All Press Releases for June 18, 2015

When Kagame's Phone Call Changed the Fortunes Of Southern Rwanda, A KT Press Report

In 2002, President Paul Kagame summoned opinion leaders and traders from Nyamagabe district of former Gikongoro prefecture in Southern Rwanda.



    KIGALI, RWANDA, June 18, 2015 /24-7PressRelease/ -- In 2002, President Paul Kagame summoned opinion leaders and traders from Nyamagabe district of former Gikongoro prefecture in Southern Rwanda.

"He (Kagame) has challenged us to do something for our region which many Rwandans think had been cursed," Trade Minister, Francois Kanimba, told KT Press.

Hundreds of residents fled the area. Ohers succumbed to hunger until late 1980s. Soils were infertile. Only eucalyptus trees grew. Nyamagabe looked like "abandoned property".

A Multi-Sector Investment Group (MIG), Rwanda's pioneer collective investment group was created to promote investments to benefit the local population.

MIG's 890 shareholders collected Rwf 1 billion ($1.3 million). They invested in honey production, tea and coffee production after Kagame supported the plan.

Halfway, the investment stagnated. The government intervened with Rwf 60 million for 5 consecutive years.

MIG grew to Rwf 10 billion and invested in the Mushubi tea factory, a-20,000 tons annual production capacity.

Minister Kanimba built a-four-storied complex breaking monopoly of the only 2-storied structures.

Another businessman started Volcano Express, a bus company offering transport along the 43 km-Huye-Nyamagabe highway and major commercial banks were established in Nyamagabe.

UK's New Forest Company (NFC) also entered Nyamagabe, a $ 60 million firm, producing 10,000 poles annually for both Rwanda and Tanzania.

Nyamagabe's annual revenues doubled to Rwf622 million in 2015, from Rwf338 million in 2011.

About 20% of households were affected by famine until 2006. The number declined to 6% by 2012.

"One meal a day was once a luxury," says Jacqueline Mukarucogoza 50, a farmer from Cyanika sector. Her neighbours succumbed to the 1987 drought.

Farmer of Cyanika sector for example, were moved to rural settlements (imidugudu) with clean water, electricity and roads. Each owned a water harvest tank enabling irrigation.

Kagame offered a cow to each family under 'One Cow per household' initiative, a project that has benefited over 250,000 households countrywide.

Food crops; Irish potatoes and cassava yields have increased to 28 tons/hectare last year, up from 15 tons in 2010.

Nyamagabe poverty levels decreased from 47% in 2002 to 36% in 2012. Once a hunger stricken region is now one of the country's food baskets. "Now, we can afford three meals a day," says Mukarucogoza.

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