From 22nd to 24th May 2019, Districts and City of Kigali Executive Secretaries, Corporate Services Division Managers, Directors of Finance and Revenue Accountants met in a Technical Forum at La Palisse Hotel in Nyamata, to set local revenue collection targets for the year 2019-2020 and to discuss issues affecting Local Public Financial Management.
The forum was organized by Rwanda Association of Local Government Authorities (RALGA) in collaboration with the Ministry of Local Government (MINALOC), the Ministry of Finance and Economic Planning (MINECOFIN) and Rwanda Revenue Authority (RRA), with financial support from the German Technical Cooperation Agency (GIZ).
Other key stakeholders invited included the Ministry of Education (MINEDUC), the Ministry of Health, the Ministry of Public Service and Labour (MIFOTRA), the Office of the Auditor General of State Finances, Rwanda Education Board (REB), National Itorero Commission (NIC), Rwanda Social Security Board (RSSB) and Rwanda Energy Group (REG).
The forum was also attended by RALGA’s Secretary General, Mr. Ladislas NGENDAHIMANA and Deputy Secretary General, Ms. Francine TUMUSHIME. The closing ceremony was officiated by the Minister of State in charge of Social Affairs in the Ministry of Local Government, Honorable Alvera MUKABARAMBA.
Ambitious revenue collection targets set based on districts potentialities
In their interventions, both MINECOFIN and RRA officials emphasized the importance of setting ambitious but realistic revenue collection targets based on Districts potentialities to ensure that they are achievable. In addition, RALGA Secretary General highlighted the importance of maximizing revenue collection as a way of boosting the country’s development in general, improving citizens’ life and enhancing the financial autonomy of the Districts.
After intensive working sessions during which districts and RRA technicians had extensive discussions, revenue collection targets were set for every district pending approval by the district councils. The general local revenues collection targeted an increase of 14.3% for the fiscal year 2019/2020, as compared to 2018/2019.
The forum was also an opportunity for the participants to share experience on factors affecting the attainment of the revenue collection targets set. Districts were encouraged to closely collaborate with RRA in the sensitization campaigns and in improving mechanisms for revenue recovery.
Targeting Clean Audits
With the purpose of addressing key issues affecting Local Public Financial Management, representatives of key government institutions and agencies were convened to the forum. They included the Auditor General of State Finances, Mr. Obadiah BIRARO, as well as representatives of the Ministry of Education, the Ministry of Public Service and Labour (MIFOTRA), the Ministry of Health, Rwanda Education Board (REB), National Itorero Commission and Rwanda Social Security Board (RSSB).
In his remarks, Mr. Henry KAKOOZA, the Dean of District Executive Secretaries highlighted the fact that no district has got a clean audit report so far. According to him, the responsibility is shared between the districts which do not fully comply with PFM rules and regulations and their partners who do not fulfil their part of responsibilities.
As a way of addressing the identified issues, the participants recommended close collaboration between concerned partner institutions, timely information sharing on issues affecting quality and efficient service delivery, as well as joint planning.
On his side, the Auditor General provided guidance on how districts can achieve clean audits. He recommended compliance to PFM rules and regulations aiming at maximizing value for money and doing justice to the Citizens. He also advised District Management and Mayors in particular, to pay particular attention to "Financial Statements" and especially to own the "Statement of Responsibilities". He also advised the districts to work closely with other government institutions to sort out issues that appear in the audit reports and which prevent them from achieving clean audits.
Besides commitments made by participants and self-assessment that pointed out the gaps in need to be filled, the Minister of State in charge of Social Affairs, Dr Alvera Mukabaramba, commended RALGA for capacity development initiatives and interventions that support Local Governments.
She encouraged Local Government Chief Budget Managers to ensure proper financial management bearing in mind the service they owe the citizens, especially the needy and the vulnerable. Failure to fulfil their responsibilities lead to several human security issues.
She pledged the Government’s support to RALGA in particular, and to the entire local government family, as they endeavor to deliver to Rwandans’ expectations.
She also committed to follow up on some of the recommendations that need advocacy. “These issues shall be discussed with relevant institutions in a near future”, she noted.
The technical forum for the Local Government Chief Budget Managers, which is organized by RALGA for her members, convenes twice a year, in December and in May.
