Economy and Business

Bắn cá rồngRwanda’s economy has tremendously recovered over the last two decades. The country registered an average GDP growth of around 8 percent per year, with a double-digit growth recorded in the last two quarters of 2019. Since 2000s, collected domestic taxes increased 20 times while the national budget increased 14 times. Rwanda is the 2nd best place to do business in Africa thanks to extensive 10-year doing business reforms. This page provides highlights of Rwanda's economic achievements over the last two decades.

9.4%

GDP Growth (2019)

824.927

GDP Per Capita (IMF, 2019)

2nd

best place to do business in Africa (WB 2020)

1st

least corrupt country in East Africa (4th in Africa)

I. Economic growth

Bắn cá rồngRwanda’s economy has tremendously recovered over the last two decades. Rwanda's Gross Domestic Product (GDP) has risen from $752 million in 1994 to $9.5 billion in 2018, and the GDP per capita has grown from $125.5 to $787 during the same period.

The country registered an average GDP growth of around 8 percent per year over the last two decades, with a double-digit growth recorded in the last two quarters of 2019 (12% growth in the 2nd quarter, and 11.9% in the 3rd quarter).

The sustained economic growth has led to one million people being lifted out of poverty (between 2000 and 2017) wile the life expectancy has risen from 29 years in 1994 to 67 years in 2016 . Inflation has fallen from 101% in 1995 to 1.1% in 2018. Collected domestic taxes increased 20 times while the national budget increased 14 times over the last 20 years. . 

II. Business and Investment

Over the last ten years, Rwanda has implemented a successful doing business reform agenda in order to create a favourable and competitive business environment. As a result, Rwanda jumped over 100 places in the World Bank Doing Business Index, today ranking 38th globally and 2nd in Africa. The value of investments registered more than tripled from US$400 million in 2010 to US$2.006 billion in 2018.  

Bắn cá rồngIn 2019, , an increase of 22.6% from the previous year.  Energy and manufacturing accounted for 75% of all investments registered (45% and 30% respectively). Other sectors that attracted significant investments were construction, agriculture, services including ICT as well as mining.

Key Global Rankings

  • 2nd in Africa and 39th easiest place to do business globally ()
  • Among top 10 Global reformers (Doing Business Report, World Bank 2019)
  • B+ Long-Term Foreign-Currency Issuer Default Rating (IDR) - Stable Outlook (Fitch Ratings 2019)
  • 4th in Africa and 1st least corrupt country in East Africa (Corruption Perception Index, TIR 2015

III. Tourism

Bắn cá rồngOver the last two decades, Rwanda has positioned itself as one of the best tourist and conference destinations. Thanks to the iconinc "" brand and the vibrant  sector, Rwanda's tourism sector has totalled US $1.5 billion investments since the year 2000. Hotel rooms have increased from 623 in 2003 to 14,866 in 2018, tourism revenues have jumped from US $131 million in 2006 to more than US $400 million in 2018 with MICE tourism revenue numbers growing from inconsequential numbers in 2000 to US $66 million in 2019.

IV. Agriculture and Food Security

Bắn cá rồngThe agriculture sector contributes about 35% to the national GDP, employing about 70% of the population in Rwanda. It has been the main driver of growth and poverty reduction, pulling 1.7 million people above the poverty line in only five years. With increased commercialization, the agriculture sector has been the driving force for about 45% of poverty reduction in the last decade. 81.3 percent of all households (about 2,034,942 households) are food secure, have an acceptable diet, and use a low share of their budget to cover food needs.  (). 

Bắn cá rồngRwanda’s agricultural exports grew rapidly in recent years, doubling from 225 million USD in 2013-2014 to 516 million USD in 2017-2018 at a 22% compounded annual growth rate (CAGR), and is on pace to reach 1 billion USD by 2024. () 

V. Employment

Bắn cá rồngThe working age population (16 years and above) in Rwanda is around 7.3 million and the population in the labour force constitutes the majority of working age population. The youth unemployment rate (16-30 years old) stood at 19.6 percent of the youth in the labour force in November 2019. ().

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MINECOFIN

Bắn cá rồngMinistry of Finance and Economic Planning

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MINAGRI

Bắn cá rồngMinistry of Agriculture and Animal Resources

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MINICOM

Ministry of Trade and Industry

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RDB

Bắn cá rồngRwanda Development Board