The Ruhango district council in Rwanda has made a significant decision to sell its shares in several local businesses to private investors. This move is aimed at attracting investment and improving service delivery in the district. According to the council's chairperson, Rutagengwa Gasasira Jerôme, the decision was made during a recent council meeting where members reviewed various reports and made key decisions. The shares to be sold include those in a cassava processing plant and a rice processing factory.
The cassava processing plant, known as Spic Akarere, has been a key investment for the district, with an initial investment of RWF 100 million. The council has decided to sell its shares in the plant to private investors, with the aim of attracting new investment and improving the plant's operations. The chairperson of the council stated that the plant had been facing some challenges, including issues with hygiene, which needed to be addressed. The council has given the plant a timeframe to rectify these issues.
In addition to the cassava processing plant, the district council also has shares in a rice processing factory, known as Gafunzo Agro Processing Center, located in the Mwendo sector. The council currently holds a 60% stake in the factory, with plans to sell 55% of its shares to private investors. The remaining 5% will be held by the council to ensure oversight and representation of the local community.
The district council's decision to sell its shares in local businesses is part of a broader effort to promote private sector investment and improve service delivery. The council chairperson emphasized that the decision was made to attract new investment and create jobs, while also ensuring that the local community benefits from the investments. The council has also been working to address various issues, including tax exemptions and business closures.
The Ruhango district council's decision has been welcomed by local business leaders, who see it as a positive step towards promoting investment and economic growth. The Private Sector Federation (PSF) in Ruhango has expressed support for the council's decision, highlighting the potential benefits of private sector investment in the district. The PSF chairperson in Ruhango, Past Hubakimana Thomas, noted that the district's investments in local businesses, such as the Ruhango Investment Company (RIC), had been successful.
The Ruhango Investment Company, which is a property development company, has been a successful investment for the district, with the council holding a 29% stake. The company has attracted private sector investment and has contributed to the local economy. The council chairperson highlighted the RIC as an example of successful collaboration between the public and private sectors.
The Ruhango district council's term is set to expire on October 30, 2026, and the council members are expected to hand over their responsibilities to their successors. The council has made significant decisions during its term, including the privatization of its shares in local businesses. The impact of these decisions on the local economy and community remains to be seen.
Key points
- The Ruhango district council has voted to sell its shares in several local businesses to private investors, aiming to attract investment and improve service delivery.
- The council's decision is part of a broader effort to promote private sector investment and improve service delivery in the district.
- The privatization of the district's shares is expected to create jobs and stimulate economic growth in the local community.
