Category: Business

In the latest adjustments, the maximum retail price for gasoline (Premium Motor Spirit) has increased by Frw 59 to retail at Frw 1,633 per litre, up from Frw 1,574. Diesel (Automotive Gas Oil) has risen by Frw 71 to a maximum retail price of Frw 1,647 per litre, up from Frw 1,576.

The new maximum retail prices take effect from 6:00 AM on February 9, 2025, and will remain in place for the next two months.

“These adjustments are primarily based on recent fluctuations in international petroleum product prices,” Evariste Rugigana, the Director General of RURA, explained in a statement released on Saturday night.

The revision comes at a time when many economies worldwide are grappling with volatile fuel prices, influenced by global supply and demand dynamics. The ongoing conflict in Ukraine has particularly affected energy supplies from Russia, a major exporter, since the war broke out in February 2022.

The virtual event brought together key industry leaders to educate the public on the advantages, risks, and accessibility of CIS.

CIS are investment funds that gather money from multiple investors and allocate it into a diversified portfolio of assets. These schemes offer several benefits, including professional fund management, lower investment risk through diversification, and access to investment opportunities that may be difficult for individual investors to reach.

In Rwanda, two CIS are currently licensed: the RNIT Iterambere Fund and the BKC Aguka Fund. By the end of December 2024, their total assets under management (AUM) had grown to RWF 67.49 billion, with 34,465 unit holders, up from RWF 64 billion and 28,895 unit holders in June 2024.

This growth reflects increasing investor confidence and participation in Rwanda’s capital markets.
Agnes Nyirankeza, CEO of BCP Investment Managers noted that “The CIS industry can help create quality jobs in Rwanda by employing financial analysts and portfolio managers. It is a crucial part of our economy, offering diverse investment opportunities with professional management.”

Siongo Kisoso, Managing Director of BK Capital stressed that “The future of CIS in Rwanda is bright. As the market develops, we expect greater innovation, increased investor participation, and a wider range of investment options. CIS provide a balanced approach, combining professional management with accessibility and risk diversification.”

Jonathan Gatera, CEO of RNIT Iterambere Fund said that since launching in 2016 as Rwanda’s first CIS, the RNIT Iterambere Fund has grown its assets from RWF 3 billion to over RWF 45 billion.

“Investors can start with as little as RWF 2,000 and only need an ID card. The Net Asset Value per unit has increased from RWF 1,000 to RWF 1,238, reflecting an annual net return of about 11.78%. We plan to introduce more schemes to enable broader participation,” he said.

Pierre-Célestin Rwabukumba, CEO of the Rwanda Stock Exchange (RSE) expressed commitment to educating the public on CIS, as they provide the easiest access to the market.

“I encourage BK Capital to consider listing on the RSE for visibility, and I urge all stakeholders to introduce more CIS and investment products to expand opportunities for everyone,” he advised.

Thapelo Tsheole, CEO of the Capital Market Authority (CMA) explained that CIS offer the simplest entry point for market investment.

“To enhance productivity, we must create more schemes, develop new investment products, and invest in technology. By working together, we can broaden the scope of CIS in Rwanda,” he said.

As Rwanda’s capital markets continue to expand, the rise of CIS will play a key role in driving financial inclusion and economic development, providing investors with accessible and secure long-term investment opportunities.

The report, released on January 31, 2025, highlights that the highest price increase was for tea products, at 16.2%, while mining prices rose by 1.2%. The rise in export producer prices reflects strong international demand for Rwandan goods, particularly in tea and mining.

The general Producer Price Index (PPI), which measures the overall changes in prices received by domestic producers, increased by 0.2% annually but declined by 0.5% on a monthly basis.

For locally sold products, the Local Producer Price Index (LPPI) fell by 2.5% annually, indicating a drop in prices within Rwanda’s domestic market. However, on a monthly basis, local producer prices rose by 0.5%, suggesting a short-term recovery.

Decline in Monthly Export Prices

Despite the 5.9% annual increase, Rwanda’s export producer prices fell by 2.2% in December compared to November 2024. The report attributes this to a 3.9% decline in tea product prices and a 0.5% drop in coffee product prices within the month.

Meanwhile, manufacturing prices saw mixed results, with an annual increase of 0.1% but a monthly drop of 0.6%, largely due to falling prices in certain industrial goods.

While tea prices rose significantly, coffee product prices fell by 2.8%, affecting overall performance.

The Producer Price Index (PPI) survey covers 114 establishments and 402 products across Rwanda. The data is collected in collaboration with the National Bank of Rwanda (NBR) and focuses on key sectors such as mining, manufacturing, and utilities.

The NISR report notes that price data is collected monthly and reflects the selling price received by producers at the factory gate, excluding taxes and transport costs. The PPI is calculated using the geometric modified Laspeyres formula, with December 2010 as the base year.

The company secured the funding through the first tranche of a Frw5 billion note program approved by the Capital Market Authority (CMA), reinforcing its commitment to scaling operations and contributing to Rwanda’s self-reliance in the agriculture sector.

Founded in 2018, Mahwi Grain Millers specializes in processing grains into food products for human and animal consumption.

The company, operating from the Bugesera Special Economic Zone in Southeastern Rwanda, currently produces and distributes 150 tonnes of refined maize flour daily. With a processing capacity of 250 tonnes per day, the new funding is expected to accelerate growth and enhance product diversification.

The Managing Director of Mahwi Grain Millers Plc, Jean Claude Uwizeyemungu, highlighted the impact of the capital raised, stating that the Frw3.3 billion not only enabled the company to expand its operations but also allowed it to diversify its product offerings and establish a foothold in export markets.

The company’s journey to securing financing was supported by the Rwanda Stock Exchange’s Capital Market Investment Clinic, a program designed to prepare small and medium enterprises (SMEs) to attract investors.

Rwanda Stock Exchange (RSE) Chief Executive Officer Pierre Célestin Rwabukumba encouraged other SMEs to explore capital markets as an alternative means of raising funds through a simplified process designed to facilitate access for smaller businesses.

Speaking during a media tour on January 30, 2025, Thapelo Tsheole, CEO of Rwanda’s Capital Market Authority, reiterated the vital role capital markets play in the country’s economic transformation under the Second National Strategy for Transformation (NST2).

He stated that capital markets will be essential in assisting SMEs to raise capital, thereby unlocking additional funding opportunities to fuel their growth.

As Rwanda’s capital market continues to expand, it is expected to provide businesses with increased access to funding while offering investors promising long-term opportunities.

Mega Global Link is a renowned company supporting individuals travelling abroad for various purposes, including work, education (long-term and short-term studies), visiting friends and family, tourism, and medical treatment.

The company provides these services in European countries, Canada, the United States, and other regions.

The permit to operate in Toronto was granted to the company by the Canadian government on January 20, 2025.

Dr. Habumugisha Francis, the CEO of Mega Global Link, stated that the company’s services are now fully operational in Canada. He emphasized that those wishing to work in Canada are being supported, as the company has already signed agreements with employment agencies.

Dr. Habumugisha assured clients that the Canada office is equipped with a dedicated team ready to serve them. He extended a warm welcome to those wishing to visit or settle in Canada.

He said, “If you want to travel to Canada with your family, come and let us assist you. Whether you’re coming to work or study, we have signed work agreements to meet your needs. Everything will be handled smoothly.”

Mega Global Link runs a number of branches worldwide, including an office in Kicukiro District in Kigali City, operations in New York in the United States, and several locations in Europe.

In 2024, Mega Global Link was awarded the Abroad Education Agency of the Year by Karisimbi Events for its outstanding service to clients.

The company recently ventured into an online marketplace for fitness equipment and nutritional supplements. The platform offers products designed to improve health and wellness.

The announcement was made during a stakeholders’ meeting held at the Kigali Convention Centre on Friday, January 17, 2025.

The project is being implemented as a public-private partnership (PPP). The Ruzizi III Regional Hydropower Project will hold a 70% stake, while the remaining 30% will be shared equally among the three participating countries.

Once completed, the project is expected to benefit all three nations, as the electricity produced will be distributed equally among them.

Mohsin Tahir, the project manager of Ruzizi III, explained that discussions about the project have been ongoing for over a decade among the three countries. However, the project is now in its final stages of preparation, and construction is expected to begin soon, with a timeline of five years for completion.

“This project will not only benefit Rwanda, Burundi, and the DRC but will also have a significant impact across the continent. Ruzizi III is the first hydropower plant of its kind in the region,” Tahir said.

“We expect construction to take five years, and by 2030, the plant will begin supplying electricity. The construction phase alone will create over 2,000 jobs. This will be one of the most substantial infrastructure projects undertaken in the past 30 years, leveraging shared natural resources for the collective benefit of all involved nations.”

Rwanda’s Minister of Infrastructure, Gasore Jimmy, emphasized the importance of the project in addressing the region’s energy needs while promoting sustainable development.

“This project represents more than just a hydropower development. It is a beacon of hope for a sustainable and energy-secure future for the people of Rwanda, Burundi, and the Democratic Republic of Congo,” Minister Gasore stated.

The Minister reassured stakeholders that any political or diplomatic challenges among the participating countries would not hinder the project’s progress.

“Our confidence is based on past collaborations. For example, we have another joint project that has been operational since the 1990s and continues to function effectively. Meetings are held regularly, decisions are made collaboratively, and progress is achieved. For Ruzizi III, we have followed a similar approach, which has brought us this far.”

He further revealed that by September 2025, all stakeholders, including financiers, implementers, and the participating governments, are expected to reach a comprehensive agreement. This will allow construction to commence.

“We have already started issuing contracts to the builders. Once financial close is achieved, construction will begin in 2026 and is expected to take five years to complete,” Minister Gasore stated.

Regional cooperation and security

Charles Vumbi Mbenga, the Director General of the Great Lakes Energy (EGL) company, which oversees energy projects in the East African Community, noted that all three countries are committed to implementing the project.

He urged security agencies in the respective countries to ensure safety in the areas where project activities will take place, as agreed by the participating nations in 2019.

The agreement to implement the Ruzizi III Hydropower Plant project was signed in Kinshasa on July 29, 2019.

The project is expected to cost $625.19 million, with $138.88 million provided by the African Development Bank (AfDB) and $50.22 million from a private-sector funding mechanism.

Ruzizi III is part of the Program for Infrastructure Development in Africa (PIDA) and will be constructed along the Ruzizi River, located between Rwanda and the DRC. The project will also include infrastructure for distributing electricity.

This initiative is expected to address energy shortages in Rwanda, Burundi, and the DRC, which have been exacerbated by rapid population growth outpacing the development of energy infrastructure.

In a statement released on Friday, January 17, 2025, the management attributed the move to sustained market challenges, including economic pressures, currency depreciation and rising operational costs.

“Over the past 40 years, CMC Motors Group has played a vital role in supporting East Africa’s agricultural sector through the delivery of quality service, mechanization solutions, and steadfast support to its customers. However, despite restructuring efforts and a transformation program initiated in 2023, the market conditions have not provided a sustainable path forward,” the statement reads in part.

According to the company, the gradual winding down of operations in the three countries will be done in “full compliance with local regulations and distributorship agreements.”

“The company is committed to supporting its employees during this transition and will ensure a smooth and orderly wind-down in adherence to all relevant agreements and regulations,” the management added.

CMC Motors Group Ltd, owned by CMC Holdings Ltd, was acquired in 2014 by the Al-Futtaim Group, a multinational conglomerate based in the United Arab Emirates (UAE). Other trading subsidiaries owned by CMC Holdings Ltd include Cooper Motor Corporation (Uganda) Ltd, Hughes Motors (Tanzania) Ltd, and Kenya Vehicle Manufacturers Ltd (33% Shareholding).

The company deals in a comprehensive range of automotive and related products and services, making it a key player in the East African market. This includes the sales and distribution of a variety of vehicles, from passenger cars to commercial vehicles such as UD Trucks, Eicher Trucks, and MAN Trucks.

They also cater to the construction and agricultural sectors, distributing Bobcat and Case construction equipment, and New Holland tractors with various farming implements. Beyond sales, CMC Motors Group provides extensive after-sales services through its network of showrooms and service centers, offering maintenance, repairs, and spare parts.

Additionally, they have a specialized engineering division, CMC Engineering, which designs and builds custom truck bodies, trailers, and other fabrications, along with an accident repair workshop equipped for dent repair and re-spraying.

In April 2023, CMC Motors Group declared 169 of its workers in Kenya redundant after three vehicle brands namely Mazda, Ford and Suzuki terminated their distribution deals with the company.

According to the Ministry of Agriculture and Animal Resources (MINAGRI) Annual Report, the revenue growth occurred despite a 2% decrease in production volume, dropping from more than 39,000 tonnes to 38,460 tonnes. The success is attributed to improved tea quality and favourable global market prices.

“Certain tea clones exhibit site-specific adaptation, allowing us to produce exceptional quality,” the report reads.

Clones such as TRFK301/4, TRFK475, and TRFK303/577 were identified as top performers, contributing to productivity gains.

The average price per kilogram of tea was $2.98, up from $2.76 the previous year.

Data from the National Agricultural Export Development Board (NAEB) indicates that Rwanda’s tea was exported to 47 countries during 2023/2024.

The leading market for Rwandan tea was Pakistan, which imported over 9,194 tonnes, accounting for nearly 24% of the total export volume. This generated approximately $27.5 million.

The United Kingdom followed closely, purchasing 5,669 tonnes, or 14.7% of the total volume, for just over $17 million. Other major buyers included Egypt, which imported 4,259 tonnes (11% of the total) valued at $12.7 million; Kazakhstan, which took 3,996 tonnes (10.3%) for $11.9 million; and Ireland, which purchased 3,352 tonnes (8.7%) for $10 million.

Other markets included the United Arab Emirates, which bought 1,366 tonnes (3.5%) worth around $4 million, Russia with 1,270 tonnes (3.3%) for $3.8 million, and Sudan with 1,154 tonnes (3%) valued at $3.4 million. Turkey and India were also notable buyers, importing 1,049 tonnes (2.7%) and 823 tonnes (2.1%), respectively, generating $3 million and $2.4 million in revenue.

In contrast, Rwanda’s coffee export revenue experienced a significant decline of 32.1%, dropping to $78.71 million in 2023/2024. Export volumes also fell by 17.9%, reflecting challenges such as climate variability, global price fluctuations, and production inefficiencies.

The report highlights efforts to address these challenges, including the development of 44 new coffee hybrids and 28 fixed varieties aimed at improving yields and resilience.

“The most promising hybrids are now positioned to meet both farmer and market requirements, offering a path to increased incomes and competitiveness,” the report states.

To address soil nutrient variability and improve coffee productivity, MINAGRI implemented site-specific fertilizer recommendations across key coffee-growing regions. Additionally, 3,500 kilograms of genetically pure coffee seeds were distributed, with an expected yield of about 14.7 million seedlings.

These initiatives align with the government’s NST1 target of increasing coffee yields from 2.8 kilograms per tree to at least 4 kilograms per tree.

The contrasting performances of tea and coffee exports highlight the need for tailored strategies in Rwanda’s agricultural sector.

“Educating farmers on the right dosage, source, placement, and timing of fertilizer application will maximize crop responses and ensure a positive return on investment,” the report emphasizes.

Dr. Mark Cyubahiro Bagabe, Minister of Agriculture and Animal Resources, acknowledged the challenges but expressed confidence in the sector’s future.

“With continued collaboration and support, we will overcome challenges and achieve our shared vision for agricultural transformation,” he wrote in the report’s foreword.

In a press statement on Monday, January 13, 2025, Jasiri said the program targets visionary individuals from Kenya, Rwanda, and Ethiopia who are passionate about creating impactful businesses from scratch.

The program is aimed at tackling youth unemployment in Africa by fostering high-impact entrepreneurship, which Jasiri views as a key driver of job creation and societal transformation. It focuses on minimizing systemic barriers to entrepreneurship through a hands-on, holistic approach.

To qualify for the program, applicants must demonstrate a strong drive to address Africa’s most pressing challenges and a readiness to build ventures that deliver measurable societal impact.

“Jasiri minimizes these barriers with a holistic, hands-on approach to entrepreneurship, ensuring that bold innovators can build businesses that benefit society while contributing to an empowered, prosperous African citizenry,” Amandine Kayizali, Recruitment & Selection Manager, said in the statement.

The Jasiri Talent Investor Program offers participants structured support, including a one-month online Jasiri Jumpstart, a three-month intensive residential program, and nine months of hands-on venture creation. The program also emphasizes collaboration, bringing together like-minded individuals to form entrepreneurial teams capable of transforming ideas into impactful ventures.

Since its inception in 2021, Jasiri has supported 227 entrepreneurs who have collectively created 93 ventures, 81 of which remain operational across 42 industries. These ventures have generated over 2,035 jobs and positively impacted more than 12,600 individuals across sectors such as healthcare, education, agriculture, and waste management.

The application period for the eighth cohort is scheduled to close on April 5, 2025.

Interested individuals can apply through the link: https://jasiri.org/application.

The Ethiopian Securities Exchange (ESX) is seen as a significant step toward establishing “a vibrant capital market ecosystem” in the East African nation, aligning with the Ethiopian government’s recent efforts to liberalize the country’s economy and financial sector.

“In a historic milestone for our economic and financial landscape, we have officially rung the bell to launch the Ethiopian Securities Exchange,” Abiy said after ringing the bell to mark the opening of the stock exchange.

The launch of the ESX would enhance the country’s financial system and contribute to the development of an inclusive economy, he said, adding that the government has invested significant time and conducted extensive research to ensure the exchange’s effectiveness.

The ESX, which operates across various market segments and offers a range of financial products and services tailored to businesses, government entities and institutions, will serve as a platform for both Ethiopian and foreign investors to easily trade in listed equity and debt instruments.

The Ethiopian government said that the ESX aims to provide “a modern, reliable and efficient environment for securities trading through adaptation of modern exchange business operations, skill, technology and trust.”

It also noted that the establishment of Ethiopia’s stock exchange would significantly boost the country’s economic development while building “a sustainable institution that meets the needs of both Ethiopian and regional issuers and investors.”

Meanwhile, Abiy invited investors to explore opportunities in Ethiopia, saying it is “a fast-growing economy with immense potential and a dynamic trajectory toward prosperity.”

The launch of the ESX marks the first stock exchange in Ethiopia since the fall of Emperor Haile Selassie in 1974.

As part of its recent economic liberalization measures, the Ethiopian government last year opened the retail sector to foreign investors, a move that reversed its previous policy of reserving the sector exclusively for local entrepreneurs.

According to the World Bank, Ethiopia, with a population of about 126.5 million, is the second most populous nation in Africa after Nigeria and one of the fastest-growing economies in the region.