Rwanda Secures €40 Million EU Grant to Modernize Agriculture

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Rwanda has secured a €40 million (approximately Rwf67 billion) grant from the European Union to accelerate the transformation of its agricultural sector through climate-smart and sustainable farming practices.

The financing agreement was signed by Rwanda’s Minister of Finance and Economic Planning, Yusuf Murangwa, and the European Union Ambassador to Rwanda, Belén Calvo Uyarra.

The five-year funding package will support the implementation of HANGARIBIHE: Transformational Climate-Smart and Inclusive Agriculture in Rwanda, a flagship initiative aimed at making the country’s agriculture more productive, resilient to climate change, and environmentally sustainable.

Of the total €40 million, €36 million will be provided as budget support to the Government of Rwanda to finance priority agricultural reforms and investments.

The remaining €4 million will fund technical assistance, institutional capacity building, and technical studies to strengthen implementation and ensure long-term impact.

The investment is expected to help expand climate-smart farming practices, improve soil and water conservation, strengthen farmers’ resilience to climate shocks, increase agricultural productivity, and promote sustainable management of natural resources.

It will also enhance the capacity of institutions responsible for delivering agricultural services and implementing sector reforms.

Speaking during the signing ceremony, Minister Yusuf Murangwa welcomed the partnership, emphasizing its importance in advancing Rwanda’s agricultural transformation and strengthening the country’s resilience to climate change.

“This partnership reflects our shared commitment to transforming Rwanda’s agriculture into a modern, inclusive, and climate-resilient sector that improves livelihoods while protecting the environment,” he said.

The agreement underscores the European Union’s continued support for Rwanda’s efforts to build a resilient agricultural sector capable of driving economic growth, enhancing food security, and adapting to the growing challenges posed by climate change.

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