Nyabiheke: How economic inclusion of refugees has improved livelihoods, self-reliance
Monday, May 29, 2023
Nyirasafari used to rely on refugees aid until she started interacting with host communities. She now owns a small business. Courtesy photos

Article 17(1) of the 1951 Refugee Convention, to which Rwanda is a signatory, grants refugees the same rights to wage-earning employment as those accorded to the most favourably treated nationals of a foreign country in the same circumstances.

The integration of refugees into the labour market through the right to work and the government’s permissive policies for refugees, allowing for freedom of movement and work, has relatively improved refugee self-reliance and economic opportunities—and promoted access to finance and private sector investment in the six districts hosting refugee camps.

In Nyabiheke refugee camp, social interactions between refugees and host communities have led to economic freedom for both refugees and the communities. Previously, refugees were regarded as a burden for host communities; nowadays, however, they are regarded as partners.

Diogene Nzakizwanimana, a resident of Gatsibo sector who operates a veterinary shop and owns a mobile money kiosk in his village of Nyabicwamba which is a few metres away from Nyabiheke refugee camp, told The New Times that three years ago, he was not open to ‘accommodating’ refugees, but with social interactions, he now employs one refugee who operates his mobile money kiosk.

Employing a refugee opened doors for Diogene Nzakizwanimana, making him qualify for a grant that helped boost his business.

Not knowing what the future would hold, Nzakizwanimana employed the refugee, which opened doors for him to qualify for a matching grant. This grant has helped him to boost his business. Now a member of the host community, he has greatly benefited from the project and sees the value in welcoming refugees into the community.

He said, "Through our financial institutions, there is a project that provides grants to entrepreneurs who employ refugees. I applied because I employ one and qualified twice for Rwf 500,000. The project pays 50 per cent of the total amount upon completion of my part. I never expected to benefit this much from the refugee presence in our area.”

Besides that, his employee has also helped him expand his customer base as refugees in the nearby camp use his services and recommend him to others. Nzakizwanimana now sees the value in welcoming refugees into his community and hopes others will follow suit.

The grant Nzakizwanimana received is through the Socio-economic Inclusion of Refugees and Host Communities Project (Jya Mbere)—designed by the Government of Rwanda through the Ministry in Charge of Emergency Management and financed by the World Bank with the aim of improving access to basic services and economic opportunities for refugees and host communities operating in six districts.

In Nyabiheke refugee camp, Elizabeth Nyirasafari used to rely on refugees aid until she started interacting with host communities, who introduced her to working in the Mugera market. This allowed her to earn her own income and start a small business in the refugee camp.

In her mini shop that sells rice, sugar, petroleum jelly, sandals, and a few other goods, Nyirasafari told The New Times that she looks forward to expanding her business because she also managed to secure a matching grant that has not only provided her with a source of income but also improved the health and wellbeing of her family.

Nyabiheke refugee camp is home to more than 12,000 Congolese refugees.

Beneficiaries are entrepreneurs from the refugee population or host communities who have business ideas that they can implement. They can be cooperatives, individuals, or small and medium companies that employ refugees.

According to Jolly Nankunda, Gatsibo’s executive secretary, besides social cohesion, the integration of refugees into the labour market in Nyabiheke refugee camp has led to improved self-reliance and economic opportunities between refugees and host communities, as well as providing opportunities from partners.

She said, "The Jya Mbere project has allocated Rwf 7 billion to benefit refugees and host communities in Gatsibo, with Rwf 2 billion already being used for various activities, and the remaining Rwf 5 billion has been budgeted for activities like revamping Ngarama Hospital. The project has helped in positively impacting the lives of refugees and host communities.”

Matching grant ceilings disbursed to refugees and host communities that are helping each other exploit business opportunities vary depending on loans. Beneficiaries with a loan from a financial institution of less than Rwf 5 million receive 50 per cent of the loan as a matching grant; loans varying from five to 25 million receive 40 per cent of the loan as a matching grant; and a loan above 25 million receives a 30 per cent matching grant.

Mary Uwimana runs a successful liquor vending business in Gatsibo, thanks to the Jya Mbere project. She employs both refugees and host community members, promoting social cohesion and economic opportunities for all. The project has not only provided financial support but also training and mentorship to help beneficiaries grow their businesses and become self-reliant.

Located in Gatsibo District, Nyabiheke refugee camp is home to more than 12,000 Congolese refugees and was established in 2005.