Local government entities will prioritise agriculture, road infrastructure, social protection, water access, healthcare and education under the proposed 2026/27 budget framework, officials told Members of Parliament on Tuesday, May 12. Bob Gakire, the Permanent Secretary in the Ministry of Local Government told the House Committee on State Budget and Patrimony, that the focus will be on completing ongoing projects, clearing arrears, and improving delivery of basic services. ALSO READ: Govt highlights spending priorities for 2026-27 Completing ongoing works and clearing arrears Gakire said the government will prioritise completion of ongoing investments before initiating new projects, alongside settling outstanding payments to contractors. “We are prioritising completion of ongoing investments to ensure that public value is realised without delay,” he said. ALSO READ: How Rwanda plans to fund, spend Rwf7tn budget for 2025/26 He noted that compensation for expropriated residents and strengthening partnerships with development partners will remain key priorities. Budget for local government entities declines Gakire presented figures showing that the combined budget for institutions under the Ministry of Local Government will drop from Rwf128.2 billion in the revised 2025/26 budget to Rwf104.5 billion in 2026/27. The Local Administrative Entities Development Agency (LODA) will see its allocation decrease from Rwf100.7 billion to Rwf79.1 billion. The National Rehabilitation Service will receive Rwf7.6 billion, while the Rwanda Demobilisation and Reintegration Commission is allocated Rwf6.5 billion. ALSO READ: Priority projects driving proposed 2026/27 budget increase “Remaining construction works at Nyamagabe, Gitagata and Ngarama Rehabilitation Centers are being expedited.” Lawmakers were also informed that out of 559 development projects implemented in the current fiscal year, 234 have been completed, while 42 have not yet started. Agriculture remains top priority LODA Director General Claudine Nyinawagaga said agriculture will take the largest share of the development budget at Rwf89.3 billion, with a focus on improving productivity and food security. She said planned interventions include distribution of fertilisers, improved seeds, and lime, alongside irrigation expansion and livestock productivity enhancement. She detailed that the programme will include 69,115 tonnes of fertiliser, 4,999 tonnes of improved seeds, 30,737 tonnes of lime, irrigation development on 600 hectares, and artificial insemination for 220,000 cows. Social protection and basic services expanded Social protection programmes are allocated Rwf60.9 billion to support vulnerable households through expanded safety net interventions. Nyinawagaga said the programmes will combine direct support and public works aimed at reducing poverty and strengthening household resilience. Education, health and water investments Education infrastructure will receive Rwf15.5 billion, targeting the construction of 321 classrooms and 1,271 sanitation facilities to reduce overcrowding in schools. The health sector is allocated Rwf6.1 billion for the construction of 10 health centres and the equipping of existing facilities. Water access remains a major priority, with plans to develop 934.7 kilometres of pipelines across different districts. Roads, bridges and urban development Transport infrastructure is allocated Rwf72.2 billion. Planned works include construction of 14.7 kilometres of paved roads, rehabilitation of 59.6 kilometres of feeder roads, and construction of 15 bridges, including 10 pedestrian bridges. Urban development programmes will receive Rwf22.6 billion to support city expansion and housing improvements. The City of Kigali leads local government allocations with Rwf84.5 billion, followed by Nyagatare (Rwf13.2 billion), Burera (Rwf11.8 billion), Musanze (Rwf10.6 billion), and Bugesera (Rwf9.3 billion). Execution challenges and delayed payments Gakire attributed delays in implementation in the current fiscal year to procurement bottlenecks and unpaid contractors. “We still have projects that were completed but remain unpaid. This affects contractor performance and slows down new works,” he said. He stressed that clearing arrears will be central in the next fiscal year to improve execution rates. Nyinawagaba also highlighted unpaid obligations linked to infrastructure projects, including stadium works and road rehabilitation, saying these will be prioritised in the coming budget cycle. Performance varies across districts Budget execution varied across districts, with Nyagatare and Bugesera recording highest performance at 94 per cent and 92 per cent respectively. Musanze and Nyamasheke recorded the lowest execution rates of 64.7 per cent and 65 per cent, mainly due to delayed payments for completed infrastructure works such as roads, bridges and health facilities.
