{"id":55269,"date":"2025-08-18T09:57:19","date_gmt":"2025-08-18T09:57:19","guid":{"rendered":"https:\/\/new.igihe.com\/taxes-are-the-lifeblood-of-national-economy-niwenshuti-on-rra-s-frw-3-6\/"},"modified":"2025-08-21T14:14:31","modified_gmt":"2025-08-21T14:14:31","slug":"taxes-are-the-lifeblood-of-national-economy-niwenshuti-on-rra-s-frw-3-6","status":"publish","type":"post","link":"https:\/\/new.igihe.com\/english\/taxes-are-the-lifeblood-of-national-economy-niwenshuti-on-rra-s-frw-3-6\/","title":{"rendered":"\u2018Taxes are the lifeblood of national economy\u2019 \u2014 Niwenshuti on RRA\u2019s Frw 3.6 trillion target"},"content":{"rendered":"

Speaking about RRA\u2019s new targets, he highlighted the ambitious goal of collecting Frw 3.628 trillion in taxes during the 2025\/2026 fiscal year, explaining how the Authority intends to achieve this and why citizens should better understand their role in building their country\u2019s economy.<\/p>\n

For the 2025\/2026 fiscal year, RRA aims to collect 54% of the national budget, which amounts to Frw 7.032.5 trillion. This collection effort aligns with the government\u2019s introduction of new taxes, expected to significantly contribute to financing Rwanda\u2019s development.<\/p>\n

Niwenshuti stressed that citizens should appreciate the benefits of taxation, as revenues are reinvested in public infrastructure and services across the country.<\/p>\n

\u201cA nation can rely on its future if its people work, pay taxes, and grow the economy,\u201d he explained. \u201cThink of taxes as the blood in a body. Taxes are the blood of a country\u2019s economy because when we collect them, we build roads, schools, hospitals, ensure security, and most importantly, we create jobs.\u201d<\/p>\n

He further noted that taxes stimulate employment through infrastructure projects, which generate jobs for citizens who, in turn, support their families. Taxes also create business opportunities through public tenders and contracts, expanding economic activity year by year.<\/p>\n

{{Is collecting 54% realistic?}}<\/p>\n

According to Niwenshuti, entrusting RRA with the responsibility of collecting 54% of the national budget is a remarkable milestone.<\/p>\n

He recalled that when RRA was established in 1998, it collected just Frw 66 billion, yet since then tax revenue has grown by an average of 13% annually.<\/p>\n

The 2025\/2026 budget allocates 62.8% to economic development projects such as roads and infrastructure, and 21% to social welfare initiatives.<\/p>\n

\u201cMuch of this money will directly benefit citizens through infrastructure and services,\u201d he explained. \u201cBut to achieve these targets, RRA cannot do it alone. It requires collective effort and citizen cooperation.\u201d<\/p>\n

{{Why new taxes?}}<\/p>\n

The Commissioner General explained that the introduction and revision of new taxes is part of the government\u2019s broader plan to strengthen the taxation system.
\nRwanda\u2019s ambition is that by 2029, tax revenue should reach 19% of GDP.<\/p>\n

\u201cThe more taxes we collect, the more the country can prosper \u2014 just like a household striving to improve its wellbeing. When you approach a bank for a loan, it first checks your ability to repay. Similarly, a nation must demonstrate its capacity to grow, and that capacity comes from tax revenues. Taxes give the country the strength to borrow and invest in development projects early, instead of postponing progress to the future,\u201d he noted. <\/p>\n

This year marks one of the most significant shifts in Rwanda\u2019s taxation framework, designed to help Rwandans clearly understand the nation\u2019s development path.<\/p>\n

\u201cTaxation itself is not enough. People must understand why it matters,\u201d he added. \u201cFirst, it\u2019s about raising more revenue. Second, it reduces the deficit between what people earn and what is needed for national services. Third, it changes citizens\u2019 mindset toward embracing their role in development.\u201d<\/p>\n

He noted that some taxes, such as those on alcohol, tobacco, and gambling, might be enacted to serve a social purpose, discouraging harmful habits that can negatively affect citizens\u2019 wellbeing.<\/p>\n

Niwenshuti urged Rwandans to shift their mindset and recognize that paying taxes is not merely an obligation but a direct contribution to the nation\u2019s progress.<\/p>\n

\"The<\/figure>\n","protected":false},"excerpt":{"rendered":"

The Commissioner General of the Rwanda Revenue Authority (RRA), Ronald Niwenshuti, has emphasized that taxes are like the lifeblood of a human body, sustaining the growth and prosperity of a nation\u2019s economy.<\/p>\n","protected":false},"author":62,"featured_media":2000092756,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6],"tags":[75],"byline":[170],"hashtag":[],"class_list":["post-55269","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-homenews","byline-igihe"],"bylines":[{"id":170,"name":"IGIHE","slug":"igihe","description":"","image":{"id":0,"url":"https:\/\/secure.gravatar.com\/avatar\/?s=96&d=mm&f=y&r=g","alt":"Default avatar","title":"Default avatar","caption":"","mime_type":"image\/jpeg","sizes":[]},"user_id":8}],"contributors":[{"id":170,"name":"IGIHE","slug":"igihe","description":"","image":{"id":0,"url":"https:\/\/secure.gravatar.com\/avatar\/?s=96&d=mm&f=y&r=g","alt":"Default avatar","title":"Default avatar","caption":"","mime_type":"image\/jpeg","sizes":[]},"user_id":8}],"featured_image":{"id":2000092756,"url":"https:\/\/en-images.igihe.com\/IMG\/logo\/2s2a0587-07626.jpg","alt":"","caption":"","mime_type":"image\/jpeg","width":0,"height":0,"sizes":{"thumbnail":{"url":"https:\/\/en-images.igihe.com\/IMG\/logo\/2s2a0587-07626.jpg","width":1,"height":1},"medium":{"url":"https:\/\/en-images.igihe.com\/IMG\/logo\/2s2a0587-07626.jpg","width":1,"height":1},"medium_large":{"url":"https:\/\/en-images.igihe.com\/IMG\/logo\/2s2a0587-07626.jpg","width":1,"height":1},"large":{"url":"https:\/\/en-images.igihe.com\/IMG\/logo\/2s2a0587-07626.jpg","width":1,"height":1},"full":{"url":"https:\/\/en-images.igihe.com\/IMG\/logo\/2s2a0587-07626.jpg","width":0,"height":0}}},"_links":{"self":[{"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/posts\/55269","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/users\/62"}],"replies":[{"embeddable":true,"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/comments?post=55269"}],"version-history":[{"count":0,"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/posts\/55269\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/media\/2000092756"}],"wp:attachment":[{"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/media?parent=55269"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/categories?post=55269"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/tags?post=55269"},{"taxonomy":"byline","embeddable":true,"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/byline?post=55269"},{"taxonomy":"hashtag","embeddable":true,"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/hashtag?post=55269"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}