Rwanda is making significant progress towards the Millennium Development Goal targets and is lifting people out of poverty. We have seen for ourselves the tremendous improvements that Rwanda has made since 1994 and consider that general budget support has proved effective in reducing poverty in Rwanda. For this reason, we think that UK aid should continue to benefit the people of Rwanda. However questions arise about the best method to deliver it. (Paragraph 26)
Agreed. The Secretary of State, Justine Greening has instructed the Department to look at options around how the UK can protect the poorest groups in Rwanda, with the aim of continuing our support to its impressive poverty reduction efforts. We have since the decision released £3m for a social cash transfers programme which will be directly targeted at the poorest. Other reprogramming interventions are being designed.
Update: DFID has continued to consider alternatives delivery options in Rwanda, and is developing a programme that includes support through Government, civil society, the private sector and the multilateral organisations. At each decision point around Budget Support we continued to prioritise poverty reduction for those most in need in Rwanda.
We do not believe that Rwanda has met the Prime Minister’s conditions and we recommend that the second tranche of general budget support should not be provided in December. (Paragraph 27)
As stated in the Secretary of State for International Development’s Written Ministerial Statement of 30 November, the UK did not release the second tranche of general budget support to the Government of Rwanda, scheduled for December, due to our assessment of a breach of the partnership principles.
Update: Following an updated assessment of the situation in March 2013, £16m of the December 2012 GBS allocation of £21m was re-programmed, as set out by Written Ministerial Statement, to support programmes that protected the poorest groups; including through Non-Governmental Organisations