Author: Wycliffe Nyamasege

In a report released on Wednesday, August 13, the survey found that 81% of respondents felt financially hopeful in the second quarter, buoyed by 7.8% GDP growth in the first quarter and government measures to strengthen key industries.

Thirty-eight percent reported household income growth in the past three months, five percentage points higher than a year ago, while 37% said their finances were better than expected.

“Rwandan consumers are demonstrating remarkable resilience and optimism in the face of economic challenges. The strong sense of financial hope reflects a broader national momentum toward inclusive growth,” said Thabo Molefe, head of Africa regions, TransUnion.

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According to the survey, job losses were the most common setback, affecting 29% of households. In addition, 20% reported wage cuts, 14% had reduced working hours, and 12% saw a household business close or lose orders.

Looking ahead, 51% expect to miss at least one bill or loan payment in the next three months. To manage, 39% plan to make partial payments, 39% intend to take on gig work, and 39% will use money from savings.

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Consumer behaviour suggests cautious spending growth. Thirty-eight percent expect to increase discretionary spending in the next quarter, compared with 30% who expect to cut back. Rising costs are anticipated for medical services (45%) and digital services (42%).

The survey also highlights gaps in credit access. Almost all respondents (99%) said access to credit is important, but only 41% felt they had enough access. Over half (55%) plan to apply for new or refinanced credit within the next year, with personal loans (46%), student loans (26%), and home loans (23%) as the most common goals.

However, 49% abandoned credit applications, mainly due to high borrowing costs (27%), concerns about income or employment (22%), and lengthy application processes (19%).

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More than half (58%) of respondents reported being targeted by fraud in Q2, with high-income consumers reporting the highest rate (59%). The most common scams were gift card fraud (49%), phishing (31%), and vishing (28%).

Cybersecurity risks remain a barrier to digital adoption, with 37% citing online threats and 30% worried about identity theft. While 72% have access to their credit information, concerns over privacy invasion (63%) and identity theft (59%) are widespread.

Molefe said improving access to credit and building trust in digital platforms will be critical to sustaining consumer confidence.

“As access to credit and digital trust become increasingly vital, it’s clear that empowering consumers with the right tools and protections will be key to sustaining this positive trajectory.”

TransUnion is a global information and insights company with over 13,000 associates operating in more than 30 countries, including Botswana, Kenya, Malawi, Namibia, Rwanda, South Africa, eSwatini, and Zambia.

The latest findings are based on TransUnion’s Consumer Pulse Survey of 345 adults, conducted between 5 and 25 May 2025 in partnership with third-party research provider Dynata. The survey targeted Rwandan residents aged 18 and above, using an online research panel accessed via desktop, mobile, and tablet devices.

The sanctions target PARECO-FF for overseeing mining sites in Rubaya, a mineral-rich region, where the group collected illegal fees, engaged in smuggling, and committed human rights abuses, including forced labour and executions.

The group emerged in 2022 as a successor to PARECO, in response to the rise of the M23 rebel group.

In addition to PARECO-FF, the Treasury sanctioned the Congolese mining company Cooperative des Artisanaux Miniers du Congo (CDMC), which operated on Rubaya’s largest mining concession and sold minerals sourced from areas controlled by PARECO-FF. Two Hong Kong-based companies, East Rise Corporation Limited and Star Dragon Corporation Limited, were also sanctioned for buying minerals from CDMC.

“The conflict minerals trade is exacting a deadly toll on Congolese civilians, fueling corruption, and preventing law-abiding businesses from investing in the DRC,” said Under Secretary of the Treasury for Terrorism and Financial Intelligence John K. Hurley.

“The Treasury Department will not hesitate to take action against groups that deny the United States and our allies access to the critical minerals vital for our national defence.”

Under the sanctions, all property and interests in property of the designated entities within the U.S. or controlled by U.S. persons are blocked. Transactions involving these entities are prohibited unless authorised by Office of Foreign Assets Control (OFAC).

Prime Minister Dr. Justin Nsengiyumva announced the plans on August 12 while presenting the Government’s 2024–2029 program to a joint session of Parliament.

He said the projects are aimed at enhancing connectivity, particularly for farmers and livestock keepers, by making it easier to deliver produce to markets. The government also expects the improved road network to support broader economic growth.

“Agriculture and livestock production are projected to increase by 50%,” Dr. Nsengiyumva said, adding that the new transport infrastructure will be complemented by the promotion of electric vehicles to reduce environmental impact. Public transport in Kigali will also be expanded to ease congestion during peak hours.

In the aviation sector, Rwanda plans to increase RwandAir’s destinations and double passenger numbers by 2029, while expanding the airline’s cargo capacity to boost exports. The Kigali International Airport is expected to be completed in 2027/2028, further strengthening the country’s air transport network.

The government projects that average per capita income will rise from USD 1,040 to over USD 1,360 by 2029.

According to the district, this activity has created employment for 9,650 people through 36 licensed companies operating in the sector.

Several rivers host multiple licensed mining sites, including the Sebeya River, which has four sand mining sites, and the Koko River, which has three.

Rutsiro District Executive Secretary, Pierre Claver Bagirishya, told IGIHE that sand mining generated substantial revenue, accounting for about 39% of the district’s total income, which reached 1.15 billion Rwandan Francs in the 2024/25 financial year.

“For the 2024/25 fiscal year, we had projected tax revenues of 1,115 million Frw, but we exceeded that target, reaching 1,150 million Frw, achieving a performance rate of 103%,” he said.

He added that for the 2025/26 fiscal year, the district aims to raise total tax and fee collections to Frw 1,400 million.

Residents say the activity has improved their livelihoods while contributing to the district’s development.

Tumaini Habumugisha, from Gihango Sector, said the income he earned enabled him to buy two pigs and more than ten chickens, ensuring his family never lacks food.

He also noted that on a single mining site along the Koko River, between 300 and 400 people work daily to support their families.

Another resident, Augustin Uwiringiyimana, said income from sand mining allowed him to build a home.

“I did not have a house before, but now I have built one with two bedrooms and a living room thanks to the income from digging and packing sand,” he explained.

The majority of the district’s tax revenue—over Frw 450 million —comes from sand mining, making it the largest contributor, followed by land fees.

Other revenue streams include payments for trading licences, property taxes, rental income taxes, leasing of government property, and fines.

Faith Batamuriza, Head of Retirement Benefits Supervision at BNR, told the Dusangire Ijambo talk show on Rwanda Television that while the rate is still low, increased awareness campaigns are helping more Rwandans understand the importance of saving for retirement.

“Pension coverage is at 48%, which is still far from where we want to be. Our campaigns aim to show people that saving now ensures a stable life in old age without financial stress,” she said.

Batamuriza noted that the pension sector is a critical part of Rwanda’s financial system and a driver of economic growth through investment. BNR, she added, monitors pension funds to safeguard members’ savings and ensure investments are made prudently.

Dr. Hitimana Regis, Chief Benefits Officer at the Rwanda Social Security Board (RSSB), said pension schemes are designed to provide income security when people’s ability to work declines. Rwanda’s formal pension system has been in place since independence in 1962.

For those in the informal sector, the Ejo Heza long-term savings scheme offers a pathway to retirement savings. To date, 4.2 million people have registered, with 3.6 million actively contributing, and more than Frw 80 billion saved.

Private pension arrangements are also growing, allowing employers to set up retirement benefits for staff or enabling individuals and companies to create pension funds that supplement statutory schemes.

Dr. Hitimana said recent reforms have increased contribution rates and boosted payouts for retirees. He stressed that contributions are mandatory for employers, with heavy penalties for non-compliance.

In addition, Rwanda’s RNIT Iterambere Fund (RIF) has mobilised Frw 59.1 billion to date, including amounts withdrawn by members. In 2024, the number of shareholders saving through the fund surged by 69.97%, rising from 19,495 in 2023 to 33,137.