Governor John Rwangombwa presented this economic performance on March 29, 2023, during the Monetary Policy and Financial Stability Statement.
The Central Bank of Rwanda evaluated the economic performance in 2022 and the prospects for 2023.
The increase in exports was primarily due to the thriving manufacturing activities and high commodity prices in international markets. Traditional exports such as minerals, coffee, and tea increased by 27.7%, and non-traditional exports, such as manufactured products and horticulture, rose by 26.8% and 39.3%, respectively.
However, the import bill also increased by 26.9%, reaching $4,060 million in 2022, leading to a 20.7% increase in the trade deficit. The increase in imports was due to the continuing recovery of the national economy and the rise in global raw material and fuel prices.
This affected Rwanda’s exchange rate, leading to a 6.05% depreciation of the franc against the dollar. Additionally, the overall annual inflation increased to 13.9% in 2022 from 0.8% in 2021, primarily due to global economic turbulence and weak agricultural production in the country.
Governor Rwangombwa expressed confidence in improved economic figures in the early second half of 2023.
The Ministry of Finance will announce projections for 2023 following consultations.
Leave a Reply