Author: b_igi_adm1n

Private sector’s contribution to the East African economy currently stand at about 80% in terms of wealth creation, production of goods and services and poverty alleviation, according to the EAC secretary general, Dr Richard Sezibera.

Based on this fact, he underscored the need to design a framework for collaboration and dialogue between the community secretariat, private sector, civil society organisations and other interest groups.

Addressing company CEOs from across the region in Kigali on Monday, Dr. Sezibera said dialogue between different players would ensure the integration process creates better business environment aimed at enhancing EAC competitiveness and boost economic growth.

He said in a speech, a copy of which was sent to The Citizen, that EAC has prepared a draft framework to help engage the private sector in a more robust way.

The current EAC Development Strategy postulates, among its priority areas, to include improving regional/global competitiveness for faster and sustainable economic growth and move closer to the status of the newly industrialised nations.

At the same time the strategy focussed on establishing a robust legal and administrative framework that would facilitate regional economy to generate more income and wealth.

He noted that the private sector interests were at the top of the list of priorities of the EAC Strategic Plan, whereby the Strategy identifies critical constraints to be addressed —including limited supply capacity to take advantage of the available regional preferential market access and underdeveloped regional infrastructure.

The EAC boss also disclosed that measures were being taken to conclude a Public-Private Partnership Framework for the EAC, which would go a long way to enhance private sector participation in public enterprises.

He said a study had been completed by the World Bank in consultation with EAC, which presented a “needs assessment” on the formulation of a suitable policy framework and strategy and awaits consideration and guidance by the EAC Council of Ministers.

The proposed framework will facilitate private sector participation in public enterprises with a regional dimension particularly in industrial and infrastructure projects.

Rwanda’s Foreign Minister Louise Mushikiwabo today (Friday) expressed regret at “hasty decisions based on flimsy evidence” made by donor partners on Rwandan budget support.

There have been various media reports in recent days about development partners suspending or deferring aid disbursements to Rwanda in light of the Group of Experts report on the crisis in the eastern DRC.

Minister Mushikiwabo noted, “We have just concluded discussions with the Group of Experts and comprehensively rebutted every one of the allegations with conclusive documentary evidence.”

She added,“Once we share this with development partners, we believe this will provide them the reassurance they seek in light of an orchestrated media and political campaign to blame Rwanda for this crisis.”

“Rwanda is impatient in pursuit of poverty reduction, economic development and self-sufficiency. Our people cannot afford this kind of distraction.”

Meanwhile, The Netherlands today suspended an aid budget worth US$6.15Million to Rwanda also like US government based on allegations that Rwanda was backing of rebels in the DRCongo.

Rwanda’s ambassador to the Netherlands, Immaculee Uwanyiligira, says she is very disappointed with the Dutch government’s decision.

“You would think that from a country like the Netherlands, that is known for its strong judicial system and openness, they would not take such hasty decisions based on a thin, unsubstantiated report,” she said.

A spokesperson for the Dutch foreign ministry said the Dutch government would, in consultation with its EU partners, re-evaluate its position on development cooperation with Rwanda.

This would happen on the basis of an assessment of Rwanda’s formal response to the UN findings and current developments in the field, including an immediate end to Rwandan support for rebels in the DRC.

However, Support for NGOs active in Rwanda has not been suspended.
In December 2008 the Netherlands revoked aid to Rwanda claiming that Kigali was suporting militia gangs in DRCongo.

On 21st July, the U.S. government announced suspension of military aid to Rwanda citing evidence of Rwandan support for the rebels in DRCongo.

“The United States government is deeply concerned about the evidence that Rwanda is implicated in the provision of support to Congolese rebel groups, including M23,” said Hilary Fuller Renner, a State Department spokeswoman, in an emailed statement.

“We will not obligate US$200,000 in Fiscal Year 2012 Foreign Military Financing funds that were intended to support a Rwandan academy for non-commissioned officers. These funds will be reallocated for programming in another country,” she said.

Previously Minister Mushikiwabo had said reports of Rwanda’s involvement in Congo fighting were “disingenuous” and aimed at making Rwanda a scapegoat for DRC’s problems.

Kenya Commercial Bank KCB, has reported a 50% growth in profits after tax in the first half of the year helped by a growth in interest income.

KCB on Thursday said its profits after tax rose to KSh6 billion in the six months to June from the KSh4 billion it reported in a similar period in 2011.

“We attribute the performance to growth to in our revenues and prudent cost management,” KCB Chief Executive Martin Oduor said in an interview at the sidelines of an investor briefing.

Net interest income grew 36% to KSh14.3 billion from KSh10.5 billion earned in the previous year.

KCB’s total operating expenses grew by 16% to KSh11.9 billion compared to KSh10.2 reported in the previous year.

KCB’s balance sheet grew 25% to KSh349.3billion while its total shareholder funds now stands at KSh46.4 billion from KSh38.4billion in the previous period.

However KCB increased its provisions of bad debts by 72% to KSh1.4billion a signal that it is preparing for higher risk of defaults on loans it booked during the from the turbulent macroeconomic conditions in the recent months.

The Government of Rwanda Signed July 27, two financing agreements comprised of a Loan agreement of Units of Account (UA) between African Development Bank and Government of Rwanda of a total amount of US$ 320 Million.

Since 2010, the Government of Rwanda has been mobilizing financing for the construction of the Kivu Belt road project.

The 186 km road project which stretches from Rusizi to Rubavu via Karongi was costed at USD 320 million. The mobilization was made in four lots (lots 3, 4, 5, 6 and 7) .

This road project connects Rwanda to DRC and Burundi, it is expected that once the road is completed, it will facilitate trade and boost tourism along the North and South corridors.

During the signing, Government of Rwanda represented by the Permanent Secretary and Secretary to the Treasury in the Ministry of Finance and Economic Planning, Ms. Kampeta Sayinzoga and the African Development Bank represented by Mr. Negatu Makonnen, the Resident Representative of the African Development Bank, Rwanda Office, signed two financing agreements.

The agreement comprised of a Loan agreement of Units of Account (UA) 40,525,000 and a Grant agreement of Units of Account (UA) of 4,525,000 both totalling to UA 45,050,000 (approximately USD 68 million) to finance Lot 7 of the Kivu Belt.

Lot 7 covers Rubavu-Gisiza and has a length of 47.9 KM. This is phase three of AfDB financing to this multinational road, the first and second phases saw the construction of 100 km route connecting Ruhwa – Cyangugu-Ntendezi-Mwityazo (Lot 3 of the Kivu belt covering 50km) with financing equivalent to UA 65,000,000, approximately USD 89,000,000.

The other co-financers for the road sections are:

The Government of Rwanda which provides counterpart funds on all lots

Exim China which provided financing for Lot 4 and 5 (66 Km) with an amount equivalent to of USD 116 Million covering Mwityazo – Ruvumu & Ruvumu – Kibuye

Arab Funds (Kuwait Fund For Arab Economic Development, the Saudi Bank For Economic Development, the OPEC Fund for International Development and the Arab Bank for Economic Development in Africa) which provided USD 47 million to finance Lot 6 covering Rubengera (Karongi)-Gisiza (Rutsiro)-23.6 km.

The Permanent Secretary and Secretary to the Treasury thanked the AfDB for its continued support to Rwanda’s development Programme especially in the area of Infrastructure development- a priority sector in the EDPRS.

The Resident Representative of the AfDB commended the Government of Rwanda for its continued effective use of Development Partners’ support and pledged on behalf of the Bank to continue supporting Rwanda’s development agenda.

Rwanda’s envoy to Tanzania, Ben Rugangazi has made an impassionate appeal to the regional media to play an active role in fast-tracking the regional integration processes.

The envoy was responding questions on ICT development, East African integration processes, and private sector’s contribution to Rwanda’s economic progress.

While praising the media as a key tool in fostering the agenda of development in the region, Rugangazi was also concerned that it has been very slow in sending out important messages on regional integration processes.

“Regional leaders have made initiatives — setting up systems and making decisions, in the course of pushing for regional integration, but these important messages have not reached many East Africans. We need the media to assist and actively support governments in the integration processes,” the envoy said.

Describing education as one of the important components in regional integration, Rugangazi said it allows interactions among East Africans, enabling them to understand each other and create solid bounds.

Citing specific examples, he said there are about 100 students from Rwanda pursuing different courses at the University of Dar es Salaam (UDSM), adding that students from East African partner states should be encouraged to study in “Uganda, Kenya, Burundi, Rwanda and Tanzania.

It’s through this way; our students/people would mix and understand each other.”

“EAC governments and higher learning institutions need to encourage this spirit if we really want to speed up the regional integration,” the Rwanda envoy concluded.

The Forum of Rwandan Women Parliamentarians (FFRP) and the Inter-parliamentary Union (IPU) met July 26 to reflect on the basic factors that can justify the confirmation of a gender sensitive parliament.

Alphonsine Mukamugema the President of the FFRP, said that Rwanda is still the only country with the highest number of women in Parliament.

She said the ongoing meeting rooted in the report published in 2011 by IPU themed ‘Gender sensitive Parliament’ will discuss other factors that may be considered to confirm the gender sensitive parliament.

Zeina an envoy from IPU raised a question to the FFRP members, to suggest other factors beyond a huge number of women in parliament to confirm a gender sensitive parliament.

Other factors cited include; voting law considering gender equality, contribution of both men and women in any parliament, eradication of all discriminations rooted from feminine nature and inclusion of disadvantaged groups–disabled people and youth.

Other MPs showed the role of parliament in Rwanda in creation of gender sensitive laws stimulating gender equality.

Rwanda’s parliament has 56% women. This number has granted Rwanda an award as the country with the highest number of women in parliament around the world.

On 9th July IGIHE had reported that over 400 students of Rwathia Girls Secondary school in Kenya had gone on strike demanding for short skirts ’appealing’ uniform.

The girls have won the battle for shorter skirts as the long ones suggested by the school administration, and which they rejected, will now be replaced with shorter ones.

The Kenyan Education Minister Mutula Kilonzo says the girls at Rwathia Secondary School can breathe a sigh of relief as the length of their skirts has been “minimised”.

Mutula on Thursday displayed three sets of skirts for the girls, with various lengths and designs, and indicated the “approved” one.

The minister showed skirts that the girls rejected, the ones they used to wear and what was agreed upon at his offices in Jogoo House, Nairobi.

The demands of the girls have been granted and supported by the Kenyan Constitution in particular the Bill of Rights, Article 53 (2) that states: “A child’s best interests are of paramount importance in every matter concerning the child.”

The skirt length was approved after a meeting among the school administration, the girls and the Ministry of Education officials.

Earlier this Month, the furious girls brokeout of school very early Monday morning(9th July) in a peaceful protest demanding for shorter skirts (mini) as opposed to the long skirts (max) introduced as their new school uniform.

Congolese authorities in the Province of North Kivu have reported presense of Ugandan military elements on the Congo territory which have allegedly sneaked in to reinforce the M23 rebels.

Congolese media has reported that Provincial coordination of civil society in North Kivu said in a July 25 statement that six Fuso brand vehicles from Uganda came into DRC, last weekend, with several Ugandan soldiers.

The Ugandan combat elements are said to have grouped at Kitagoma Busanza.

“Three vehicles introduced elements of the UPDF (Ugandan army) to Nyarukwarangara, while three others have filed to Kabira,” said Omar Kavota the Civil society coordinator in the area.

Civil society in North Kivu also said they received information stating that “the elements of the Uganda army have supported the rebels M23” on the front lines in Rutshuru Nyongera-center , more particularly on the axis of Kiringa Kalengera.

“We have verified information to that effect and firepower of the M23 is now attest. The information that we made available to the authorities needed to be taken seriously,”said the coordinator of the provincial civil society.

This structure, also reported the infiltration of the Ugandan army in the area of Rwenzori in the leadership of and Watalinga Bashu, in eastern territory of Beni (North Kivu).

The mutiny began last April in the province. The mutineers have created, beginning March 23 Movement (M23) to demand the implementation of peace agreements signed by the Government of the Democratic Republic of Congo (DRC) and the former armed movement’s National Congress for the People’s Defence (CNDP) in March 2009.

M23 rebels have taken over a a sizeable portion of the territory including the lizière of Virunga National Park to the DRC border with Uganda and Rwanda.