Category: News

The Head of State was speaking at a welcome cocktail held at the Kigali Convention Centre on the evening of December 12, 202.

“I want to thank from the bottom of my heart FIA and Mohammed bin Sulayem [FIA President] and his team for putting all this together and doing Rwanda proud to be able to host you. We appreciate that and I hope for all the time you are going to be here, you are going to enjoy your stay.”

The welcome cocktail was held at the Kigali Convention Centre, attended by conference participants, high-profile guests, and leaders from various sectors in Rwanda.

Among those present were Clare Akamanzi, CEO of NBA Africa, Amadou Gallo Fall, President of the Basketball Africa League, and renowned comedian and actor Steve Harvey.

Before the cocktail reception, President Kagame, together with FIA President Mohammed bin Sulayem, unveiled the first-ever FIA Level 2 Affordable Cross Car produced in Africa, an innovative project developed through collaboration between Rwandan polytechnic students, the FIA, and the Rwanda Automobile Club.

Kagame expressed his gratitude to the FIA for supporting the project, highlighting its role in facilitating knowledge transfer and encouraging the development of local talent and skills in various creative fields.

Kagame remarked that the initiative was not just important for Rwanda, but for the entire African continent, as many opportunities had long been overdue.

He acknowledged that while Africa is rich in talent, access to opportunities remains a major challenge.

Kagame emphasized that Africa should not only focus on exporting talent but also become a place where people from other parts of the world are attracted to come, contribute, and help develop the continent’s potential.

On his part, Sulayem praised the close collaboration between FIA and Rwanda in organizing the General Assembly, highlighting that it was the first time the event had been hosted with the head of state personally welcoming the attendees.

He expressed his gratitude to President Kagame for the trust placed in the FIA and thanked all attendees for traveling from around the world to participate.

The evening also celebrated the work of Rwandan artists who created pieces commemorating the FIA’s 120th anniversary. Ishimwe Gad, a student from Rwanda Polytechnic-Kigali College, was awarded first prize for his artwork, which will be displayed at the FIA headquarters in Paris, France.

From December 10 to December 13, 2024, Rwanda is hosting the FIA General Assemblies, which will culminate in the award ceremony at the BK Arena on the evening of December 13.

This project was developed in collaboration with Rwandan polytechnic students, the FIA, and the Rwanda Automobile Club.

The event, held on Thursday December 12, 2024 at Kigali Convention Centre also saw the presence of President Paul Kagame and the President of the International Automobile Federation (FIA).

Harvey’s visit coincides with the ongoing General Assembly of the FIA, which will conclude on Friday, December 13, 2024. This marks his second visit to Kigali, following his first trip in November 2024.

During that earlier visit, Harvey engaged in discussions with President Kagame on potential investment opportunities in Rwanda’s events and entertainment sectors.

At the time, Harvey took to social media to share his admiration for Rwanda and President Kagame, saying, “We had the pleasure of sitting and meeting His Excellency my brother President Paul Kagame. I was truly inspired by his strength and humility. A testament to Rwanda’s resilience and acts of forgiveness.”

Known for his work on The Steve Harvey Morning Show, Family Feud, Celebrity Family Feud, and his long-running role as the host of Miss Universe, Harvey’s career spans decades.

From his stand-up comedy days in the 1980s to his rise in the 2000s with The Original Kings of Comedy, he has become one of America’s most beloved personalities.

The two-day conference that started on Thursday, December 12, was organized by the International Centre for Tax and Development (ICTD) in partnership with Rwanda Revenue Authority (RRA) under the theme: “Towards a digital tax administration: Lessons learnt and directions for reform.”

Tax experts delved on adopting artificial intelligence (AI) to enhance the efficiency and effectiveness of their systems.

Antoine Sebera, the Government Chief Innovation Officer at the Rwanda Information Society Authority (RISA), emphasized the transformative role of AI highlighting Africa’s rapid digital transformation, with governments leveraging technology to bridge economic disparities, foster inclusion, and enhance public administration by streamlining bureaucratic processes and building trust.

In Rwanda, significant progress has been made in digital governance, with all essential government services now accessible online. The country aims to achieve universal access to e-government services by 2029.

Despite the advancements, Sebera said challenges persist in leveraging technology for tax administration. He observed that fragmented and incomplete data hinder accurate tracking and assessment of digital transactions, necessitating secure data-sharing mechanisms and interoperability. Additionally, deploying advanced tools for monitoring, analyzing, and enforcing tax compliance, he said, requires technological expertise and infrastructure.

“Building capacity in data analytics, artificial intelligence, and cybersecurity is essential in overcoming these obstacles. Particularly, AI has a very big potential to revolutionize digital tax administration and governance in low-income countries,” Sebera said.

“AI can significantly improve the efficiency and effectiveness of tax systems. For example, AI-driven tools can help identify patterns of tax evasion, optimize resource allocation and provide real-time support to the taxpayers,” he added.

He called for international partnerships with organizations and the private sector to address challenges hindering digitalization progress.

Sebera stressed that ethical and regulatory concerns, such as data privacy, algorithmic bias, and accountability, should not be overlooked.

“Developing countries must establish robust legal frameworks and ethical guidelines to govern the use of AI in public administration. Infrastructure challenges, including reliable internet access, electricity, high-performance computing servers, and data centers must be addressed.

Rwanda has made significant progress in digitalizing its tax administration. Notable milestones include the introduction of the Automated System for Customs Data (ASYCUDA) ++ system in 2004, later upgraded to ASYCUDA World in 2012, which halved customs clearance times and saved $6.8 million annually in trade costs, according to the TradeMark East Africa. ASYCUDA is a computerized customs management system that covers most foreign trade procedures.

In 2011, Rwanda Revenue Authority (RRA) launched the E-Tax system to revolutionize tax filing and payments, reducing errors and administrative burdens. The 2013 introduction of Electronic Billing Machines (EBMs) enhanced VAT compliance and curbed tax evasion. The EBM2 system upgraded in 2017 provide real-time data capture and improved fraud prevention.

“Between 2017 and 2022, VAT collection increased by 61%, and income tax collection has surged by 95%. In 2021, income tax overtook PAYE as the second largest revenue contributor, driven by the use of EBM in every taxable activity, a policy initiated in 2020,” said the RRA Commissioner General, Ronald Niwenshuti.

Studies conducted by RRA and the Tax Administration Research Centre further demonstrate the impact of digital reforms. For example, VAT increased by 5.4% in tax-to-GDP ratio, and EBM2 adoption led to a 12% rise in VAT collection among new users. Firms using EBM-supported goods achieved an average revenue increase of $33,400 compared to non-users.

These advancements reflect Rwanda’s progress toward self-reliance, the RRA CG said. Today, domestic revenue fund over 54% of the national budget, up from 51.2% the previous year. “This aligns with national strategies such as Vision 2020, Vision 2050, and the National Strategy for Transformation,” Niwenshuti added.

Giulia Mascagni, the Executive Director of the International Centre for Tax and Development (ICTD), commended Rwanda’s leadership in digital tax transformation.

She highlighted the 10-year collaboration between ICTD and Rwanda, which has facilitated data sharing for rigorous research, policy analysis, and evaluation, contributing to improved revenue collection and taxpayer services.

Mascagni emphasized the importance of digitization in tax administration, which enabled the ICTD to explore emerging trends in digital financial services, mobile money, and their implications for tax administration.

“This conference is an opportunity to learn from one another and lay the foundation for the next decade of progress in digitizing tax administration and government services,” Mascagni concluded.

During the two-day conference, panelists will explore key elements related to Other data management and governance, digital inclusion, digital public infrastructure, improving data quality and integrity, digital payments, data exchange systems; and underscored the need for robust tax ecosystems that foster fairness and innovation.

The ICTD is a global research body on tax and development, particularly in low-income countries, providing governments with robust evidence to help them design and implement more effective and equitable tax systems.

President Paul Kagame, alongside Mohammed Ben Sulayem, the President of the International Automobile Federation (FIA), unveiled the “Cross Car”, a racing car made in Rwanda by students from IPRC Kigali.

The event took place Thursday evening, December 12, 2024, at the Kigali Convention Centre, at the ongoing FIA General Assembly scheduled to conclude tomorrow.

The car, built over the past month by the students in collaboration with an FIA technician, was showcased with the participation of key figures, including Christian Gakwaya, President of the Rwanda Automobile Racing Club (RAC).

This “Cross Car” is set to be tested by Dutch Formula One champion Max Verstappen, as part of a FIA community service penalty imposed on him as a punishment for using unacceptable language during the pre-event press conference at the Singapore Grand Prix last September.

After the unveiling, a reception was held at the Convention Centre, bringing together political leaders, sports celebrities, and other dignitaries, including Steve Harvey, to celebrate the FIA’s 120th anniversary.

The “Cross Car” is a compact, specialized vehicle with several critical features such as a protective racing seat, reinforced safety structures, race-specific tires, and a unique design for driver protection in case of accidents.

Its safety features include a six-point harness system and a window opening for entry and exit. The vehicle is operated with a manual transmission and requires specific skills and training, as it differs significantly from regular rally cars.

The sport of Cross Car racing is growing in Rwanda, with plans to purchase more vehicles and kick-start local championships to further develop the motorsport scene in the country.

The discussions focused on the foundation’s work, particularly in strengthening the health sector in Africa.
A global philanthropic organization, the foundation was established in 1964 by businessman Warren Buffett.

Until 2004, it was known as the Buffett Foundation, but it was later renamed in honor of Warren Buffett’s late wife, Susan Buffett. The Susan Thompson Buffett Foundation is mainly involved in charitable activities, particularly in the field of health.

Senait Fisseha, who led the delegation, is the Head of Operations at the Susan Thompson Buffett Foundation.
She is also a strong friend of Rwanda, as she resides here, although she is originally from Ethiopia.

Howard G. Buffett, the son of Warren Buffett, who played a role in establishing the Susan Thompson Buffett Foundation, is a major partner of Rwanda.

This American billionaire has supported the creation of an international model agricultural and livestock school, with a $87.6 million investment for the construction and operations over five years, in addition to another $40 million for its ongoing support.

The Buffett Foundation has been involved in agriculture in Rwanda for some time, having committed to investing $500 million in projects aimed at advancing the agricultural sector in Rwanda since 2015.

The soldiers were part of Operation Turquoise, which was officially intended to protect Tutsi refugees who were being killed. However, instead of protecting them, the French forces assisted the Interahamwe, the defeated soldiers of the ex-FAR, and members of the Rwandan government responsible for planning the genocide massacres.

In 2005, the organizations Survie, IBUKA France, FIDH, LDH, and six genocide survivors from Bisesero had requested the court to order the French government to investigate the role of French soldiers in these killings.

These organizations stated that the French soldiers abandoned the Tutsi refugees in Bisesero, who were killed by the Interahamwe and ex-FAR soldiers between June 27 and June 30, 1994.

They further explained that they have evidence showing that, while the French soldiers knew about the massacre taking place as Tutsi refugees were being killed in Bisesero, they did nothing to stop it, despite having the ability to do so.

In 2018, a French court had decided to halt the investigation into this massacre, but after the March 2021 report by Professor Vincent Duclert, which revealed France’s involvement in the genocide, a new decision was made to resume the investigation. However, the investigation was once again suspended in October 2023.

In September 2024, the Paris Court of Appeal heard the arguments from these organizations and Bisesero Genocide survivors, who called for further investigation into the French soldiers’ role in Operation Turquoise, but the court dismissed their claims.

Eric Plouvier, the lawyer representing Survie, stated that this decision denied justice to the victims of Bisesero and the survivors.

“Investigation must continue. It is not acceptable for the court to make such a harsh decision to deny justice,” said Plouvier.

On the other hand, those involved in the operation, including General (Rtd) Jean-Claude Lafourcade, who led the mission, argued that the investigation should be ended, stating that the French soldiers committed no crimes.

This initiative aims to support innovation in financial services while ensuring careful regulation to prevent potential risks.

CMA notes that, given the rapid pace of technological advancements globally, the financial sector in Rwanda stands to benefit immensely from these innovations. However, the Authority warns that without proper regulation, such technology could bring about unforeseen challenges.

Jerome Ndayambaje, a specialist in technology and innovation at CMA, spoke about the potential for the market to evolve over the next five years, driven by Fintech developments.

He highlighted how innovations could improve the efficiency of financial services, speed up processes, and extend access to a broader audience.

Key issues under discussion include whether Fintech can foster a savings culture, simplify investment processes, and facilitate easier access to financial products in the capital markets. More so, there’s a question of whether these technologies can assist the private sector and government in raising capital for business expansion.

The ‘Fintech Regulatory Sandbox’ is designed to help in trial financial technologies with a small group of users over a set period (usually one year) to assess their viability and impact before scaling them up.

Ndayambaje explained that this testing phase ensures that emerging technologies address existing challenges and do not cause harm to investors or the financial market.

By offering a controlled environment for experimentation, the sandbox helps in understanding the operational dynamics, benefits, and risks of new technologies. Successful innovations that demonstrate value and mitigate risks are then granted permission to operate within the broader market.

The CMA introduced this program in 2023 to provide a platform for companies in the financial technology sector to test their innovations and services, fostering Rwanda’s goal of becoming a hub for financial technology and investment.

Ndayambaje stated that this initiative aligns with Rwanda’s ambition to become a leading center for both investment and financial technology in the region.

The sandbox also serves as a platform for technology companies to expand both within Rwanda and internationally, offering a conducive environment for growth. It helps establish a culture of saving and investing, enhances service delivery, and ensures broader access to financial products for all Rwandans.

However, challenges were noted by participants in the sandbox, particularly in integrating their technologies with those of various stakeholders in the financial sector.

CMA considers these challenges manageable through continued awareness campaigns and collaboration with key partners during the testing phase.

The ‘Fintech Regulatory Sandbox’ is a critical step toward modernizing Rwanda’s financial market, improving access to capital, and facilitating financial inclusion across the country.

This initiative aims to develop a sector that employs over 400,000 Rwandans, with 69% of households in Rwanda relying on agriculture for their livelihoods.

The program focuses on increasing and processing the production of tea, vegetables, and fruits, particularly avocado and pepper, expanding and processing potatoes, boosting poultry and pig production, and increasing beef production.

Investors were introduced to the opportunities to promote a revolution in agriculture, increase production, create jobs for women and youth, expand irrigated land, and develop modern agricultural systems.

The program is linked to a five-year strategy to accelerate agricultural development (PSTA 5), which will cost Frw 7.063 billion.

Regarding tea production, MINAGRI has announced a need for an investment of $289 million to help process and develop tea-growing regions.

At least 300 million tea seedlings are required, and tea farming will be expanded to 17,000 hectares, along with building a tea processing factory in the Nyamagabe District, a region known for tea cultivation.

The tea development project must also be accompanied by road construction for better access to the farms.

The investment will benefit over 85,000 people, with production expected to rise from the 39,008,978 kilograms Rwanda harvested in 2022/2023, yielding $107 million.

Regarding animal husbandry, MINAGRI sees investment opportunities of $169.8 million, primarily in increasing poultry and pig production to boost meat and egg output.

Plans include establishing modern poultry farms, animal feed mills, modern livestock pens, and storage for animal feed, benefiting over 123,000 people and 69,953 poultry and pig farmers.

For expanding and processing potato production, Rwanda requires $63.8 million to expand farming areas and add processing facilities to meet both local and international market demands.

The project will include developing virus-free potato varieties, creating certified storage facilities, and building modern potato processing plants. Over 41,000 potato farmers and processors, along with 245,000 others in the value chain, are expected to benefit directly.

This initiative aims to address gaps in potato farming, as Rwanda currently needs 1.5 million tons annually, while it harvests 865,000 tons per year.

In terms of vegetables and fruits, particularly avocados and peppers, Rwanda requires an investment of $222.3 million, including $40.5 million for avocado farming and $181.8 million for pepper production.

Although exporting peppers and avocados internationally is a recent development for Rwanda, it has made significant progress in the past decade. In 2022/2023, Rwanda exported 3,200 tons of avocados, earning $6.5 million, compared to $440,000 from 10 years prior. The goal is to export over 14,000 tons of avocados in the next five years.

Pepper also plays a significant role in Rwanda’s exports, particularly to Asia and Europe. In 2022/2023, Rwanda exported 2,000 tons of pepper, generating $6 million, and the target is to increase exports to $48 million by 2029 through PSTA 5.

Rwanda also requires $40.2 million to improve cattle farming for meat production.

The government has selected the Gako and Gabiro areas as suitable locations for this investment, with plans to establish a modern slaughterhouse, leather processing facilities, and a system to provide livestock feed, among other developments.