Speaking about RRA's new targets, he highlighted the ambitious goal of collecting Frw 3.628 trillion in taxes during the 2025/2026 fiscal year, explaining how the Authority intends to achieve this and why citizens should better understand their role in building their country's economy.
For the 2025/2026 fiscal year, RRA aims to collect 54% of the national budget, which amounts to Frw 7.032.5 trillion. This collection effort aligns with the government's introduction of new taxes, expected to significantly contribute to financing Rwanda's development.
Niwenshuti stressed that citizens should appreciate the benefits of taxation, as revenues are reinvested in public infrastructure and services across the country.
'A nation can rely on its future if its people work, pay taxes, and grow the economy,' he explained. 'Think of taxes as the blood in a body. Taxes are the blood of a country's economy because when we collect them, we build roads, schools, hospitals, ensure security, and most importantly, we create jobs.'
He further noted that taxes stimulate employment through infrastructure projects, which generate jobs for citizens who, in turn, support their families. Taxes also create business opportunities through public tenders and contracts, expanding economic activity year by year.
Is collecting 54% realistic?
According to Niwenshuti, entrusting RRA with the responsibility of collecting 54% of the national budget is a remarkable milestone.
He recalled that when RRA was established in 1998, it collected just Frw 66 billion, yet since then tax revenue has grown by an average of 13% annually.
The 2025/2026 budget allocates 62.8% to economic development projects such as roads and infrastructure, and 21% to social welfare initiatives.
'Much of this money will directly benefit citizens through infrastructure and services,' he explained. 'But to achieve these targets, RRA cannot do it alone. It requires collective effort and citizen cooperation.'
Why new taxes?
The Commissioner General explained that the introduction and revision of new taxes is part of the government's broader plan to strengthen the taxation system.
Rwanda's ambition is that by 2029, tax revenue should reach 19% of GDP.
'The more taxes we collect, the more the country can prosper â€" just like a household striving to improve its wellbeing. When you approach a bank for a loan, it first checks your ability to repay. Similarly, a nation must demonstrate its capacity to grow, and that capacity comes from tax revenues. Taxes give the country the strength to borrow and invest in development projects early, instead of postponing progress to the future,' he noted.
This year marks one of the most significant shifts in Rwanda's taxation framework, designed to help Rwandans clearly understand the nation's development path.
'Taxation itself is not enough. People must understand why it matters,' he added. 'First, it's about raising more revenue. Second, it reduces the deficit between what people earn and what is needed for national services. Third, it changes citizens' mindset toward embracing their role in development.'
He noted that some taxes, such as those on alcohol, tobacco, and gambling, might be enacted to serve a social purpose, discouraging harmful habits that can negatively affect citizens' wellbeing.
Niwenshuti urged Rwandans to shift their mindset and recognize that paying taxes is not merely an obligation but a direct contribution to the nation's progress.
IGIHE
