Rwanda’s economy grew 10.1% in Q3

Rwanda, a country known for its resilience and innovation, has defied the odds once again by achieving an outstanding economic growth rate of 10.1% in the third quarter of 2021. This remarkable feat was revealed in the latest report by the National Institute of Statistics of Rwanda and has garnered attention worldwide. CNBC Africa's Julius Bizimungu recently sat down with the Minister of Finance, Uzziel Ndagijimana, to delve deeper into the factors that propelled Rwanda's economy amidst the ongoing COVID-19 pandemic. In the interview, Minister Ndagijimana highlighted the critical role that the country's successful management of the health crisis played in driving economic activities. As Rwanda effectively reduced COVID-19 cases, it created a conducive environment for businesses to operate and thrive. Additionally, the government's swift response in supporting private enterprises through various financial initiatives has been instrumental in sustaining growth across key sectors such as oil, agriculture, manufacturing, and services. One of the key mechanisms employed by the government to bolster struggling businesses was the establishment of a fund, initially set at $100 million, which has now been augmented to $350 million. This increased financial support aims to uplift sectors that have yet to regain their pre-pandemic momentum, particularly industries like hotels, restaurants, and transportation. Minister Ndagijimana reassured that more assistance is on the horizon, emphasizing the government's commitment to nurturing economic recovery and resilience. Moreover, the Minister emphasized the pivotal role played by government support programs like the 'Made in Rwanda' initiative in driving a 7% growth in the manufacturing sector. By providing essential exemptions and incentives to local manufacturers, Rwanda has witnessed a steady rise in production levels and competitiveness, further fueling economic expansion. While celebrating Rwanda's impressive economic performance, Minister Ndagijimana acknowledged the looming threat posed by the Omicron variant of COVID-19. Despite the uncertainty surrounding the new strain, he expressed confidence in Rwanda's strengthened health system and heightened preparedness to combat the challenges it presents. The Minister reassured the public that stringent measures are in place to effectively manage any potential impact on public health and the economy. Addressing concerns about rising public debt, Minister Ndagijimana outlined the government's fiscal consolidation efforts aimed at curbing debt levels and ensuring sustainable economic growth. Despite the adverse financial effects of the pandemic, Rwanda remains resolute in its commitment to prudent fiscal management and long-term stability. In the face of unprecedented challenges brought about by the pandemic, Minister Ndagijimana reflected on the resource constraints that posed a significant hurdle in managing the economy. Despite these obstacles, Rwanda's unwavering determination and strategic allocation of resources have yielded tangible results, with economic growth standing as a testament to the country's perseverance and resilience. As Rwanda continues to navigate the complexities of the global health crisis, Minister Ndagijimana remains steadfast in his dedication to steering the country towards sustained prosperity and inclusive growth. With a pragmatic approach towards economic management and a steadfast commitment to supporting businesses and industries, Rwanda stands as a beacon of hope and inspiration in the midst of adversity.