Rwanda will receive $185 million in funding from the International Monetary Fund (IMF), including $95.9 million from the Resilience and Sustainability Facility (RSF) and $89 million from the Standby Credit Facility (SCF).
This support follows a positive review of Rwanda's efforts to combat climate challenges and address short-term financial needs.
IMF projections show Rwanda's GDP is set to grow by 8.3 percent in 2024, bolstered by strong performances in the services and construction sectors. The economy grew by 9.7 percent in Q1 and 9.8 percent in Q2 of this year.
Inflation remains stable within the central bank’s target of 2 to 8 percent, aided by prudent monetary policies. A necessary 6.6 percent depreciation of the Rwandan Franc against the US dollar will help adjust external balances. By mid-2024, international reserves are expected to cover 4.5 months of imports.
While fiscal consolidation has been slower than expected, the government is focused on balancing resource mobilization and managing debt responsibly. Minister of Finance Yusuf Murangwa reassured that Rwanda's debt levels remain manageable amid ongoing global challenges.
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