Local Economic Development (LED)

Local Economic Development is defined as a process through which different actors (government, private sector, non-government organizations and communities) work together to achieve economic growth, sustainable development and improved quality of life for local communities. It is an approach that strengthens the economic capacity and competitiveness of a local entity based on its potentialities. It is indeed a partnership and participatory approach that focuses on strategic planning centered on local demand to facilitate job growth, poverty reduction and improved living conditions of communities.

The Ministry of Local Government (MINALOC) is the lead ministry on local economic and community development. Its mission is to ensure effective coordination of good governance and high quality territorial administration programs that promote economic, social and political development throughout the nation.

Under the overseeing of MINALOC, LODA is linked with LED in that it coordinates and mobilizes resources for funding local economic and community development in local administrative entities with legal personality (the City of Kigali and Districts). From this perspective, LODA’s preoccupation pivots around the following priorities:

  1. Promote value chain development based on the local potentialities and comparative advantages;
  2. Enhance the local business investment climate;
  3. Investing in infrastructures;
  4. Capacity Development for entrepreneurship and employment
  5. Enhance the capacity of local entities to deliver on LED;
  6. Promote community participation in generating inclusive solutions to support LED;  and
  7. Effective coordination of stakeholders involved in LED Strategy.