Category: Business

According to national development projections, Rwanda’s per capita income is expected to rise to USD 12,476 (over Rwf 17 million) by 2050, supported by rapid economic growth, increased productivity, and stronger social protection systems.

Unemployment is forecast to drop sharply to 0.05 percent from 7 percent in 2035, while universal access to water, electricity, and improved social services is expected to significantly increase national living standards and life expectancy to at least 73 years.

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The 2022 national census estimated Kigali’s population at 1.7 million, a figure projected to more than double to 3.8 million by 2050. This population growth is shaping a comprehensive city development master plan that focuses on expanding affordable and modern housing, upgrading public transport and mobility systems, developing improved economic hubs and commercial districts, and protecting green spaces through environmentally sustainable planning.

The master plan also identifies strategic zones for investment, including Nyarugenge CBD, Remera, Kimironko, Gahanga, Nyabugogo, and Muhima, each earmarked for specific economic and cultural roles.

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The Central Business District, home to major commercial towers such as M-Peace Plaza and KCT, is set for a significant upgrade to strengthen its role as Rwanda’s prime financial and business hub. The development will expand pedestrian-only zones and enhance urban aesthetics, redesign roundabouts to incorporate gardens, walkways, and improved traffic flow, and create new cultural spaces, including an arts complex near Sainte-Famille.

Additionally, the historic Quartier Matheus commercial area will be modernised while preserving its heritage architecture. New pedestrian corridors will link the CBD to Muhima and Nyabugogo, integrating retail, tourism, cultural activities, and green spaces to create a more vibrant and connected city centre.

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Nyabugogo, one of the region’s busiest terminals connecting passengers from Rwanda and neighbouring countries, will undergo a major redesign to ease congestion and meet international service standards.

Plans include developing a modern bus terminal with enhanced commuter services, transforming the surrounding wetland into an urban park that integrates transit routes, landscaping, commercial facilities, and pedestrian pathways.

In addition, Mpazi Park will be constructed as a mixed-use recreation and business zone featuring sports facilities, green spaces, and commercial amenities. New housing projects in Muhima are also planned to provide affordable urban accommodation for local residents, further supporting inclusive urban growth.

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Remera, known for Amahoro Stadium, BK Arena, and several key institutions, is set to become Kigali’s primary sports, entertainment, and cultural hub. Investments will include new commercial developments, multi-storey parking solutions to reduce congestion around Gisimenti, and cultural centres, libraries, and event venues integrated with business facilities.

Meanwhile, Kimironko Market, one of the city’s busiest traditional markets, will be upgraded alongside its local transport terminal to balance modern retail facilities with the preservation of traditional trading culture, ensuring that the market meets the demands of a growing urban population.

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Gahanga, located in Kicukiro District and strategically positioned along the route to Bugesera International Airport, is planned as a major innovation and commercial zone to attract both domestic and foreign investment. The developments will include technology and innovation parks, green commercial centers connected through pedestrian networks, and new museums, arts centers, hotels, and leisure facilities.

Mixed-use residential developments will be integrated with business and recreational services to create a cohesive urban environment. The nearby Gikondo Exhibition Zone will also be modernised to host large-scale international conferences and expos, complemented by hotels, business services, and green recreational areas.

Kigali’s 2050 Master Plan reflects Rwanda’s broader strategy to develop a competitive city that supports business growth while maintaining environmental sustainability and social inclusiveness.

With major investments in mobility, housing, commercial zones, and cultural infrastructure, Kigali is being positioned as a central economic hub for East Africa and a model for modern urban development across the continent.

The latest results extend a consistent upward trend that has seen export earnings grow from $58 million in 2022/23 to $75 million in 2023/24, and now more than $86 million. Increased investment, growing farmer participation, and new markets have led to strong performances from avocados, macadamia, chili, and French beans.

Speaking in an interview with Rwanda Broadcasting Agency (RBA), Jean Bosco Mulindi, Emerging Commodities Division Manager at NAEB, said the sector is now seeing the benefits of production that began several years ago.

“We are now beginning to witness the impact of plantations that were established in recent years reaching maturity, and this is translating directly into higher export volumes and earnings,” he said.

Mulindi highlighted chili as one of the strongest drivers of growth. In 2018/19, Rwanda exported 605 tonnes, earning under $1 million. Last year, that figure rose to 2,000 tonnes, generating $6 million.

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Avocado production is also expanding rapidly. A recent NAEB survey shows more than 550,000 avocado trees planted nationwide, with 88% aged between one and six years, meaning most are still maturing.

In 2018/19, Rwanda exported fewer than 1,000 tonnes of avocados, earning slightly above $400,000. Last year, exports rose nearly tenfold to 4,200 tonnes, valued at more than $8 million.

“We are seeing many farmers joining horticulture because the opportunities in international markets are clearer than ever,” Mulindi noted.

Mulindi said international demand now exceeds Rwanda’s current supply capacity. Fresh chili is primarily exported to European markets, including Belgium, Italy, the Netherlands, and Germany, while dried chili is exported in large volumes to China and India.

Avocados are largely exported to the Gulf region, which accounts for around 80% of the market, as well as Europe and neighbouring countries. Rwanda has also recently signed a bilateral agreement allowing avocado exports to China, opening another major destination.

Macadamia exports are in high demand in China, Vietnam, and Japan, where Rwanda is still unable to meet market needs. More than 90% of Rwanda’s French beans are exported to Europe, with the remaining share going to regional and Gulf markets.

Mulindi said the results show the sector is well-positioned for continued growth as more plantations reach full production and export promotion initiatives expand.

The decision was announced on Thursday during the November Monetary Policy Committee (MPC) and Financial Stability Committee (FSC) briefing by Governor Soraya Hakuziyaremye.

According to the MPC, the decision reflects the Bank’s assessment that current monetary conditions are sufficient to contain inflation within the target band. Headline inflation rose to 7.2% in the third quarter of 2025, up from 6.7% in the previous quarter, driven mainly by increases in core and energy inflation. However, fresh food prices eased, helping limit upward pressure on overall inflation.

The briefing also addressed recent concerns over fuel prices, which have added pressure to transport and consumer costs. On November 7, the Rwanda Utilities Regulatory Authority (RURA) announced new pump prices, setting petrol at Frw 1,989 per litre, an increase of Frw 127 from September, while diesel rose to Frw 1,900 per litre, up Frw 92.

Governor Hakuziyaremye noted that although global crude oil prices are projected to decline by nearly 16% in 2025, the recent domestic price adjustments were driven by higher transportation and logistics costs.

The Bank projects headline inflation to average 6.9% in 2025 before easing further to 5.8% in 2026, supported by improving agricultural output and moderating international commodity prices. Even so, the MPC warned that risks remain, including adverse weather conditions that could affect harvests and global geopolitical tensions that may disrupt supply chains and increase imported inflation.

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Despite a challenging global environment, Rwanda’s economy continued to show strong momentum. GDP expanded by 7.8% in the second quarter, with positive growth recorded across all major sectors. In the third quarter, economic activity remained robust, with the Composite Index of Economic Activities rising 13.2%, signalling sustained demand and stronger output, particularly in services and industry.

Merchandise exports recorded a 15% expansion in the third quarter, supported by higher global prices and increased shipments of minerals and coffee. Non-traditional exports, including manufactured products such as wheat flour, cooking oil and animal feeds, grew by 50.5%, reflecting diversification in export earnings.

Imports also rose by 7.4%, mainly due to increased consumption goods including medicine and corn. The rise in imports contributed to a slight widening of the trade deficit, which expanded by 2.8% compared to the same period last year.

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Pressure on the foreign exchange market continued to ease relative to last year. By the end of September, the Rwandan franc had depreciated by 4.03% against the US dollar year-to-date, a notable improvement from 6.49% over the same period in 2024. The central bank attributed this to tightening measures aimed at moderating speculative behaviour and a general weakening of the US dollar globally.

Money market conditions also shifted in line with recent adjustments in the policy stance. Interbank rates declined to 5.85% in the third quarter, down from 7.25% a year earlier, while average deposit rates fell by 165 basis points to 8.67%, reflecting ample liquidity in the banking system. Lending rates eased slightly to 15.78%, with reductions noted across all major loan maturities.

The MPC stated that maintaining the Central Bank Rate at 6.75% remains appropriate to support the country’s inflation objectives while sustaining economic growth.

“The MPC will continue monitoring economic developments and is ready to take further action to ensure price stability,” Governor Hakuziyaremye stated.

Agricultural and livestock products remain among Rwanda’s strongest foreign exchange contributors. In the 2023/24 fiscal year, the country earned more than $839.2 million (over 1.2 trillion Rwandan Francs) from the export of agricultural produce.

Coffee continues to play a central role in this performance. This year alone, the crop generated $78.71 million, reinforcing Rwanda’s reputation for producing high-quality speciality coffee that enjoys strong international demand.

To boost future earnings, NAEB is intensifying efforts to expand and rejuvenate the country’s coffee plantations. This year, 2,902,145 seedlings will be planted across 1,043 hectares, while an additional 443 hectares of ageing, low-yield trees, many of which have produced for more than three decades, will be replaced. Last year, farmers planted 1.3 million seedlings as part of the same long-term expansion strategy.

A significant driver of this growth is the Promoting Smallholder Agro-export Competitiveness (PSAC) project, which runs until 2029. Under PSAC, 9 million coffee seedlings are set to be planted on 3,050 hectares. The initiative supports smallholder farmers to increase both the volume and quality of export crops, enabling them to compete more effectively in global markets.

PSAC is currently active in six major tea- and coffee-producing districts: Nyaruguru, Karongi, Nyamasheke, Rutsiro, Nyabihu, and Rulindo.

NAEB Chief Executive Officer Bizimana Claude emphasised the importance of collaboration with farmers to drive export growth.

“Working closely with coffee farmers across the country, we aim to increase exports by replacing old trees and expanding cultivation areas,” he said. “NAEB is providing new seedlings and fertilisers to ensure higher yields and better quality, helping farmers secure improved prices.”

For many farmers, the impact is already visible. Seth Ndutiye, a veteran coffee grower from the Mubuga sector in Karongi District, has cultivated coffee for 30 years.

“I began planting coffee at 15 and now have 2,000 trees,” he said. “Thanks to the new seedlings supplied by NAEB, our production has increased significantly.”

Ndutiye added that ageing trees had long been a challenge, with some producing fewer than three kilogrammes per tree for decades. In contrast, the new varieties are already yielding up to 12 kilogrammes per tree, offering hope for higher incomes and a more sustainable future for coffee farming.

Rwanda’s renewed push in the coffee sector is expected to sustain its export growth trajectory while strengthening the livelihoods of thousands of smallholder farmers nationwide.

The Protocol on Inspection, Quarantine, and Sanitary Requirements, signed on Wednesday, November 12, will pave the way for Rwandan avocados to join the growing list of agricultural products already exported to China, a market of 1.4 billion consumers.

This development coincided with Rwanda’s participation in the 8th edition of the China International Import Expo (CIIE) in Shanghai, an event that has become a key platform for promoting trade, attracting investment, and promoting cultural exchange between the two countries.

Rwandan avocados, which have already gained strong demand in markets such as the Middle East, particularly the United Arab Emirates, are increasingly recognised as a major export crop alongside coffee and tea. The new protocol with China represents the next step in Rwanda’s strategy to diversify export markets and reach new consumers.

Since Rwanda first appeared at the CIIE in 2018, the country has introduced a range of agricultural and processed products to the Chinese market, including coffee, tea, chili, natural honey, macadamia nuts, and handicrafts. Exports to China have grown significantly over this period, rising from US$35 million in 2019 to US$160.6 million in 2024.

“The protocol for the export of Rwanda’s avocados to China will further broaden the variety of Rwandan products available to Chinese consumers,” the embassy said in a statement released on November 4, ahead of the expo.

China remains Rwanda’s leading source of foreign direct investment, which reached US$460 million in 2024 across sectors such as manufacturing, real estate, agro-processing, and mining.

Meanwhile, Rwanda’s avocado industry has shown remarkable growth, with exports generating US$6.3 million in 2023 compared to just US$440,000 in 2013. The country exported 3,200 tonnes of avocados at an average of US$2 per kilogram and aims to increase this to 31,000 tonnes by 2029, targeting new markets in China and India.

The new avocado trade protocol is expected to not only boost Rwanda’s agricultural exports but also strengthen the country’s economic ties with China, further deepening a partnership guided by the Belt and Road Initiative (BRI) and the Forum on China-Africa Cooperation (FOCAC).

The announcement was made on Wednesday, November 12, 2025, during a meeting between the multilateral development finance institution, the Government of Rwanda, and other development partners.

The meeting, held annually, serves as a platform to review all AfDB-funded projects in Rwanda, evaluating progress, identifying challenges, and discussing ways to improve implementation in future initiatives.

AfDB management revealed that over the past two years, the bank has invested $2.5 billion in 28 projects, mainly in infrastructure sectors such as water and sanitation, transport, and energy.

Aïssa Touré Sarr, AfDB’s Country Manager for Rwanda, said that 85% of these 28 projects have been successfully implemented.

“Of the projects we support, 34% are in water and sanitation, 30% in energy, and 16% in transport,” she stated.

Touré attributed these achievements to strong collaboration and partnership with the Government of Rwanda, which has enabled the bank to make a tangible contribution to the country’s development.

She added that the annual review meetings are a valuable opportunity to assess progress and strengthen implementation.

“These discussions allow us to evaluate the progress made in implementing our projects and to identify challenges so that we can continue contributing effectively to Rwanda’s development,” she said.

Touré further noted that in the past two years, the number of AfDB-supported projects in Rwanda increased from 26 to 28, while total investment rose from $1.5 billion to $2.5 billion.

She explained that one of the priority areas for upcoming investment is agriculture, following the Government of Rwanda’s request to focus on agro-processing and irrigation.

“Following the government’s request for increased investment in agriculture, we have earmarked $300 million to support irrigation and other agricultural development projects,” she said.

Emmanuel Nuwamanya, acting Head of Policy and Planning at the Ministry of Infrastructure, commended AfDB’s continued contribution to Rwanda’s development through its support for various projects.

“We appreciate AfDB’s ongoing partnership with the Government of Rwanda in implementing projects related to water and sanitation, transport, and energy, which are helping to improve the lives of citizens and drive national development,” Nuwamanya said.

AfDB began its operations in Rwanda in 1974. While most of its funding has traditionally been directed towards infrastructure, the bank has now announced its intention to increase investment in agriculture to further stimulate growth in the sector.

The event, held under the theme of promoting investment and market access in agricultural and food products, aimed to deepen cooperation between Rwandan producers and Emirati investors across key export sectors, including coffee, tea, honey, and horticultural products such as avocados.

In his opening remarks, Mohammed Al Kaabi, Chargé d’Affaires of the UAE Embassy in Kigali, stated that the forum marked “a significant step in the shared commitment to deepening bilateral trade and investment ties.”

Al Kaabi noted that non-oil trade between the UAE and Rwanda reached USD 1.698 billion in 2024, representing a 61% increase from the previous year. The UAE remains Rwanda’s leading export destination by value, with Rwandan exports to the UAE rising by 68%, from USD 895 million in 2023 to USD 1.504 billion in 2024.

He added that the UAE’s growing demand for premium, traceable, and sustainable food products presents “natural opportunities for Rwandan producers,” emphasizing that the UAE offers attractive avenues for investment in food processing, cold-chain logistics, packaging, and agri-tech innovation.

Joining virtually from Abu Dhabi, John Mirenge, Rwanda’s envoy to the UAE, commended the ongoing partnership and stated: “Rwanda and the UAE enjoy excellent relations built on mutual respect and trust.”

Amb. Mirenge highlighted that UAE investment commitments in Rwanda have surpassed USD 320 million, with more projects in the pipeline. He added that discussions on a possible Comprehensive Economic Partnership Agreement (CEPA) between the two nations are progressing well. Once finalized, the agreement is expected to further strengthen trade and business collaboration between the two countries.

Representing Rwanda’s agricultural exporters, Eric Ruganintwali, Planning Division Manager at the National Agricultural Export Development Board (NAEB), underscored the sector’s steady performance and called for stronger coordination to boost Rwanda’s market share in the UAE.

“Over the past four years, Rwanda’s agricultural exports to the UAE have grown by 34% annually, driven mainly by avocados, tea, and coffee,” he remarked. He also encouraged producers to embrace direct sales and large-scale shipments via sea transport to increase competitiveness.

Didace Mparirwa, Head of Agriculture and Livestock at the Private Sector Federation (PSF), emphasized that such forums are not only a networking platform but a vital bridge between local producers and international markets.

“These engagements give our agripreneurs the opportunity to showcase their products, exchange ideas, and form valuable partnerships,” he said. “Many farmers and companies have been able to secure contracts and expand their market reach through similar events. This model should not be a one-off activity, it should become a consistent platform for growth and learning.”

Dr. Martin Luther Mawo, Director of Sales and Marketing at Rwanda Mountain Tea, echoed similar sentiments, calling the forum a timely and practical step toward unlocking Rwanda’s export potential.

“This was a tremendous experience for us because it revealed the true scale of opportunity in the UAE market,” Dr. Mawo noted. “We’ve seen where we stand in terms of exports and identified the gaps we need to address. What matters now is taking concrete action to meet the demand and positioning our products more strategically.”

Presentations from the UAE delegation, including officials from the Ministry of Foreign Trade and the Dubai Multi Commodities Centre (DMCC), showcased the UAE’s position as a global trade hub, offering modern infrastructure, favourable tax policies, and strategic connectivity to global markets.

Dr. Khaleifa Mohamed Ali Al Rayssi, Senior Specialist in Investment Support and Inducements at the UAE Ministry of Foreign Affairs, highlighted the UAE’s global connectivity, remarking on its strategic significance:

“The UAE’s geographic position makes it a global gateway in the Middle East. Within four hours, you can reach about 2.5 billion people, and within eight hours, nearly five billion people. This connectivity is why the UAE has become a center of international trade, logistics, and investment.”

The hybrid forum concluded with a mini-exhibition of Rwandan coffee, tea, honey, and fruit products, reinforcing Rwanda’s commitment to diversifying exports, and attracting sustainable investment from the UAE and beyond.

The UAE reaffirmed its commitment to strengthening trade and investment partnerships with Rwanda, particularly in agriculture, food security, logistics, and sustainable economic development.

The monthly Consumer Price Index (CPI) report released on November 10 shows that the urban index, which serves as the headline measure for monetary policy, rose by 1.3 percent compared to September 2025. Over the past 12 months, the average annual inflation rate stood at 6.7 percent.

Sector-wise, health costs recorded the sharpest increase among major categories, soaring by 71.3 percent year-on-year, followed by restaurants and hotels (+19.1%) and alcoholic beverages, tobacco, and narcotics (+16.0%). Separately, meat prices rose by 19.2 percent. Prices in housing, water, electricity, gas, and other fuels increased by 7.5 percent, while transport costs were up 8.5 percent.

By contrast, vegetable prices fell by 9.5 percent, easing food inflation pressures. The overall category of food and non-alcoholic beverages rose by a modest 1.6 percent compared to October 2024.

The report further shows that imported goods prices increased by 9.1 percent over the year, slightly higher than the 6.4 percent rise in local goods, reflecting ongoing external cost pressures. The energy index climbed by 10.9 percent year-on-year, while fresh products saw a mild increase of 0.4 percent.

In rural areas, the CPI rose by 3.8 percent compared to October last year and by 0.8 percent month-on-month. The overall national CPI, combining both rural and urban data, increased by 5.1 percent year-on-year and 1.0 percent from the previous month.

The report also noted that underlying inflation, which excludes fresh food and energy, stood at 9.0 percent on an annual basis and 0.8 percent monthly, signalling continued upward pressure in core consumer prices.

NISR compiles the CPI using prices of 1,622 products collected across 12 urban centres and rural areas nationwide. The indicator tracks the average change over time in prices paid by households for goods and services and serves as a key benchmark for monetary policy decisions.

The initiative aligns with Rwanda’s efforts to cut air pollution, with transport currently accounting for about 34% of the country’s total emissions.

Rwanda has in recent years promoted the adoption of electric and hybrid vehicles, from motorcycles to public transport, as part of its broader strategy to achieve a cleaner and more sustainable transport sector.

AUTO24, known for trading in environmentally friendly vehicles, partnered with Treize Ride to expand access to low-emission cars designed to reduce the sector’s carbon footprint.

AUTO24 Rwanda Country Manager Ivan Ruzibiza said the company remains committed to introducing modern, energy-efficient vehicles in line with the country’s green agenda.

“Passenger transport vehicles are among the biggest contributors to harmful emissions, which is why we are focused on bringing hybrid and electric models that meet both environmental and operational needs,” Ruzibiza said.

The vehicles, Toyota Corolla Levin Plug-In Hybrids, can travel long distances on electric power alone before switching to fuel, offering flexibility and efficiency for urban transport operations.

Treize Ride Chief Executive Officer Niringiyimana Pierre Canisius said the company’s decision to acquire eco-friendly cars was driven by both economic and environmental considerations.

“We chose to partner with AUTO24 because it’s one of the few dealerships offering high-quality, low-emission vehicles that are still new. This aligns with the government’s policy encouraging the use of environmentally friendly cars,” he explained.

Beyond reducing emissions, Niringiyimana noted that the transition is expected to lower the company’s fuel expenses and improve service efficiency.

Rwanda’s green mobility plan envisions that by 2030, electric and hybrid vehicles will represent 20% of public transport, 30% of motorcycles, and 8% of private cars.

According to the World Health Organisation (WHO), air pollution remains one of the leading public health challenges globally, increasing the risks of lung cancer, heart disease, asthma, and other respiratory illnesses, particularly among pregnant women, children, and those with chronic conditions.