Effect of Stakeholders’ Participation on Performance of Poverty Alleviation Coalition (PAC) Project in Rwanda; A Case of Caritas Rwanda in Nyabiheke Refugee Camp from Gatsibo District

A common cause of project failure is the inadequate involvement of key stakeholders, leading to poor communication, mistrust, and a lack of support from those most affected by the project. This study examines the impact of stakeholder participation on the performance of the Poverty Alleviation Coalition (PAC) Project implemented by Caritas Rwanda at Nyabiheke Refugee Camp in Gatsibo District, Rwanda. Drawing on several theories, including stakeholder theory, social exchange theory, and communicative action theory, the study employs a survey questionnaire to collect primary data from 245 respondents out of a targeted 247, consisting of staff, project partners, and beneficiaries. The research applies quantitative methods, using descriptive statistics and multiple regression analysis via SPSS to examine the correlation between variables such as stakeholder salience, risk appetite, communication, and consultation with the performance of the PAC project. The findings reveal a strong positive correlation between stakeholder salience, communication, consultation, and project performance. However, no significant effect was found for stakeholder risk appetite. Additionally, issues such as high stakeholder urgency causing delays, lack of communication about project direction and risks, and insufficient consultation with beneficiaries were identified, all contributing to underperformance. The study recommends that Caritas Rwanda and project managers improve stakeholder communication and consultation throughout all project phases to enhance stakeholder engagement and ensure better project outcomes.