The draft law was previously approved by Parliament and will now be forwarded to the budget committee for detailed scrutiny, where each provision will be reviewed ahead of the final approval of the new national budget in Rwanda.
Domestic revenue is projected at Rwf 4,662.7 billion, comprising Rwf 3,655.3 billion in tax income, Rwf 516.5 billion from domestic borrowing, and Rwf 490.8 billion from other sources, including assets, sales of goods and services, fines, and penalties.
Foreign revenue is expected to reach Rwf 2,289.3 billion, made up of Rwf 1,639.7 billion in loans and Rwf 649.6 billion in grants.
The funds will be allocated according to priority needs and planned government activities. The recurrent budget is set at Rwf 4,836.2 billion, covering staff salaries of Rwf 1,167.2 billion, expenditure on goods and services of Rwf 1,038.8 billion, and interest payments totaling Rwf 536.4 billion.
In addition, there will be funds allocated for durable equipment, grants, loans, and assistance for the disadvantaged, as well as other miscellaneous expenses.
The development budget has been set at Rwf 2.115.8 billion and will be used for various development projects across the country.
Minister of Finance and Economic Planning, Murangwa Yusuf, recently told the parliament that the reduction in the budget was due to changes made in the process of securing funds for the construction of the new Kigali International Airport. The amount required for this project was reduced by Rwf 168.2 billionfor the 2025/2026 fiscal year.
Additionally, the planned repayment of the RwandAir loan for the 2025/2026 fiscal year has been revised, meaning the repayments will begin gradually from the 2026/2027 fiscal year.
This reduction in the budget has been offset by an increase in foreign funds for development projects, particularly funds expected from international aid and loans.
Key changes in this budget revision include the increased revenue, an increase in tax revenues, additional funds, and the rise in foreign grants and loans used for development projects, along with a decrease in foreign loans routed through the State Treasury.
Despite the overall reduction in the budget, the government has shown that foreign funds are expected to rise by Rwf 250.5 billion, primarily from grants and loans for development projects.
This will coincide with an increase in the development budget, which will also rise by Rwf 253.3 billion.
The Parliament approved the revised budget for the 2025/2026 fiscal year.
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