Rwanda’s economy is proving its resilience and growth potential, as Fitch Ratings affirms the country’s ‘B+’ credit rating with a stable outlook. This decision is a nod to Rwanda’s strong governance and promising growth prospects, along with its ability to secure support from international partners.
In the second quarter of 2024, Rwanda’s GDP surged by 9.8%, led by a robust 15% growth in the industrial sector. Fitch forecasts the country’s real GDP to reach 8.0% in 2024, surpassing other nations in the same rating category.
Despite impressive growth, Rwanda anticipates a slight moderation to an average of 6.7% over the next two years due to fiscal consolidation efforts. Key drivers of growth include the Bugesera International Airport development and infrastructure investments.
Rwanda’s Economic Outlook
While managing inflation effectively, Rwanda still faces challenges like low GDP per capita and deficits. The recent Marburg virus outbreak also poses potential risks. However, Rwanda’s debt situation remains manageable, with highly concessional government debt and strong governance compared to peers.
With a ‘B+’ rating that outshines many African nations, Rwanda’s future looks promising within the region.