• Germany grants €18M to boost Rwanda’s social protection system

• Funds to support poverty reduction, expand Vision Umurenge Program

• Aid aligns with national goals on malnutrition, safety nets, education

The Rwandan government and Germany, through the German Development Bank (KfW), signed a €18 million ($21 million) grant agreement on Monday to strengthen Rwanda’s social protection system.

The funding will support the Vision Umurenge Program (VUP), a core element of Rwanda’s poverty-reduction strategy that helps poor households move out of poverty. It will also back Kigali’s efforts to improve social programs, reduce poverty, and build resilience.

“This grant from the Federal Republic of Germany through KfW is a re-affirmation to our shared commitment and partnership to invest in the well-being of the people of Rwanda,” said Yusuf Murangwa, Minister of Finance and Economic Planning.

Managed by the government with support from development partners and NGOs, the VUP focuses on boosting rural growth and expanding social protection coverage. The funds will be managed by the Local Administrative Entities Development Agency (LODA).

The grant aligns with the new National Strategy for Transformation (NST2, 2024-2029), which seeks to cut chronic malnutrition among children under five from 33% to 15% and expand access to social safety nets.

Rwanda has made strong gains in health and education in recent years. About 90% of the population is now covered by universal health insurance, helping to raise life expectancy from 66.6 years in 2017 to 69.9 years, according to Think Global Health.

School enrollment now stands at 94%, though officials acknowledge quality challenges remain.

Lydie Mobio