A Sustainable Asset Valuation Assessment of Nature-Based Solutions in Kigali, Rwanda

This report presents a Sustainable Asset Valuation (SAVi) assessment of Nature-based Solutions (NbS) implemented in Kigali, Rwanda, as part of the SUNCASA project. Using an integrated cost-benefit analysis (CBA) for the period 2025–2050, the study quantifies the economic, social, and environmental impacts of interventions such as afforestation, reforestation, agroforestry, and urban tree planting. The assessment finds that these NbS interventions are economically viable, providing significant avoided costs related to flood damage and health, alongside added value from carbon sequestration and employment.

• The NbS interventions in Kigali are projected to be economically viable, with a discounted benefit-to-cost ratio (BCR) of 2.09 and a cumulative net benefit of RWF 17,039 million over a 25-year period (2025–2050). The project's payback period is estimated at 7 years.
• The most significant economic impact of the NbS scenario is the reduction of tangible costs associated with flood damage to infrastructure, valued at a discounted RWF 17,311 million. This is expected to reduce flood damage to approximately 687 buildings in the city and surrounding areas.
• Beyond infrastructure, the project generates substantial intangible and environmental benefits, including RWF 5,349 million in avoided health costs from water pollution, RWF 4,337 million from carbon sequestration, and RWF 2,875 million from employment creation.
• Sensitivity analysis indicates that the project's economic viability increases under higher valuations of carbon and water pollution. Using a World Bank shadow price of USD 40/ton for carbon increases sequestration benefits to RWF 12,144 million and the BCR to 2.60. When both high carbon and high water pollution costs are applied, the BCR rises to 2.94.
• Spatially explicit analysis using InVEST models shows that the 'Restored LULC scenario'—which includes 1,200 ha of agroforestry, 650 ha of reforestation, 215 ha of afforestation, 395 ha of riparian zone restoration, and 85,000 urban trees—increases carbon storage by approximately 30% (600,000 tons) and runoff retention by roughly 5% (1,700,000 m3).
• The NbS interventions target six high-risk, flood-prone micro-catchment areas in the lower Nyabarongo River watershed: Rugunga, Rwandex, Gisozi-Mukindo, Gisozi-Karuruma, Nyabisindu, and Kinyinya.

APA

Kapetanakis, M. (2026). A Sustainable Asset Valuation Assessment of Nature-Based Solutions in Kigali, Rwanda. International Institute for Sustainable Development. https://www.iisd.org/system/files/2026-01/nature-based-solutions-kigali.pdf

Chicago

Kapetanakis, Michail. A Sustainable Asset Valuation Assessment of Nature-Based Solutions in Kigali, Rwanda. International Institute for Sustainable Development, 2026. https://www.iisd.org/system/files/2026-01/nature-based-solutions-kigali.pdf.

Wikipedia

{{cite report |last1=Kapetanakis |first1=Michail |title=A Sustainable Asset Valuation Assessment of Nature-Based Solutions in Kigali, Rwanda |publisher=International Institute for Sustainable Development |date=January 2026 |url=https://www.iisd.org/system/files/2026-01/nature-based-solutions-kigali.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{kapetanakis2026sustainable, author = {Kapetanakis, Michail}, title = {{A Sustainable Asset Valuation Assessment of Nature-Based Solutions in Kigali, Rwanda}}, institution = {International Institute for Sustainable Development}, year = {2026}, month = jan, url = {https://www.iisd.org/system/files/2026-01/nature-based-solutions-kigali.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }