Skip to main content
 
Rwanda
Image
Poverty-Environment Action for Sustainable Development Goals

Direct private and public investments towards poverty-environment action by influencing investment incentive structures and guidelines and build capacity for the use of mainstreaming tools, including multidimensional poverty assessments which include an environmental sustainability perspective, in planning and budget processes.

Partner(s)

Rwanda Green Fund—FONERWA, REMA, MINECOFIN and MINALOC; private sector bodies, local communities and beneficiaries, universities and research organizations, donors and civil society and UN agencies.

Focus

By building on the progress made and focusing on addressing mainstreaming gaps and catalyzing increased investments, the project will work towards the following outcome: Increased and enhanced investments that deliver concrete and significant results in poverty reduction, environmental and natural resource sustainability and resilience building at national and district levels. Poverty-Environment Action will work with REMA and MINECOFIN to promote the use of strategic environment assessments and other relevant poverty-environment safeguarding mechanisms for public sector investments and review the impact of the community benefit fund from the tourism sector on poverty and environment issues on the ground with a view to improve it.

Mainstreaming Context

Rwanda is rich in natural resources with an economy closely linked to the environment. Over 50% of the country’s GDP is reliant on ecosystem services and 80% of employment is in the agriculture sector. While poverty has reduced from 44.9% in 2011 to 39.1% in 2014 in absolute terms the number of people defined as “extremely poor” rose by 8.32%. Unsustainable use of natural resources, climate change and population growth pose substantive risks to the achievement of key development goals and poverty reduction.

Rwanda is rich in natural resources with an economy closely linked to the environment. Over 50% of the country’s GDP is reliant on ecosystem services and 80% of employment is in the agriculture sector. While poverty has reduced from 44.9% in 2011 to 39.1% in 2014 in absolute terms the number of people defined as “extremely poor” rose by 8.32%. Unsustainable use of natural resources, climate change and population growth pose substantive risks to the achievement of key development goals and poverty reduction.

Main Activities

The Government of Rwanda is committed to deepen and broaden poverty-environment mainstreaming achievements made to further environmental sustainability for poverty reduction. This is in line with the country’s new National Strategy for Transformation 2018-2024 priority area 7 - promote sustainable management of the environment and natural resources to transition Rwanda towards a green economy.

To implement the new strategy the Government will through the project focus on influencing investments and strengthening district level capacity and coordination mechanisms to prepare investment proposals to ensure poverty-environment actions on the ground.

Moreover, the Government is keen on further exploring multi-dimensional poverty as it links to the environment.

Expected Achievements
  • Support the development, testing and application of tools (including poverty assessment tools) that can guide targeting and assist in monitoring
  • Build capacity in the use of mainstreaming tools at national, sector and district levels
  • Develop and support the implementation of investment plans in 2 pilot districts and support upscaling in other districts
  • Catalyse increased investments that effectively result in ending poverty and in Environment and Nature Resource sustainability, using natural resources as capital for poverty reduction
  • Identify and promote practical solutions that demonstrate the benefit of synergies between ENR sustainability and poverty reduction
Lessons Learned

Despite the significant progress made, as the formulation of the development challenge shows, there is still a gap in terms of using sustainable environment and natural resource management as a vehicle for poverty reduction. The immediate causes of the development challenge include that:

  • investments in environment and natural resources do not always incorporate poverty reduction objectives;
  • capacities, systems and procedures in national and decentralised institutions are inadequate to target investments and monitor their impacts from a poverty-environment perspective;
  • capacities, systems and procedures in national and decentralised institutions are inadequate to target investments and monitor their impacts from a poverty-environment perspective;

Thus, there is a need to broaden and deepen the mainstreaming of ENR objectives into sectors and districts through improved coordination mechanisms to increase public and private investments in pro-poor sustainability

Thus, there is a need to broaden and deepen the mainstreaming of ENR objectives into sectors and districts through improved coordination mechanisms to increase public and private investments in pro-poor sustainability

The Way Forward

 

The essence of the project sustainability approach is to build on achievements from the PEI, build institutional capacities and specifically target the integration of poverty-environment concerns into government planning, budgeting and investment frameworks as outlined in the key deliveaibles above. Poverty-Environment Action is fully embedded in the Rwanda Government’s systems and processes. This includes the Poverty-Environment Action day-to-day management in REMA and guidance through the MINECOFIN-led Steering Committee. Poverty-Environment Action will support the influencing and mainstreaming of poverty-environment elements in the regular national, sectoral and district planning, budgeting, implementation and monitoring systems. This follows the successful PEI model, and ensures full national ownership by the different entities, and is therefore fully sustainable. Studies, including possible Poverty Assessments, Cost-Benefit Analyses and others, may be used to showcase and influence policy and decision-makers for scaling up successful tools and methodologies through the regular government and national systems as successfully demonstrated by the PEI Rubaya model.