Rwanda’s Economic Development and Poverty Reduction Strategy (EDPRS) has got a US $45.38m grant from the African Development Bank (AfDB) through its window of African Development Fund (ADF).
On Wednesday, the continent’s development financing institution approved the grant to boost the EDPRS, Rwanda’s medium term framework towards poverty eradication.
The grant will support efforts by the Rwandan government to reduce poverty and improve the people’s living conditions, through the country’s Third Poverty Reduction Strategy Support Programme (PRSSP-III).
Primary beneficiaries of the programme include local entrepreneurs, especially small and medium-sized enterprises (SMEs), and the private sector.
The overall goal of the PRSSP III grant approved by the ADF Board in Tunisia is to contribute to economic growth and poverty reduction in Rwanda in line with the strategic objectives of the EDPRS.
It’s expected that the grant will improve on Rwanda’s ranking in the “Doing Business” index; deeper access to credit by the private sector, enhanced financial governance as reflected in improved Public Expenditure and Financial Accountability (PEFA) scores.
In the medium-term the programme is expected to support Rwanda’s ability to cope with the adverse impacts of the global financial crisis and to sustain its economic growth rate at an average of 6 percent within a period of 2009-2012.
The EDPRS covers the period 2008-2012, and sets the country’s development objectives, priorities and policies for that period.
AfDB has so far provided Rwanda with two budget support facilities that were developed collaboratively with the government, donors, and other country level stakeholders.
By the end of December last year, the Bank’s total commitment to Rwanda had amounted to 264 million for 13 operations.