This article was derived from a speech by the Minister for Natural Resources, Dr Vincent Biruta, at the National Workshop on Natural Capital Accounting in Rwanda, and was originally published on The New Times.
“For Rwanda to progress, grow and manage our economy wisely, we need good measures to evaluate our economic status and performance. Gross Domestic Product is a standard or traditional measure of economic performance, focused on income, the value of goods and services. But it does not give us insight about the underlying wealth and the assets that sustain our income, or the trends in their use or performance.
For some time now, we have been keen to evaluate and measure natural assets’ contribution to ensure sustainability and the purpose of the just ended National Workshop on Natural Capital Accounting in Rwanda will help us address this challenge. Natural capital accounting gives us an approach and tools that will help us analyse the trends in our underlying natural assets. This tool can inform our efforts to sustain performance through sound management of natural assets.
I am pleased to see that our economic and statistical departments recognise the value of natural capital accounting as an extension of the System of National Accounts. This approach will help us integrate natural resources into our economic analyses. It can give us a broader view of development progress. Natural capital accounting can add value in Rwanda’s national development planning process by raising attention on economically important natural resource sectors.
The NCA approach requires that we work together across sectors and institutions to produce consistent, reliable data to support economic assessments and sound policy formation. The NCA approach can help to identify trade-offs or potential constraints as Rwanda grows…”
Read on at: The New Times.