Domestic resources, borrowing account for 93% of 2026/27 budget

Domestically generated resources and external borrowing together will account for 93% of the total budget for the 2026/27 fiscal year, Minister of Finance and Economic Planning Minister Yusuf Murangwa told Members of Parliament on Thursday, June 11. As he presented the budget, he said growing share of domestic resources underscores continued reliance on internal revenue mobilisation and concessional financing. ALSO READ: Finance minister presents budget on Thursday: Key things to know Total estimated resources for the 2026/27 fiscal year are projected at Rwf7,796.3 billion, representing an increase of Rwf844.2 billion or 12 % compared to the revised 2025/26 budget. Domestic revenue is expected to contribute over Rwf5,273 billion equivalent to 68%. Foreign grants are projected at Rwf548.3 billion (or 7%), while external loans will amount to Rwf1,974 billion. Rwf3,010.8 billion has been allocated for development spending, while recurrent budget stands at Rwf4,785.5 billion. This reflects government priorities in sustaining ongoing operations while advancing development programmes. Murangwa said the budget prioritises strengthening agricultural production, boosting industrial growth, accelerating job creation, and ensuring macroeconomic stability. It also focuses on improving economic resilience and speeding up implementation of key development projects and programmes. ALSO READ: Where Rwanda’s Rwf7.8tn budget will go in 2026/27 A significant share of the budget is directed towards agriculture, including fertiliser and seed distribution, lime application, seed multiplication, irrigation expansion, strengthening national grain reserves, artificial insemination services, and rehabilitation of tea and coffee plantations. This budget reflects the realities of a challenging global environment while staying focused on what matters most: Boosting agriculture, creating jobs, and building a resilient economy, he said. We have prioritized agricultural inputs and irrigation, continued investment in infrastructure and energy, and made room to protect the most vulnerable. The goal is to accelerate implementation of our development programs without compromising macroeconomic stability. Over Rwf4,900 billion (or 63%) has been earmarked for economic transformation. ALSO READ: Experts push for jobs, energy security, and resilience in 2026/27 budget Funding will accelerate inclusive growth in agriculture, expand access to electricity, water, and sanitation, strengthen transport systems, and promote urbanization and rural settlement. Additional resources will support climate resilience, local manufacturing, export growth, financial sector development, and decent job creation. Social transformation has been allocated 22% of the 2026/27 national budget, or more than Rwf1,700 billion. These resources are expected to improve the quality of healthcare and education outcomes, strengthen social protection systems, expand nutrition services, promote family and gender-related initiatives, and enhance disaster management programmes across the country. ALSO READ: Govt highlights spending priorities for 2026-27 Transformational governance has received 15% of the budget, equivalent to about Rwf1,100 billion. The funds will support improved service delivery, strengthen good governance and public financial management, reinforce the justice system, enhance peace and security, support crime prevention efforts, and advance economic diplomacy. Other East African Community (EAC) minister of finance also presented their budget fro the next fiscal year, with a common theme focusing on deepening regional integration and economic resilience.

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Domestic resources, borrowing account for 93% of 2026/27 budget