Government seals €40 million funding deal for feeder roads

The Government and the European Union (EU) yesterday signed a financing agreement worth €40 million (Rwf 35.3 billion) for the rehabilitation and maintenance of 700km of feeder roads in the rural areas.The financing deal, which was announced earlier in March this year, was finally sealed with Finance Minister, Claver Gatete, signing on behalf of the government with Michel Arrion, the Head of EU Delegation to Rwanda, signing on behalf of teh EU.
Minister Gatete and Ambassador  Arrion after signing the deal yesterday.   Saturday Times/ Courtesy photo.
Minister Gatete and Ambassador Arrion after signing the deal yesterday. Saturday Times/ Courtesy photo.

The Government and the European Union (EU) yesterday signed a financing agreement worth €40 million (Rwf 35.3 billion) for the rehabilitation and maintenance of 700km of feeder roads in the rural areas.

The financing deal, which was announced earlier in March this year, was finally sealed with Finance Minister, Claver Gatete, signing on behalf of the government with Michel Arrion, the Head of EU Delegation to Rwanda, signing on behalf of teh EU.

Gatete said strengthening the rural feeder roads network, would improve the country’s food security by making it easier for food producers to reach their markets.

“Seven districts are going to benefit from this financing which kick-starts this fiscal year. By improving the road network of rural secondary roads that link to major roads, it will make food more affordable for consumers and enhance food security in general,” Gatete said shortly after signing the deal.

“It is a massive job that will take four years. This will go a long way in contributing to economic growth, rural development and poverty reduction.”

According to Ambassador Arrion, the new programme will compliment Rwanda’s existing development programmes such as Vision 2020 and the second Economic Development and Poverty Reduction Strategy (EDPRS2), that seeks to alleviate poverty.

“It is essential for farmers to be able to take their products to the market. An improved network of feeder roads will reduce transportation costs and have an immediate effect on food security in Rwanda,” Arrion said.

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