Category: Economy

In some districts where a master plan dictating land use has not been developed, individuals use the land as they wish, leading to activities such as constructing buildings on land designated for agriculture, which can cause future losses.

Residents of Bugesera state that the master plan has become proof that development has reached their area.

Alphonse Nshimiyimana, a resident of Ruhehe village, Batima cell, in Rweru sector, said, “We used to see master plans being made for big cities like Kigali, Musanze, or other urban areas. But under the broad strategy taken by the government to develop rural areas, the land here will gain value and everything done here will also gain value, thus raising the living standards of the residents.”

Nshimiyimana explained that the master plan helps them understand where to build commercial buildings, factories, and other structures that contribute to community development.

Francine Bamurange, a resident of Ruramba village, Kindama cell, in Ruhuha sector, mentioned that they are ready for changes in construction and housing by separating commercial buildings from residential ones. She said, “For instance, in the Ruhuha trading center, people both trade and live there, which is problematic. Trading in one place while living in the backyard does not align well. Therefore, in Ruhuha town, people will separate commercial buildings from residential ones. This will also lead to the construction of modern houses with all amenities since they will be outside the main city.”

“This will prevent land from being wasted because all land will be used for its designated purpose as shown in the master plan. Besides, the district is developing, and the master plan will 100% transform the lives of the residents. It will allow us to progress since even without the master plan, just the tarmac road alone has brought significant changes to the residents’ lives.”

The Mayor of Bugesera District, Richard Mutabazi, told IGIHE that, in collaboration with the Belgian Development Agency, Enabel, various activities were carried out, including developing the district’s master plan and setting up an information collection room for different activities using technology.

He said, “Land use is crucial because when people build haphazardly, they might lack access to infrastructure. For example, roads might not reach where they have been built. People might have built in many places, but when you need a place with greenery and fresh air, you can’t find it. Following the master plan will ensure well-organized construction. Additionally, infrastructure must follow, as the master plan outlines where infrastructure should go, roads should pass, and where playgrounds should be built, making it easier for district budgets and partners to plan without the need to create new plans for everything.”

Mayor Mutabazi emphasized that the master plan is a powerful tool to protect agricultural land from being built on, as people will not abandon houses to seek food. It is essential to protect agricultural land to sustain the population.

Emmanuel Ahabwe, head of the housing development department at the Rwanda Housing Authority (RHA), stated that, in partnership with Enabel, residents of Bugesera have been helped not to misuse their land.

He said, “Previously, there were areas designated for agriculture, but due to their proximity to Kigali, people quickly turned them into whatever they wanted. Now that has changed; they must follow a specific plan. This project, supported by the Belgian government, ensures that.”

Bugesera District borders Kigali City and Burundi. It is home to over 551,000 residents, most of whom engage in cassava, maize, bean, and rice farming.

The National Land Authority (NLA) indicates that the 2023/2024 fiscal year will end with more than 10 approved master plans by the Cabinet, with only six to be developed next year.

Regarding environmental protection, the Kayumbu area has been developed with gardens where people can relax.

Seven years ago, the areas surrounding Rwamagana town were mostly characterized by dirt roads, which resulted in dusty conditions or mud during the rainy season. The Mayor of Rwamagana District, Radjab Mbonyumuvunyi, told IGIHE that in collaboration with the Belgian Development Agency, Enabel, nearly 10 kilometres of roads around various parts of Rwamagana town have been paved.

These roads have transformed the image of the town, with the roads also being equipped with streetlights. Mayor Mbonyumuvunyi stated, “Initially, there were 4.6 kilometres of roads, followed by another 2-kilometre road from the bus station to the craft centre. We have now constructed additional roads in various phases, totalling nearly four kilometres. These roads have helped change the town’s appearance and improve living conditions. Previously, the roads were dusty in dry seasons and slippery during rains, sometimes causing cars to get stuck. But today, people can move confidently, knowing they will reach their destinations.”

He also highlighted that these infrastructure developments have led to the renovation of old commercial buildings and the construction of new, modern ones.

He said, “New buildings have been constructed, and those with old ones have renovated them. Those who had only residential buildings have also built commercial ones, allowing them to trade and support their families. The commercial buildings generate taxes for the country, enabling us to build more roads, clinics, schools, and other infrastructure.”

Rehema Uwamahoro, who owns a water processing and selling plant in Rwamagana town, told IGIHE that she started her business there in 2016, initially facing ridicule for working in what was considered a rural area. She recalled, “The roads were dirt and in poor condition, making it difficult for trucks to transport goods without breaking down. Today, a truck can complete a delivery within an hour and return for a second trip because of the well-maintained roads.”

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As part of this project, a modern market was built, replacing the old one that accommodated fewer than 300 traders. The old market was essentially a shelter with metal pillars and a roof. Mayor Mbonyumuvunyi explained, “We had a makeshift market with a metal structure that wasn’t a proper building. It was very old, leaking, and not in line with the direction of Rwamagana town and Rwanda as a whole.”

The new market will accommodate about 1,000 traders, including those selling in boutiques, stalls, and various other sections like fruits and vegetables. It is designed to house many people comfortably, making it easier for traders to conduct their businesses.

He emphasized that doing business in a well-structured market allows traders to earn profits more easily. He also mentioned that they are encouraging nearby residents to build modern and multi-story buildings to support the market.

“When the market is completed, many people will need places to trade and work. We are not self-sufficient, which is why we are asking people nearby to construct large, modern buildings to support the market. This will ensure that those who need spaces to work and trade can find them, reducing unemployment,” he stated.

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In addition to the market and roads, a modern craft centre has been built in collaboration with Enabel, greatly assisting local development.

Thierry Mbarushimana, a carpenter at the Rwamagana Craft Centre, told IGIHE that before the new centre, they were scattered in different parts of the town. Now, they work with the assurance that their products are secure and have a designated place to sell them.

Mayor Mbonyumuvunyi noted that they previously faced challenges asking craftsmen and artisans in Rwamagana town to move to the old, small craft centre. Now, three large hangars have been constructed.

“One hangar is for drying timber, which previously led to poorly crafted doors due to insufficient drying. The other two large hangars are temporarily housing market traders while the new market is being completed. Once the market is ready, these hangars will continue to serve the craft centre, providing ample and quality workspace for craftsmen.”

The craft centre does not only focus on carpentry and artisanal work but also trains youth in various relevant skills.

The ongoing prepayment is based on sales made in January, February, and March 2024.

Hajara Batamuliza, Commissioner for Domestic Taxes at RRA, explained that all individuals who earned profits or registered a business in 2023 and declared income tax for the first time in March 2024 are subject to this quarterly prepayment.

“When we talk about profitable and taxable activities, there is no exclusivity. All individuals, including those who own vehicles such as motorcycles, trucks, taxis, or buses and are engaged in transporting people and goods as a profitable activity, are subject to this tax prepayment,” she said.

“There are other sectors, such as businesses with diversified operations, service providers, and banks. All activities conducted in Rwanda, where a person received taxable income,” she added.

For taxpayers under the real regime, you can make a declaration via the RRA website (www.rra.gov.rw). Click on “Declare Domestic Taxes,” fill in your TIN and password, and fill in the annexures if you have withholding taxes.

Click on “Tax Declaration,” then on “New Declaration,” and search for First Quarterly Prepayment. On the declaration form, click on the declaration number. Click on “Enter Declaration” and fill in the required information on the declaration form, click ‘compare with the declaration,’ then submit your declaration.

Micro-enterprises under the flat regime can declare their taxes by dialing *800#. Payments are made using mobile banking, Mobile Money, MobiCash, or Internet Banking.

According to the Law establishing taxes on income, taxpayers must declare and pay a quarterly prepayment tax to the account of the Tax Administration by June 30, September 30, and December 31 of the year of taxable business activities.

However, Article 8 of Law No. 020/2023 of March 31, 2023, on tax procedures, specifies that if a deadline falls on a public holiday or a weekend, the deadline is moved to the last working day prior to the holiday or weekend. This is the case for this month.

“Taxpayers should be aware that the deadline is June 28. Our staff are ready to help taxpayers at all our offices across the country. I urge them not to wait until the 28th but to come earlier so we can assist them. Once they come late, it becomes difficult,” Commissioner Batamuliza added.

Waiting until the last day can also lead to technological difficulties, which may result in late declarations and associated penalties.

Article 82 of the law on tax procedures provides that a taxpayer who fails to declare and pay tax within the time limit provided by law pays such tax and is liable to an administrative fine of 20% of the due tax if the time limit for payment extends for a period not exceeding 30 days; 40% for a period ranging from the 31st to the 60th day; and 60% of the due tax if the taxpayer exceeds the time limit for payment by more than 60 days.

A taxpayer who declares tax due within the time limit provided by law but does not pay that tax in the prescribed time limit pays the principal tax and an administrative fine of 5% of the due principal tax for a delay not exceeding 30 days; 10% for a period ranging from the 31st to the 60th day; and 30% if the taxpayer exceeds the time limit by more than 60 days.

Nyagatare District stands out with its vast and fertile landscapes, boasting larger villages and cells compared to others across the country. A short drive from Nyagatare town leads to Karangazi Sector, Ndama Cell, the home of Rwabiharamba Model Village, where 120 families relocated from Akayange village to pave the way for modern agriculture and animal husbandry.

The ambitious ‘Gabiro Agribusiness Hub’ project, spanning 16,000 hectares in Karangazi and Rwimiyaga sectors, aims to transform the lives of those residing in Akayange and Shimwa Paul villages. With 120 houses in Akayange and 72 in Shimwa Paul, this initiative embodies a modern approach, providing families with four-in-one structures. Each household receives a three-room house with a sitting room, inclusive of a bathroom and toilet, an outdoor kitchen, as well as access to water and electricity.

Strategically located near essential infrastructure like schools and clinics, these villages bring a sense of fulfilment to the residents. Furaha Godfrey, the head of a family with nine children, expresses gratitude for the transformative change, emphasizing the previous challenges of inadequate water, distant schools, and an overall lack of development prospects. Furaha praises the government for bringing relief and ensuring their safety, especially during inclement weather.

Similarly, Jane Mbabazi highlights the significant shift from relying on dam water, sometimes clean and sometimes muddy, to having clean water at their doorstep. She acknowledges the positive impact on education, health, and overall progress, attributing it to the vision of President Paul Kagame.

Didace Bataringaya, a resident of Akayange Model Village, recounts the stark contrast of their previous life, marked by poor conditions and a lack of basic infrastructure. The moment he received the keys to his new house, Bataringaya couldn’t believe the reality of the situation. His joy is palpable as he describes sleeping on the floor of his new home, a stark departure from the challenges they faced before.

Mayor Stephen Gasana emphasizes the significance of relocating families for the Gabiro Agribusiness Hub project, which not only aims for agricultural development but also ensures decent living conditions for the relocated families. Gasana encourages residents to capitalize on the available infrastructure and opportunities for a better life.

Emmanuel Ahabwe, Head of Department for Social and Affordable Housing Development at Rwanda Housing Authority, underscores the importance of the model villages in providing decent shelters and fostering agricultural development. He stresses the need for responsible land use to prevent encroachment on areas designated for other vital activities.

Rwanda Housing Authority urges village residents to cherish and maintain their homes and infrastructure. A total of 253 villages, accommodating over 30,000 families, have been built, with plans for 3,000 rural villages nationwide, each offering prepared sites for comfortable living.

The success stories from Rwabiharamba, Akayange, and Shimwa Paul serve as beacons of hope, illustrating the transformative power of integrated development model villages in shaping brighter futures for their residents.