Construction industry still growing

A major challenge facing this industry has been the lack of local players in the sector, a reality that is attributed to the inadequate availability of domestic skilled labor. (file photo)

When driving around Kigali, one of the first things you will notice is the construc­tion taking place almost everywhere. Rwanda is currently facing what many would call aconstruction boom. Engineer Kenneth Mwiami with Roko construction says that the increased need for permanent structures is the reason for the boom: “More people are settling in the country and with that there is a need for more structures in the form of homes and offices for these people.”
The country’s construction industry has not only been limited to housing and buildings, but concerns all oth­er sectors of infrastructure. Minister of Infrastructure Silas Lwakabamba noted that a good infrastructure sys­tem is fundamental to achieving the set target of Vision 2020, “with a good infrastructure network we can attract more private investment that enables us to attain the goal of having a self-sustaining economy.”
Currently the ministry of infra­structure is working with other sec­tors, such as Energy, on different in­frastructure projects like the Rusumo and Nyabarongo dams for hydro elec­tricity, and the Ministry of Sports and Culture in building a multi-million sports complex in Kimisagara.
With four major construction com­panies at the beginning of the year, two more players have joined the fold and more are expected as the indus­try becomes more competitive. A ma­jor challenge facing this industry has been the lack of local players in the sector, a reality that is attributed to the inadequate availability of domestic skilled labor.
But these challenges will be curbed by the signing into law of the new construction law draft.
“The new law will enable to stream­line all the challenges facing the con­struction sector,” Lwakabamba also notes.
New construction law
Construction industry stakeholders have welcomed the new national con­struction policy draft proposal, saying it will streamline the sector and solve the challenges it currently faces, when the law is approved by the Cabinet.
“The draft policy addresses issues like inherent market restrictions, lim­ited access to credit, lack of manage­ment capacity and classification of lo­cal contractors, allowing for flexibility in the sector,” says Lwakabamba.
The policy will also promote spe­cialization and empower local consul­tants to take on big projects, as well as ensure that they access the necessary equipment and materials.

“With a good infrastructure network we can attract more private investment that enables us to attain the goal of having a self-sustaining economy.” Minister of Infrastructure Silas Lwakabamba

Lillian Mupende, the City of Kigali director for urban planning and con­struction, said when approved and implemented, the law will streamline operations in the sector.
“The construction sector is one of the major pillars of our economy. If it is organized and regulated, this will attract more investment into the sector and promote quality and con­sumer safety,” Mupende, who is also the head of the city’s One Stop Center, noted.
She said that when implemented, the policy would help improve the technical capacity of local contractors, thus creating more employment op­portunities for the youth.
According to Peterson Mutabazi, a principle senior engineer at the Min­istry of Infrastructure, the policy will strengthen compliance and adherence to sector standards.
“The draft policy articulates the core functions and priorities of gov­ernment in the industry and addresses issues like lack of maintenance plans.”
Eric Ntagengerwa, the head of planning at the Rwanda Transport Development Agency, said the policy is timely, especially at a time “when the agency is facing a lot of challenges with some contractors. Regulating the sector will help address the issues of lack of quality, inefficiency and lack of categorization in the industry,” Nta­gengerwa noted.
According to the draft policy, gov­ernment involvement in the sector, especially implementation of physical infrastructure projects, will decrease, creating more room for the private sector to take control.
Dismas Nkubana, the chairman of the Rwanda Engineers Governance Council, said the policy simplifies operations for players in the sector, something he hopes stakeholders will exploit to the benefit of the public.
“Combing different players in the industry will make it easy for it to work as one entity. Easy supervision and accountability will bring sanity to the industry,” Nkubana argued.
Lwakabamba said the draft poli­cy is one of the Ministry’s initiatives aimed at creating favorable conditions that allow the population to access eq­uitable and reliable infrastructure, in­cluding transport, urbanization, habi­tation and energy, while protecting the environment.
According to Geoffrey Mutabazi from Rwanda housing authority, the construction sector has not yet hit its peak: ‘with stability and the rampant economic growth this sector is still rapidly growing and we expect more players i