Economic Cooperation and Development
Enlarge image Rwanda and Germany have enjoyed different types of bilateral cooperation since 1962. Germany was one of the first countries to re-establish cooperation after the Genocide in 1994 - initially through emergency response, and later increasingly through technical and financial cooperation. Assistance is concentrated in the areas of Health, Decentralisation and Good Governance as well as the Promotion of the Economic Growth and Employment, with an additional consideration of cross-cutting themes such as gender and HIV/AIDS prevention.
In order to improve the effectiveness of its interventions, the German Government aims to coordinate its activities with other bilateral and multinational donors currently represented in Rwanda. Due to the agreement between the Rwandan Government and its development partners in 2010 on the division of labour among the donors, Germany has ended the cooperation in the health sector in 2012 and is actually reinforcing its efforts with regard to the promotion of employment and technical vocational training. Since 2007 Germany has granted Rwanda budget support und is intensively involved in the accompanying dialogue with the Rwandan Government. Germany also takes part in all multilateral debt-relief initiatives for Rwanda.
The principles of the German development policy are determined by the German Federal Ministry for Economic Cooperation and Development (BMZ).The BMZ finances and coordinates cooperation with its implementing organizations, especially the German Agency for International Cooperation (GIZ) and the German Development Bank (Kreditanstalt für Wiederaufbau, KfW).
The main focus of technical and financial cooperation is determined through bilateral governmental negotiations and based on Rwanda's Economic and Poverty Reduction Strategy (EDPRS). Up to now Germany has pledged around 700 million Euro of bilateral support (ODA provided by Germany through multilateral institutions not included).
The last governmental negotiations took place in Novermber 2011 in Bonn, Germany. Germany has committed in total 60 million Euros for a 3-year period (2011-2013). Of this amount, 41.5 million Euros are allocated to financial cooperation and 18.5 million Euros for technical cooperation. The following amounts have been pledged for the focal areas of cooperation:
· Decentralisation and Good Governance: 16.8 m Euro
· Sustainable Economic Development: 17.5 m Euro
· Budget Support: 21 m Euro accompanied by support to the Public Financial Managment (PFM): 3 m Euro
Furthermore, Germany is supporting the Regional Energy Programme „Transmission Lines in Partner Countries of the Great Lakes“ with 38 m Euro.
Since January 2011, the German Agency for International Cooperation (GIZ) brings together the longstanding experience of German technical cooperation of the former German Agency for Technical Cooperation (Deutsche Gesellschaft für Technische Zusammenarbeit GmbH), the experts of the Centre for Migration and Development (CIM), the German Development Service (Deutscher Entwicklungsdienst, DED) and Inwent (Internationale Weiterbildung und Entwicklung GmbH).
The responsibility for financial cooperation lies with the German Development Bank (Kreditanstalt für Wiederaufbau, KfW), which undertakes tasks and functions in the area of economic policy. Since the 1960s, it is providing grants, loans and subsidies for developing countries in the name of and on behalf of the German government.