Africa-Press – Rwanda. The City of Kigali is expected to spend Rwf251.7 billion in the next fiscal year, Mayor Samuel Dusengiyumva said this on Friday, May 9, as he appeared before the parliamentary Committee on State Budget and Patrimony to discuss the city’s proposed budget for the year starting July 1.
This marks about a 12 per cent decrease from the budget the city got in 2024/25.
However, Dusengiyumva said the city budget is projected to grow to over Rwf263.8 billion in 2026/27 and Rwf306.4 billion in 2027/28.
He was presenting the proposed fiscal plan a day after the Minister of Finance and Economic Planning Yusuf Murangwa presented the Budge Framework Paper covering the period between 2025/26 and 2027/28, to both chambers of the Parliament.
During Friday’s session, the city mayor highlighted six key projects set to be financed in the upcoming fiscal year.
Informal settlement upgrading – RUDP II
Under the World Bank-funded Rwanda Urban Development Project II (RUDP II), Kigali plans to upgrade four informal settlements: Mpazi in Nyarugenge District, Nyabisindu and Nyagatovu in Gasabo, and Gatenga in Kicukiro.
Close to Rwf27 billion was earmarked for the implementation of the project in the next year.
The total project cost is Rwf53.9 billion and is scheduled for completion in December 2025. No major funding challenges have been reported by the city authorities.
Nyabugogo bus terminal revamp – RUMI project
Through the Rwanda Urban Mobility Improvement (RUMI) Project, Kigali plans to modernise the Nyabugogo bus terminal and create a dedicated bus lane.
Up to Rwf19.3 billion will be allocated to the project in 2025/26, and the amount is projected to rise sharply in the following years to over Rwf82 billion by 2027/28.
The total project costs will exceed Rwf288.6 billion, according to the City of Kigali. The project is backed by the World Bank and aims for completion in 2030 and supports national development goals like Vision 2050.
Kigali Informal Settlement Upgrading Project (KISUP)
Targeting informal settlements in the Rwezamenyo area in Nyarugenge and Kagugu area in Gasabo, the Kigali Informal Settlement Upgrading Project (KISUP) will cost more than Rwf92 billion. Completion is slated for July 2029.
Rwf20.4 billion has been earmarked for the project in 2025/26.
However, the city still needs Rwf9 billion for expropriation compensation.
Completion of Kigali Infrastructure Project (KIP)
With nearly Rwf300 billion already spent, Kigali Infrastructure Project (KIP) is nearing completion, according to Dusengiyumva. The full budget is $404 million (around Rwf575 billion based on current exchange rates), and it is funded through a co-financing model. Rwf15 billion has been earmarked for the project in 2025/26.
The project consists of constructing 215.5 kilometres of road network.
Dusengiyumva said that the City of Kigali is now focused on securing funds to repay the loan, which comprises $150 million and Rwf88 billion.
Community-driven road projects
This community-driven initiative involves a cost-sharing model between residents and the City of Kigali.
For this project, more than Rwf1.1 billion is expected to be spent. The project planned for the period 2023/2024 – 2025/2026 requires an estimated Rwf4.3 billion.
So far, over Rwf1 billion has been spent through the City of Kigali. For 2025/2026, more than Rwf1.1 billion is earmarked for supporting this initiative.
Despite budget constraints, the city in collaboration with other relevant entities has developed implementation guidelines and aims to scale up construction in the coming year, according to Dusengiyumva.
“We think that in the next year, we will be able to fast-track construction so that we build quality roads,” Dusengiyumva said.
“It is a good initiative and we appreciate residents building roads in collaboration with the city. We are committed to investing more efforts into it.”
Improving living conditions in informal settlements
Focused on residents of Mpazi in Nyarugenge and Nyabisindu in Gasabo, this project is designed to enhance resilience and quality of life in vulnerable urban areas. It is scheduled for completion in 2025/26, costing Rwf1.4 billion.
These six projects reflect Kigali’s strategic priorities in urban upgrading, mobility, and infrastructure, despite a tighter budget.
City authorities emphasise partnerships and resident collaboration as key to realising these goals.
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