all secondary cities as it seeks to distribute headquarters or key departments of parastatals across different parts of the country. The move, according to Rwanda Housing Authority (RHA), aims at boosting economic activity in secondary cities that have been designated in different regions of the country.

Monday, July 31, 2017
University of Rwanda is one of the institutions being considered. / File

The Government will soon assess the potential of all secondary cities as it seeks to distribute headquarters or key departments of parastatals across different parts of the country.

The move, according to Rwanda Housing Authority (RHA), aims at boosting economic activity in secondary cities that have been designated in different regions of the country.

The six secondary cities are Musanze in Northern Province, Nyagatare in Eastern Province, Huye and Muhanga in Southern Province, and Rubavu and Rusizi in Western Province.

According to Augustin Kampayana, the acting director general at RHA, before relocation, they will have to first look at the availability of infrastructure in the cities to accommodate the public institutions.

He said they intend to start with the National Industrial Research and Development Agency (NIRDA) this financial year.

NIRDA, along with the University of Rwanda, already have buildings in Huye District and other designated cities, Kampayana said.

The move will contribute to addressing the issue of high rate of rural-urban migration and boosting economic activity in the cities, he said.

The potential of each secondary city means particular activities or socio-economic opportunities available in each city will be scaled up by the given government institutions.

According to the 2012 data from National Institute of Statistics of Rwanda, 60 percent of those who migrate in search of jobs end up in Kigali City due to easy accessibility to infrastructure, investment opportunities, and other socio-economic aspects.

Upon completion of the exercise, the proposed cities will double as economic poles of growth for the country with improved roads and water networks, electricity, tourism development, schools and health centers.

"The potential of each secondary city, what the relocating institution will take there, and what they will find there, will be among the factors to be considered,” he said.

He said NIRDA has already started refurbishing its structures in Huye to ensure they relocate as soon as possible.

The University of Rwanda, which has various campuses in different districts of the country, should have a constituent college in each secondary city, while the location of its national headquarters will be determined by the university management.

Prof. Nelson Ijumba, the deputy vice-chancellor for academic affairs and research, said the university headquarters will remain at Gikondo campus in Kigali.

However, he said, the principal of the College of Medicine and Health Sciences will be based in Huye, together with deans of different schools.

Other colleges will also relocate to different provinces beginning the next academic year.

Speaking to The New Times, Eugène Kayiranga Muzuka, the Huye mayor, said that the Government’s move is timely and will be beneficial to secondary cities and the country’s economic growth in general.

"We have an industrial zone in Huye town, and we are mobilising investors to come and venture in setting up industries in our district. All this attracts people to come to the city looking for jobs and that benefits them, the city dwellers and their families in the rural areas as they send them some funds when they get paid salary,” he said.

Renovation of NIRDA facilities

NIRDA Director General Joseph Mungarulire said their researchers who have been working from Mulindi in Gasabo District will relocate to Huye District, a development he said "is intended to bring researchers together so that they optimise results.”

He said that the Government has already provided Rwf300 million for renovation of NIRDA laboratory in Huye, and that more funds will be allocated for this exercise.

The United Nations Industrial Development Organisation (UNIDO) provided $100,000 to support the refurbishment of laboratory facilities.

"All these interventions are intended to make NIRDA a better facility within three years,” Dr Mungarulire said.

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INFRASTRUCTURE IN SECONDARY CITIES

Commenting on the infrastructure package that each secondary city should have, Kampayana said; "Each secondary city should have affordable houses where the working population can be accommodated; and other offices serving as workplace, also healthcare facilities should be available.”

In February, RHA announced a project to develop 30,000 housing units in the City of Kigali and secondary cities, of which about 1,500 are under construction.

The World Bank, together with the Ministry of Infrastructure, prepared a Country Support Programme for Urban Development, to be implemented over four years (2016-2020) to a tune of $95 million, specifically to finance implementation of prioritised infrastructure investment projects in the City of Kigali and the secondary cities.

As part of this envelope, $80 million will go towards development of basic infrastructure in Secondary Cities, according to information from the Ministry of Finance and Economic Development.

Currently, urbanisation rate in Rwanda is 17 per cent, while the Government targets to have 35 per cent of citizens live in urban areas by 2020.

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