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Contribution of small and medium enterprise to the economic development of Rwanda

par Valens NYANDWI
Universite Nationale du Rwanda - Licence 2013

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It has been a result of a number of factors, but the main factor is a lack managerial skills and the lack of good conditions of working such as technological advanced, limited skills and knowledge and lack of financial tools.

As finalist student in Development Economics at University of Rwanda-Huye Campus in this research, we picked interest in one of techniques that is commonly used in decision making since it naturally provides much information in almost every aspect of the business.

The researcher was motivated to find out the assessment of the contribution of small and medium enterprises to the economic development of Rwanda in case of employment level provided the level of taxes, production level produced, etc. The student was also interested in knowing whether this techniques is used or not, and what could be the requirement to use them effectively.

4.8.3. Basic activities of Huye Water enterprise

Processing activities;

Natural water production

Fabrication of plastics bottles

? Range of products and services before selling;

? Distribution of products

? Assistance to local and urban areas Huye water enterprise plans

Here, in order to increase properly the production level of this enterprise, three terms were adopted, short- term plan, medium -term and long- run plan.

? Short-term plan

Advertisement more their products through in the different areas like radio, television, etc in order to attract the population within the country and abroad.

? Medium-term plan

Innovation and creating new products, and sending other retailers agencies in the different region of our country like in Rubavu District, Kirehe District and abroad with Burundi is included.

? Long term plan

This enterprise has plans of contracting loans from the bank ( I&M Bank) or getting credit from private sector. These long plans are to assist in the potential for growth in term of production level. As a result it is trying to import heavy machines in order to facilitate on its production capacities.

4.9. Employment situation in Huye water enterprise

Presently Huye water enterprise employs 26 permanent workers, and others employees that have been hired according on the period of time. Here, when there a high demand of product ( water) in some areas directly the level of distributers must be increased.

Table 4.3 Educational level located in Huye water enterprise:

Level of education

Number of employees

Percentage (%)







Post- secondary









(Source: Primary data on 10th/May/2014)

Presently over 14 workers employed in the enterprise located into the office of General Director. The remaining number of workers is employed without the consideration of their education.

The majority of the employees have obtained some level of formal education at all. About 53% of workers have a higher than junior primary educational level, all these evidence to the extent, the production scale and growth of enterprise is positively correlated with education of proprietor.

It is likely that education will not be major limiting factor in potential growth of the industry, but skills enhancing training may however be required particularly among women. The limiting skills and training among workers in the industry may be the case to the slow growth of the industry.

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