Employment impact assessment of the National Feeder Roads Programme in Rwanda, using GIS and LFS data

The National Feeder Roads Programme (NFRP), co-funded by the European Union (EU) and the Government of Rwanda (GoR), aimed to rehabilitate and maintain rural feeder roads to improve agricultural market access, enhance food security, and promote inclusive economic development. Building on an earlier STRENGTHEN2 assessment that utilized nighttime lights (NTL) data, this study employs Labour Force Survey (LFS) data to provide a detailed analysis of employment, sectoral shifts, wages, and working hours, offering new insights into the programmes’ impacts on employment outcomes.

The findings reveal that while the overall effect of the feeder roads on total employment was modest, changes were observed in the composition of employment. Areas benefitting from rehabilitated roads experienced an increase in agricultural and industrial employment, particularly among male workers, reflecting structural transformation. However, the overall employment effects remained statistically non-significant, suggesting that the full benefits of such infrastructure projects may take longer to materialize. Wages were seen to increase for the benefitting population, with male workers seeing the greatest gains, indicating improved productivity and access to higher-income opportunities.

Gender disparities were evident in the outcomes, where male workers benefited more significantly from the programme, particularly in terms of industrial employment and wages. Female workers, on the other hand, saw an increase in agricultural employment and working time which could be reflective of the labour market in Rwanda. These findings highlight the need for targeted interventions to ensure women benefit equitably from rural infrastructure investments.

This study underscores the importance of integrating diverse methodologies for assessing the impacts of rural road programmes. While NTL data provided insight into economic growth and employment more broadly, it had limitations in capturing nuanced labour market dynamics in rural areas. The application of the LFS data offered a more granular view, highlighting sectoral transitions and impacts on wages and working time with the intersection of gender. The report confirms that rural road investments, when complemented by policies to enhance skills and address gender disparities, can play a critical role in supporting employment.