Rwanda’s economy continues to perform well. Growth in 2016 and the first half of 2017 was weaker than projected, but was higher than regional averages and is projected to recover over 2017–19. Inflation is projected to remain below the central bank’s
5 percent medium term target. Rwanda’s adjustment program, based on exchange rate flexibility, public spending restraint, and prudent monetary policy, has served to reverse external imbalances and steadily rebuild international reserve buffers. Program performance is on track, with all continuous and end-June 2017 quantitative
assessment/performance criteria met, as well as most indicative targets and structural benchmarks. Building on its successes to date, the government is crafting new medium-term development strategies, with a view to attaining upper middle income status by 2035. It is hoped that Rwanda’s participation in the G-20 “Compact with Africa” initiative can leverage additional private investment to help realize these objectives.
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