Confidus Solutions logotype

Confidus Solutions

Economy of Rwanda

Rwanda is considered to be a developing nation. The developmental stage of a nation is determined by a number of factors including, but not limited to, economic prosperity, life expectancy, income equality, and quality of life. As a developing nation, Rwanda may not be able to offer consistent social services to its citizens. These social services may include things like public education, reliable healthcare, and law enforcement. Citizens of developing nations may have lower life expectancies than citizens of developed nations. Each year, Rwanda exports around $0.54 billion and imports roughly $1.94 billion. 1.3% of population in the country are unemployed. The total number of unemployed people in Rwanda is 162,515. In Rwanda, 39.1% of the population lives below the poverty line. The percentage of citizens living below the poverty line in Rwanda is fairly high, but is not reason for complete concern with regard to investments. Potential financial backers should look at other economic markers, including GDP, urbanization rate, and strength of currency, before making any decisions regarding investments. Government expenditure on education is 4.1% of GDP. The Gini Index of the country is 46.8. Rwanda is experiencing poor equality. The gap between the richest and poorest citizens in this country is quite noticeable. Rwanda has a Human Development Index (HDI) of 0.506. Rwanda has an upper medium HDI score. This indicates that the majority of citizens will be able to attain a desirable life, though some citizens will not be able to achieve high living standards. The Global Peace Index (GPI) for Rwanda is 2.42. The strength of legal rights index for Rwanda is 11. Overall, it is considered to be rather strong - bancrupcy and collateral laws are able to protect the rights of borrowers and lenders quite well; credit information is abundant and easily accessible.

Currency

The currency of Rwanda is Rwandan franc. The plural form of the word Rwandan franc is francs. The symbol used for this currency is Fr, and it is abbreviated as RWF. The Rwandan franc is divided into Centime; there are 100 in one franc.

Credit rating

The depth of credit information index for Rwanda is 8, which means that information is mostly sufficient and quite detailed; accessibility is not a problem. According to the S&P credit-rating agency, Rwanda has a credit rating score of B, and the prospects of this rating are stable. According to the Fitch credit-rating agency, Rwanda has a credit rating score of B, and the prospects of this rating are stable.

Central bank

In Rwanda, the institution that manages the state's currency, money supply, and interest rates is called National Bank of Rwanda. Locally, the central bank of Rwanda is called Banque Nationale du Rwanda.

Public debt

The government debt of Rwanda has not been calculated yet.

Tax information

The corporate tax in Rwanda is set at 30%. Personal income tax ranges from 0% to 30%, depending on your specific situation and income level. VAT in Rwanda is 18%.

Finances

The total Gross Domestic Product (GDP) assessed as Purchasing Power Parity (PPP) in Rwanda is $18901 billion. The Gross Domestic Product (GDP) assessed as Purchasing Power Parity (PPP) per capita in Rwanda was last recorded at $2 million. PPP in Rwanda is considered to be below average when compared to other countries. Below average PPP indicates that citizens in this country find it difficult to purchase local goods. Local goods can include food, shelter, clothing, health care, personal care, essential furnishings, transportation and communication, laundry, and various types of insurance. Countries with below average PPP are dangerous locations for investments. The total Gross Domestic Product (GDP) in Rwanda is 7,601 billion. Based on this statistic, Rwanda is considered to have a medium economy. Countries with medium economies support an average number of industries and opportunities for investment. It should not be too difficult to find worthwhile investment opportunities in medium economies. The Gross Domestic Product (GDP) per capita in Rwanda was last recorded at $1 million. The average citizen in Rwanda has very low wealth. Countries with very low wealth per capita often have lower life expectancies and dramatically lower quality of living among citizens. It can be very difficult to find highly skilled workers in countries with very low wealth, as it is difficult for citizens to obtain the requisite education needed for specialized industries. However, labor can be found for very low rates when compared with countries with higher wealth per capita. GDP Annual Growth Rate in Rwanda averaged 6% in 2014. According to this percentage, Rwanda is currently experiencing significant growth. Countries that are experiencing significant growth offer the best chance for a substantial return on investment, as GDP growth rate is the most important indicator of economic health. As GDP grows, business, jobs, and personal income grow as well. To read more about financial information click on finances of Rwanda.

Industry

Major industries in the country are cement, agricultural products, small-scale beverages, soap, furniture, shoes, plastic goods, textiles, cigarettes. The total labor force of Rwanda is 6,296,060 people, wherein 1.3% of population in the country are unemployed. The total number of unemployed people in Rwanda is 162,515. The Industrial Production growth rate of Rwanda is 6%.To read more about industrial information within Rwanda click on industry of Rwanda.

Agriculture

There are 11366 km2 of arable land in Rwanda, and it comprises 43% of the country's total territory. There are 13923 km2 of cultivated land in Rwanda. The country's major agricultural crops and products are coffee, tea, pyrethrum, bananas, beans, sorghum, potatoes, livestock.To read more about agriculture click on agriculture of Rwanda.