Shaping inclusive economic policy
Project description
Title: Economic and investment policy in Rwanda
Commissioned by: German Federal Ministry for Economic Cooperation and Development (BMZ)
Country: Rwanda
Lead executive agency: Ministry of Finance and Economic Planning
Overall term: 2021 to 2024
Context
Two in five people in Rwanda live on less than 70 US cents a day. In light of this, the country is focusing on eliminating poverty. The aim is for incomes to reach an upper-middle level by 2035 and a higher level by 2050.
The help achieve this, the Ministry of Finance and Economic Planning (MINECOFIN) has the task of developing and implementing macroeconomic, tax and investment policy measures that underpin structural transformation. MINECOFIN has already taken important steps to establish relevant macroeconomic framework conditions and decision-making processes. However, it is in need of additional analytical expertise and qualified personnel.
Objective
The capacities of government and academic stakeholders in Rwanda have improved in order to shape economic, tax and investment policies that are geared toward inclusive growth.
Approach
The project operates in five closely interlinked areas of activity: it helps to plan and implement public investments, model macroeconomic relationships, promote sound tax policies, improve research-based higher education and strengthen research and policy dialogue.
Specifically, the project advises on policy scenarios and research papers based on macroeconomic models. MINECOFIN staff can use these models on a regular basis and produce substantiated analytical bases for policy makers.
In addition, the project supports the MINECOFIN trainee programme for young economists in order to anchor strategic competence development in MINECOFIN.
The project supports the Master’s programme in Applied Quantitative Economics at the University of Rwanda through an academic partnership with Kiel University and the Kiel Institute for the World Economy. This makes the study programme more attractive and helps it to keep developing.
Last update: February 2022