The Central Bank of Rwanda has kept its key interest rate unchanged at 6.5%, after inflation remained at a healthy rate, between 2% and 8% in the first quarter of this year.
Overall, inflation rose by 6.7% in the first three months of 2025, compared to 5.2% in the previous quarter.
However, the Central Bank of Rwanda is optimistic, saying that this rate will increase to 6.5%, while it will increase to 3.9% in 2026.
On the other hand, the Rwandan economy continues to grow at a healthy rate, as in 2024 it had grown by 8.9%. Only exports in the first quarter of this year decreased by 3% compared to the same quarter in 2024.
Only some exports increased. These included cooking oil, precious metals, metals, coffee and clothing.
During the quarter, imports increased by 5.8%, mainly driven by industrial goods, especially machinery. This led to a 10.8% deficit in Rwanda's exports and imports in the first quarter of 2025.
This increase in the deficit means that the pressure on the Rwandan currency has increased, with its value against the dollar (depreciation), decreasing by 2.46% as of April 2025. In the first four months of 2024, this decrease was 2.47%.
The Central Bank of Rwanda has kept its key interest rate unchanged at 6.5%, after inflation remained at a healthy rate, between 2% and 8% in the first quarter of this year.
Overall, inflation rose by 6.7% in the first three months of 2025, compared to 5.2% in the previous quarter.
However, the Central Bank of Rwanda is optimistic, saying that this rate will increase to 6.5%, while it will increase to 3.9% in 2026.
On the other hand, the Rwandan economy continues to grow at a healthy rate, as in 2024 it had grown by 8.9%. Only exports in the first quarter of this year decreased by 3% compared to the same quarter in 2024.
Only some exports increased. These included cooking oil, precious metals, metals, coffee and clothing.
During the quarter, imports increased by 5.8%, mainly driven by industrial goods, especially machinery. This led to a 10.8% deficit in Rwanda's exports and imports in the first quarter of 2025.
This increase in the deficit means that the pressure on the Rwandan currency has increased, with its value against the dollar (depreciation), decreasing by 2.46% as of April 2025. In the first four months of 2024, this decrease was 2.47%.
