Effect of Effective Management of Donors’ Fund on ICT Sector Development in Rwanda

Abstract

The main objective of this paper is to assess the effect of effective management of donors’ fund on ICT sector
development in Rwanda.
A Purposive sampling have been used to select employees in charge of ICT in higher learning institutions,
Broadband Systems Corporation Ltd (BSC Ltd) staff, Rwanda Information Society Authority (RISA) staff ,
MINECOFIN projects implementation unit staff and Rwanda Development Board single project implementation unit
staff. In total 24 employees from these institutions contributed to this research through responding elaborated
questionnaire and by the mean of interview. Purposively six students responded to the questionnaire.
The questionnaire and an interview guide were used to collect primary data and were analyzed using Statistical
Package for Social sciences, descriptive and inferential statistics were adopted as research approach. Qualitative data
was treated through sound content analysis.

Results from the research found the following: It has been observed that the total budget of USD 24.M allocated to
finance the Rwandan ICT sector was executed up to 99.54% and all components have been implemented at a
satisfactorily rate by both the World Bank and the Government of Rwanda. This high finance performance rate
caused a radical change in ICT Sector development whereby after the project implementation period elapsed, a
number of ICT sector development indicators proved a tremendous shift. One of those indicators is mobile
subscriptions and internet subscriptions that increased 217 % and 1,000% respectively. The cost of international
internet connectivity got an up-down shift from $10,000 in 2008 up to $125 in 2014. Both physical and financial
project implementation indicators evidenced the close relationship or the causality of ICT sector development given
an effective funds management. Finally, the Pearson coefficient of 0.814** that was obtained from testing both
variables of this study resulted in positive high correlation between donors’ funds management and the ICT sector
development.