Category: Business

Rwanda attracted $3.2 billion investment in 2024

According to an annual report recently published by the Rwanda Development Board (RDB), a total of 612 investment projects were registered throughout the year, reflecting growing investor confidence in the country’s business climate and economic trajectory.

The manufacturing sector led the way, attracting $1.35 billion. This was followed by the financial and insurance sector, which drew in $811.2 million, and real estate activities, which secured $377.7 million. Together, the three sectors accounted for nearly 78% of all registered investments.

Notably, Rwanda’s industrial base continues to expand, with manufacturing also generating the highest number of expected jobs. Of the 51,635 jobs projected from 2024’s investments, 22,500 are expected to come from the manufacturing sector alone.

Among the largest investment projects registered were Bio Usawa Biotechnology Ltd, National Cement Holding Ltd, Parklane Group Ltd, and TTEC CX Solutions Rwanda Ltd, reflecting diversity across biotech, construction, technology, and clean energy. International giants such as Rio Tinto Exploration also featured prominently.

In terms of foreign direct investment, China and India emerged as top contributors, accounting for $460 million and $445.1 million, respectively. Other key investors came from the USA ($442.3 million), Nigeria ($313 million), the UK ($144.6 million) and the Netherlands ($103.9 million).

Despite strong foreign participation, Rwandan-origin investments, including joint ventures, represented the largest share by number, accounting for 24.4% of all registrations—highlighting a growing local entrepreneurial ecosystem.

Beyond manufacturing and finance, notable investment flows were directed toward information and communication technologies, agriculture, accommodation and food services, and mining. While manufacturing topped job creation, the real estate sector also stood out with 6,600 projected jobs, reflecting growing demand for urban infrastructure.

The financial sector, in particular, recorded rapid expansion, signaling increased investor interest in Rwanda’s fintech landscape and a strong push for financial inclusion and digital finance.

Broader economic performance

Rwanda’s broader economic performance in 2024 underpinned the strong investment momentum.

According to RDB, tourism revenues reached $647 million, with over 1.36 million visitors. The country’s Meetings, Incentives, Conferences, and Exhibitions (MICE) industry generated $84.8 million, welcoming 52,315 delegates across 115 events. Gorilla tourism alone saw a 27% revenue boost.

Exports rose to $4.2 billion, a 22% increase from 2023, driven by high demand in markets such as the UAE and Luxembourg, along with a 33% increase in cargo exports.

More than 240 companies were supported to access international markets, generating $164.1 million in export earnings.

Rwanda’s reform-driven economic agenda earned the country a top ranking in the World Bank’s B-READY Report, placing 1st in Africa and among the top 10 globally for ease of doing business. The recognition underscores Rwanda’s growing reputation as a competitive and innovation-friendly investment destination.

Looking ahead, RDB is targeting over $3 billion in new investments and $700 million in tourism revenue in 2025.

Key initiatives will focus on expanding Special Economic Zones, digitizing government services, and promoting innovation, conservation, and entrepreneurship.

Rwanda is also set to host major international events, including the 20th Kwita Izina ceremony and the UCI Road World Championships. The UCI event, scheduled for September, will be held in Africa for the first time.

April 14, 2025
Rwanda inks deal with Chinese automotive giant Chery

The agreement was sealed at the conclusion of a two-day visit by Chery’s Chairperson, Xu Hui, and his delegation on Saturday, April 12. They were received by RDB CEO Jean-Guy Afrika, who signed the MoU on behalf of Rwanda.

The partnership aims to accelerate Rwanda’s transition to a green economy and boost strategic sectors aligned with the country’s development agenda.

Chery Automobile Co. Ltd, founded in 1997 and headquartered in Wuhu, Anhui, China, is one of China’s leading automakers, known for its focus on independent innovation and global expansion.

Chery has been China’s number one passenger vehicle exporter for 22 consecutive years, maintaining the top spot in 2024. In 2023, it ranked first in export volume among Chinese automakers, surpassing SAIC Motor.

With a revenue of $39.09 billion, the group ranked 385th on the 2024 Fortune Global 500 list, which ranks the top 500 corporations worldwide by revenue.

April 13, 2025
Trade war heats up as China strikes back with 125% tariffs on U.S. goods

The tit-for-tat exchange marks a major escalation in the ongoing trade war, raising fears of deeper disruption to global supply chains and markets.

In a strongly worded statement, China’s Ministry of Finance blasted the U.S. tariff hike as “unilateral bullying and coercion,” accusing Washington of violating international trade norms and disregarding basic economic principles.

“The U.S. imposition of abnormally high tariffs on China seriously violates international economic and trade rules, disregards the post-World War II global economic order built by the U.S. itself, and defies common sense,” the ministry said.

Beijing made clear that its new tariffs would take effect on Saturday, while warning that it would not play along with what it called a “numbers game” of ever-rising duties.

“At the current tariff level, there is no market acceptance for U.S. goods exported to China,” the statement continued.

“If the U.S. continues to impose higher tariffs, it will no longer make economic sense and will become a joke in the history of world economy.”

President Trump’s move to raise tariffs to 145% included all major categories of Chinese imports, although it excluded a separate 20% duty tied to China’s role in the global fentanyl trade, according to the Associated Press.

The latest increase follows a pause on reciprocal tariffs for several other trading partners, singling China out as the primary target of the White House’s aggressive trade strategy.

In response, China’s Commerce Ministry confirmed that it had filed an additional complaint with the World Trade Organization, escalating the dispute to a formal global forum.

China’s retaliation has started to take effect, with major European stock indexes—which initially posted minor gains on Friday—falling sharply after news of the retaliatory tariffs broke.

April 11, 2025
Rwanda’s consumer prices increased by 6.5% in March

This marks a slight increase from the 6.3 percent annual inflation recorded in February.

The monthly inflation rate, comparing March to February 2025, stood at 1.3 percent in urban areas, which serve as the benchmark for headline inflation in the country. The annual average inflation rate over the past 12 months was reported at 5.3 percent.

Food and non-alcoholic beverages, which make up the largest share of consumer spending at 27%, contributed significantly to the rise, recording a 6.4 percent increase year-on-year and a 2.4 percent rise compared to February. Meat prices surged the most within this category, climbing 34.4 percent from March 2024.

Transport costs also played a substantial role, rising by 12 percent year-on-year, while restaurant and hotel services saw a sharp 14.1 percent jump, reflecting ongoing pressures in service and logistics sectors.

Core inflation, which excludes fresh food and energy to provide a clearer view of underlying trends, rose by 5.8 percent year-on-year and by 0.7 percent on a monthly basis. Meanwhile, the index for fresh products increased by 11.3 percent annually, while energy prices declined slightly by 1.1 percent.

In rural areas, the inflation rate was lower, at 3.9 percent annually, although monthly inflation rose by 2.2 percent—faster than in urban areas.

Nationally, the overall CPI for Rwanda increased by 4.9 percent year-on-year and 1.9 percent from the previous month.

The CPI is a key measure used for monetary policy decision-making in Rwanda and tracks price changes across a basket of 1,622 goods and services in both urban and rural settings.

April 11, 2025
Prime Insurance becomes Rwanda’s most profitable non-life insurer with Rwf4.4 billion profit in 2024

The company’s insurance service revenue rose by 13.8%, from Rwf19.6 billion in 2023 to Rwf22.3 billion in 2024, highlighting robust business expansion and growing market confidence.

According to its annual financial report, Prime Insurance recorded pre-tax earnings of Rwf6.2 billion and contributed Rwf1.8 billion in taxes, underlining its growing contribution to Rwanda’s economic development.

This strong performance stands out in an industry that collectively posted Rwf15 billion in profit after tax for the year. Prime Insurance paid Rwf6 billion in claims a testament to the company’s solid commitment to meeting policyholder obligations.

In just three years since entering the medical insurance segment, Prime Insurance has emerged as Rwanda’s fourth-largest provider, underscoring its agility and competitive edge in new markets.

Reflecting its strong financial footing, the Board of Directors has approved a dividend payout of Rwf500 million to shareholders a notable development and a testament to the company’s leading position in the sector and its strong performance.

The company’s total assets also saw a substantial rise, growing from Rwf30 billion in 2023 to Rwf38 billion in 2024. This Rwf8 billion increase further reinforces Prime Insurance’s sustained financial strength and market leadership.

With these record-breaking results, Prime Insurance continues to redefine excellence in Rwanda’s insurance industry, solidifying its dominance in general insurance while rapidly scaling up in the medical insurance space.

April 10, 2025
China to impose additional 34% tariffs on all U.S. imports

The announcement follows the U.S. decision to impose “reciprocal tariffs” on Chinese exports to the United States, a move that the commission said does not conform to international trade rules, seriously undermines China’s legitimate rights and interests, and represents a typical act of unilateral bullying.

Amid widespread opposition, President Trump signed an executive order Wednesday imposing a 10% minimum tariff, with higher rates on select countries.

China faces a 34% tariff, the EU 20%, Vietnam 46%, Japan 24%, India 26%, South Korea 25%, Thailand 36%, Switzerland 31%, Indonesia 32%, Malaysia 24%, and Cambodia 49%.

Trump argued that other nations impose “non-monetary barriers” on the U.S.

April 4, 2025
Rwanda mulls empowering local garment manufacturers to achieve self-sufficiency

Since 2017, Rwanda has moved away from importing second-hand clothing, commonly known as ‘caguwa,’ and has instead focused on promoting the production of new, locally made garments.

Many local garment factories now purchase fabric from various countries and transform it into finished products for both the domestic and international markets.

However, some Rwandans perceive these locally produced garments as expensive, with a pair of pants and a shirt labeled ‘Made in Rwanda’ often costing up to 50,000 Rwandan Francs or more.

Despite this challenge, statistics show a significant growth in the output of Rwanda’s garment and leather industries, with production increasing fivefold from 34 billion Rwandan Francs (Rwf) in 2017 to Rwf154 billion in 2024.

As he addressed the issue on March 28, during a session with Parliament, Prime Minister Dr. Edouard Ngirente highlighted the critical role these industries play in the country’s economic development and their contribution to increasing exports.

“We do not have enough locally produced clothing, and so we must work harder to ensure that the garment industries can meet the needs of all Rwandans at an affordable price,” Dr. Ngirente emphasized.

He added, “Our goal is to dress all Rwandans. We eliminated second-hand clothes so that Rwandans stop wearing outdated garments. The aim is to offer affordable clothing that people can buy without resorting to second-hand options.”

Strengthening local textile manufacturing

Dr. Ngirente further explained that during a Cabinet meeting on March 26, 2025, the government discussed strategies to enhance the local textile industry, with the objective of making fabric more accessible to tailors within the country.

He noted that UTEXRWA, which used to be the only textile factory, has been producing fabric and selling it to local and international garment manufacturers. However, many of those working in the garment industry still rely on importing fabric.

“Most garment manufacturers rely on imported fabric. During our recent government meeting, we explored ways to support local textile industries. This includes providing additional resources to businesses already in operation and supporting new entrants into the sector so that we can start producing fabric here in Rwanda,” Dr. Ngirente stated.

He confirmed that this initiative would soon be rolled out, enabling local tailors to source fabric domestically. The government also plans to help industry investors secure markets, further integrating Rwanda’s garment sector into the country’s broader economic development plans.

In addition, plans are underway to establish a factory in Musanze that will produce essential materials for the metal industry. Meanwhile, a leather processing factory is being set up in Bugesera. This facility will not only produce leather goods, including shoes, bags, and belts, but is also expected to generate $430 million annually for the country.

April 1, 2025
Rwandans spent Frw 512 billion on travel abroad in 2024

The findings are based on the Travel Expenditure Survey (TES), which provides a comprehensive analysis of outbound travel spending by Rwandans.

The TES, conducted from November 1, 2024, to January 30, 2025, analyzed travel expenses across major expenditure categories such as accommodation, food and beverages, transportation, shopping, entertainment, sightseeing, education-related expenses, and health-related expenses, excluding international transportation costs.

In the fourth quarter of 2024 alone, Rwandan travelers spent approximately $91.0 million on travel services. Business travel was a major contributor to this figure, with expenses amounting to $36.3 million in Q4.

Travel Behavior and Spending Patterns

The TES report provides deeper insights into the travel behaviors of Rwandan residents abroad, including the length of stay and average daily expenditure.

Rwandans traveling by air for education stayed the longest, with an average of 323 nights in North America, 317 nights in Europe, and 281 nights in Asia. Business travelers typically stayed between 8 and 14 nights, depending on the destination.

Health-related travel had varying durations, with the longest stays recorded in Europe (79 nights) and the EAC (18 nights). For land travelers, those studying in the EAC stayed an average of 129 nights, while business travelers stayed around 7 nights.

Rwandans traveling by air for health-related reasons had the highest daily spending, particularly in the rest of Africa ($249) and Asia ($164). Holiday travelers spent $193 per day in Asia and $134 in Europe, while business travelers had an average daily expense ranging from $100 in the EAC to $154 in North America. By land, Rwandan business travelers spent significantly less, averaging $10 per day in the EAC and $6 in the rest of Africa.

In Q4 2024, a total of 56,324 Rwandans returned from international trips by air, while 339,110 returned by land. The majority of air travelers were from the EAC (25,279), followed by Europe (699) and the rest of Africa (1,234). Among land travelers, the EAC dominated, with 169,786 business travelers and 160,461 visiting friends and relatives.

While Rwandans spent significantly on travel abroad, the report also highlighted the economic benefits of foreign visitors to Rwanda. In 2024, foreign visitors injected over $579.5 million (approximately Rwf 816 billion) into the country’s economy through expenditures on various goods and services.

According to the study, visitors to Rwanda spent approximately $126.1 million in Q4 2024, with holiday travelers contributing $56.2 million to this total. The analysis of visitor spending patterns showed that tourists arriving by air accounted for 81.1% of total visitor expenditures, while those entering via land borders contributed the remaining amount.

Foreign visitors’ spending varied based on origin and mode of travel. Air travelers from Asia had the highest average daily expenditure at $197 per person, followed by those from North America and other African countries at $151 per day.

European visitors spent an average of $129 daily, while East African visitors had the lowest daily expenditure at $82. For land travelers, North Americans on holiday spent an average of $146 per day, while visitors from Asia and Europe spent $109 and $100 per day, respectively.

The report’s findings provide crucial data to guide strategic decisions in the tourism and travel sectors, ensuring that Rwanda maximizes both inbound and outbound economic activities in a sustainable manner.

April 1, 2025
Rwanda’s mineral export revenue hit $1.7 billion in 2024

Dr. Ngirente shared the update on Friday, March 27, 2025, as he addressed members of parliament.

He revealed that in 2024, Rwanda exported 2,384 tonnes of coltan, generating $99 million, while 4,861 tonnes of cassiterite earned $96 million. Wolfram exports stood at 2,741 tonnes, contributing $36 million, while gold remained the dominant mineral, generating $1.5 billion from 19,397 kilograms.

The Prime Minister highlighted Rwanda’s ongoing efforts to boost mineral exports, particularly by shifting focus to processed minerals since 2020. He dismissed claims that Rwanda has limited mineral deposits, stating that resources are spread across different parts of the country.

Dr. Ngirente attributed the increase in mineral exports to four key factors, including the modernisation of mining operations, which has moved away from traditional extraction methods. He further noted that the government has invested in advanced machinery and expertise to improve production efficiency while ensuring environmentally sustainable practices.

Additionally, the Prime Minister said Rwanda has recently discovered new minerals such as lithium and beryllium, which are in high demand globally, particularly for electric vehicle batteries.

“The volume of production has increased, and new minerals such as lithium and beryllium have been discovered. These are highly sought after globally,” he said.

Investment in the mining sector has also increased significantly, rising from $25 million in 2010 to $121 million in 2023. Dr Ngirente said this growth reflects a structured and strategic approach to developing the industry.

He emphasised that Rwanda is prioritising value addition before exporting minerals, with three processing plants now operational.

Gasabo Gold Refinery has the capacity to process 96 tonnes of gold annually, while LuNa Smelter refines 360 tonnes of cassiterite per month. Additionally, Power Resources International Ltd processes 120 tonnes of coltan every month.

March 28, 2025
Luxmi Group shines at the 2025 Global World Tea Championships in Las Vegas, awarded in two categories

This remarkable achievement places Rwandan tea alongside the world’s finest tea producers, further solidifying its reputation on the global stage.

Meanwhile, Attabarie Tea in Assam, another estate under the Luxmi Group, was declared the Superior Winner in the Black Tea CTC category, the largest category in the competition.

The Global World Tea Championships is a highly esteemed competition that celebrates excellence in tea production.

The Luxmi Group produces approximately 30 million kilograms of tea across 25 estates in Rwanda, Assam, and Darjeeling. The group includes the iconic Makaibari Estate in Darjeeling and Sorwathe Ltd, Rwanda’s most diversified tea company. Sorwathe produces a variety of teas, including organic, orthodox, CTC black, specialty, green, white, and Fairtrade-certified teas.

Commenting on the achievement, Mr. Dipankar Chatterjee, Chairman of Luxmi Group, said:
“Luxmi, in Assam, Darjeeling, and Rwanda, has evolved its plantation practices—including pruning, plucking, and manufacturing—to consistently produce high-quality teas. I congratulate our managers and workers for their relentless pursuit of excellence.”

Mr. Rudra Chatterjee, Managing Director of Luxmi Tea and Chairman of Silverback Tea Company in Rwanda, added: “This award is considered the ‘Oscar’ of the tea industry. Our goal is to produce the finest teas from the world’s best regions: the flavorful Darjeeling tea from Makaibari, the strong Assam tea from Attabarie, and the bright Rwandan teas from Gisovu.”

He further stated: “To make tea popular, we need to produce the highest quality teas. These awards belong to every worker and farmer whose passion and skills make our teas extraordinary.”

CEO of Silverback Tea Company, Mr. Nzeki Samuel Munyao, also commented: “This international recognition for Gisovu Tea Company highlights our strong commitment to quality and the excellent collaboration among all players in the value chain. A big appreciation to the entire team!”

The recognition of Gisovu Tea Company – Silverback Tea Company on the global stage is a proud moment for Rwanda’s tea industry, reinforcing the country’s reputation as a producer of bright, high-quality teas. This is further reflected in the success of Rugabano Tea Company Pvt Ltd, which topped Rwanda’s NAEB average selling price rankings in 2024, and Pfunda Tea Company, which sources its green leaves from the lush gardens near Gishwati Forest.

With continued innovation and excellence in tea cultivation, Rwandan teas are gaining a strong foothold in the global market.

March 27, 2025