Performance Contract Scenario In Socio-Economic Development Of Rwanda: A Case Study Of Gatsibo District

ABSTRACF

The research was on performance contract scenario in socio-economic development ofRwanda.

The research was conducted in Gatsibo District which is one of the seven Districts found in the

Eastern province of Rwanda. Research was guided by the research questions of the study which

were; to find out if performance contract is a prerequisite to socio-economic development, to

examine the effects of performance contracts on the socio-economic development and to find out

measures being used to overcome performance contract limitations in decentralized levels of

leadership.

It was found that resource utilization, quick accomplishment of the work, promotion

efficiency/effectiveness, reduction of corruption, and promotion of hard work were the impact of

performance contract to socio-economic development in Gatsibo District.

On the scenario of performance contracts as a prerequisite to socio-economic development of

Rwanda, the findings revealed that; guaranteeing of accountability, avoidance of laziness,

production of quality work, involvement of community members were the prerequisites of

performance contract in Gatsibo District

On the limitations ofperformance contracts in the decentralized levels of leadership, the research

found out that; lack of technical knowledge, poor leadership and manRgerial skills, corruption

and embezzlement, ethnicity, and gender discrimination were the major challenges of

perfonnance contract.

The solutions to the limitation of performance contracts in Gatsibo District included: increase in

funding, training of more manpower, improvement of managerial skills need, curbing of

corruption. reduction of population through family planning and reconciliation and unity among

others were the major solutions.

TABLE OF CONTENTS

DECLARATION A

DECLARATION B ii

APPROVAL SHEET

DEDICATION

ACKNOWLEDGEMENT

LIST OF ACRONYMS

TABLE OF CONTENTS Vii

LIST OF TABLES

LIST OF FIGURES

ABSTRACT

CHAPTER ONE 1

INTRODUCTION 1

1.0 Overview I

I . I Background to the study 1

I .2 Statement of the problem 5

1 .3 Research Questions 6

1 .4 The purpose of the study 7

I .5 The objectives of the study 7

1 .5.1 The general objectives 7

VII

1.5.2 Specific objectives.7

1.6 The scope of the study 8

I.? The significance of the study 8

1.8 Organization of the study

1.9 Review

• 10 Definitions of Key terms 10

1.10.1 Performance 10

1 0.2 Contract 10

1 0.3 Performance contract 11

1 .10.4 The concept of Development 11

CHAPTER TWO 13

LITERATURE REVIEW 13

2.0 OVER VIEW 13

2.1 Performance 13

2.2 Contract 13

2.3 Performance contract 14

2.3.1 Performance contracts in Rwanda 15

2.3.2 The Essence of performance contracts 17

2.3.3 The advantages of performance contracts 17

2.3.4 Performance contracts monitoring and evaluation 18

VIII

2.3.5 IMIUIGO as a Results-Based Management Tool .19

2.4 IMIHIGQ & Decentralization in Rwanda 20

2.5 The concept of Development 21

2.5.1 Economic development 23

2.5.1.1. Major Challenges facing Rwanda’s Economy today 24

2.5.2 Social development 29

2.5.3 Socio-Economic Development 31

2.6 Rwanda’s Pillars of development vis-a-vis the IMIHIGO 33

2.7 Conceptual Framework 36

CHAPTER THREE• 37

RESEARCH METI-IDDOLOGy 37

3.0 Overview 37

3.1 Research Design 37

3.2 Research population 38

3.3 Sampling Procedure 38

3.3. Sample size 40

3.4 Research instruments 40

3.4.3 Documentary analysis 41

3.4.1 Interviews 41

3.4.2 Questionnaires 42

ix

3.5 Data Analysis .42

3.6 Validity and Reliability 43

3.7 Ethical consideration 43

3.8 Limitations 44

CHAPTER FOUR 46

PRESENTATION AND ANALYSIS OF THE FINDINGS 46

4.0 Introduction 46

4.1 Social Demographic Characteristics 46

4. 1.2 Marital Status of the respondents 48

4.1.3 Sex of the respondents 50

4.1 .4 Educational status of the respondents 52

4.2 The effects of performance contract to socio-economic development 54

4.3 Performance contracts as a prerequisite to socio-economic development of Rwanda 57

4.4 The limitations of performance contracts in the decentralized levels of leadership and measures to

overcome them 60

4.5 Measures to overcome limitations of performance contract 65

4.6 The SWOT analysis of IMIHIGO as an Approach to the study 68

4.7 SMART analysis of IMIII I GO in Rwanda as the Researcher’s analysis 70

CHAPTER FIVE 72

DISCUSSIONS, CONCLUSIONS AND RECOMMENDATIONS OF THE 72

FINDINGS OF THESTUDY 72

x

5.0 Introduction.72

5.1 Discussion of the ~i~d~i~gs ~ 72

5.2 Conclusion

5.3 Recommendations 76

5.4 Further areas of interest as far as this study is concerned 80

REFERENCES 81

APPENDICES 83

APPENDIX A: Research Instruments 83

I: QUESTIONNAIRE 83

APPENDIX A II: INTERVIEW GUIDE

APPENDIX B: RESEARCH INTRODUCTORY LETTER 97

Appendix C: CURRICULUM VITAE 98

APPENDIX D: MAP SOWING GATSIBO DISTRICT 101

(THE RESEARCH AREA) 101

APPENDIX E: GASTII3O DISTRICT- ORGANIZATIONAL CHART - OCTOBER 2009 1