The National Bank of Rwanda’s latest Annual Report (FY 2024/2025) presents a clear picture of an economy that continued to grow and modernize despite global pressures. It highlights how sound monetary policy, financial sector reforms, and digital transformation supported national stability and inclusion.
Global and Regional Context
The 2024/2025 financial year was shaped by persistent global inflation, high interest rates, and geopolitical tensions. According to international projections cited in the report, global growth slowed to 3.3 percent in 2024 and is expected to moderate further to 3.0 percent in 2025. Sub-Saharan Africa continued to experience high inflation, averaging 18.3 percent, driven by food shortages and exchange-rate pressures.
In this context, Rwanda maintained strong performance and price stability. The Central Bank Rate (CBR) was reduced from 7.0 percent in June 2024 to 6.5 percent in August 2024, reflecting easing inflationary pressures. Headline inflation fell from 7.9 percent in FY 2023/24 to 5.7 percent, remaining within the NBR’s target range of 2–8 percent.
Economic Growth and Sector Performance
Rwanda’s real GDP grew by 6.3 percent in FY 2024/25, compared with 10.6 percent in the previous year. Growth was led by services, which expanded by 8.6 percent, supported by trade, ICT, financial services, and public administration.
Agriculture increased by 3.9 percent, reflecting continued recovery in export crops, livestock, and fisheries, while industry grew by 3.2 percent, mainly due to manufacturing and ongoing construction projects.
Despite external pressures, the Rwandan franc’s depreciation slowed to 9.68 percent against the U.S. dollar, compared with 12.59 percent the year before. Foreign exchange reserves rose to USD 2.32 billion, equivalent to 4.8 months of import coverage, an indicator of adequate external buffers.
Monetary and Financial Sector Stability
The NBR’s monetary policy remained evidence-based and forward-looking. Research outputs — eight policy briefs, eight research papers, and two international publications — informed policy decisions during the year.
Liquidity conditions improved in the banking system. The interbank rate declined to an average of 6.78 percent in FY 2024/25, down from 8.17 percent in the previous year. Lending rates eased slightly to 15.94 percent, while deposit rates averaged 10.02 percent, narrowing the interest-rate spread.
Total assets of the financial sector grew by 22.6 percent, reaching FRW 14.3 trillion by June 2025. The banking industry accounted for 67.4 percent of these assets, followed by pensions (16.1 percent), insurance (8.5 percent), and microfinance (7 percent).
Capital and liquidity levels remained comfortably above regulatory thresholds.
- Capital adequacy ratio for banks: 21.6 percent (minimum 15 percent)
- Capital adequacy for microfinance institutions: 34.7 percent
- Liquidity coverage ratio for banks: 289 percent (minimum 100 percent)
- Non-performing loans (banks): 2.6 percent, down from 5 percent
These indicators confirm a well-capitalized, liquid, and resilient financial system capable of supporting continued lending and investment.
Strengthening Inclusion Through SACCO Reform
A major achievement was the completion of the automation of all Umurenge SACCOs in June 2024 and their consolidation into District SACCOs. By June 2025, seven District SACCOs had been established from 99 Umurenge SACCOs. The consolidation is expected to improve efficiency, strengthen governance, and expand access to financial services, especially in rural areas.
The NBR also intensified supervision of microfinance institutions and newly licensed 78 non-deposit-taking financial service providers, enhancing consumer protection and compliance with anti-money-laundering and market-conduct standards.
Expanding Digital Finance
Digital payments continued to grow strongly.
- Mobile payments increased by 57 percent in value and 44 percent in volume.
- Mobile banking more than doubled, rising 108 percent in value and 113 percent in volume.
- eKash services expanded by 301 percent, reaching a total value of FRW 37.7 billion by June 2025.
These developments were supported by upgraded infrastructure, improved cybersecurity, and public awareness campaigns. By June 2025, financial inclusion reached 96 percent, up from 93 percent in 2020.
The NBR also advanced work on the Central Bank Digital Currency (e-FRW) through a proof-of-concept project and finalized an Open Finance Roadmap to promote secure data sharing across financial institutions.
Supporting Women and Inclusive Growth
The report highlights targeted programmes to promote gender inclusion. The Gendana Konti Project trained 25 000 women in using mobile money and onboarded 7 000 new users. Rwanda also joined 28 countries under the WE Finance Code, committing to expand funding to women-owned businesses.
In addition, the Financial Inclusion Dashboard, launched by the NBR, now provides weekly data on access to and use of financial services. The platform serves more than 2 500 users in over 100 countries, reinforcing Rwanda’s reputation for data-driven financial policy.
Institutional and Financial Performance of the NBR
The Bank’s own financial position strengthened considerably.
- Balance-sheet growth: 23 percent
- Equity increase: 35 percent
- Net interest income: up 54 percent
- Surplus: FRW 150 billion
Although operating expenses rose by 19 percent due to digital transformation and restructuring, the Bank maintained a strong surplus and received a clean audit opinion, confirming effective governance and financial management.
Internally, the NBR achieved 75 percent of its first-year targets under its five-year Digital Transformation Strategy, including the establishment of a centralized business-intelligence environment and upgrades to the Rwanda Integrated Payment Processing System (RIPPS).
Cybersecurity was reinforced through new frameworks, ISO 27001:2022 certification, and training for more than 500 SACCO staff and internet-banking users.
Risk Management and Sustainability
The report notes that the NBR continued to apply a comprehensive Risk Governance Framework, covering operational, financial, strategic, reputational, and compliance risks. Key measures included enhanced monitoring of emerging technological threats, especially artificial intelligence and cybersecurity.
The Bank also began integrating Environmental, Social, and Governance (ESG) principles into its regulatory and operational practices to ensure that financial development aligns with Rwanda’s sustainability agenda.
Outlook for 2025/2026
Looking ahead, the NBR plans to maintain a balanced policy stance aimed at preserving price stability, supporting private-sector credit, and encouraging innovation in the financial system. Continued investment in technology and skills is expected to improve service delivery and operational efficiency.
The Bank will also advance work on the digital currency pilot, expand its financial-education initiatives, and strengthen coordination with government institutions to align financial policies with the National Strategy for Transformation (NST2).
Conclusion
The 2024/2025 financial year confirmed Rwanda’s ability to sustain economic growth while keeping inflation and currency pressures under control. A growing, well-regulated financial system, strong digital adoption, and deliberate inclusion policies have positioned the country for continued progress.
As Governor Soraya M. Hakuziyaremye stated in her foreword, the National Bank of Rwanda remains committed to “maintaining macroeconomic stability, advancing financial-sector development, and promoting innovation to support Rwanda’s vision for inclusive and sustainable growth.”
The evidence from this year’s report suggests that these priorities are firmly on track.
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