Behind Rwanda ’ s socio-economic development is a steady and sound financial sector . It is one of the few countries in the world that has sustained fast economic growth , vigorous reductions in poverty , and a narrowing of inequality .
The financial sector has been on the rise in recent years , and its steadiness , structure , and competence ameliorated significantly due to enforcement regulations by the Central Bank .
Key to this success has been numerous measures taken by the government to manage debt effectively and enforce monetary stability by maintaining a flexible yet stable exchange rate . In parallel , the National Bank of Rwanda has fortified and stabilised the financial sector while helping to push for reforms that catch the attention of foreign investment .
Rwanda ’ s financial sector has made great strides towards becoming modern . The sector is stable , well capitalised , profitable and liquid . It consists of a wide and growing array of institutions - Banks , microfinance institutions , savings and credit cooperatives ( SACCOs ), insurance companies , and pension funds , and is becoming increasingly diversified .
In terms of assets , the banking sector continues to take over the financial system with 66.9 percent , followed by the pension , insurance , and microfinance sectors with 17.1 percent , 9.7 percent , and 6.3 respectively .
Rwanda ’ s immediate priorities are to increase long-term savings and increase credit to the private sector to 30 percent of GDP . This will be attained by enhancing savings mobilisation , particularly long-term savings and mobilisation of long-term capital for investment .
The government has started to issue regular bonds to deepen the capital market and lengthen the yield curve , with the longest maturity today being ten years .
There are currently more than 17 licensed commercial banks in Rwanda as well as a number of microfinance institutions and rural savings and credit cooperatives . The sector is overseen by the National Bank of Rwanda .
The banking sector has seen tremendous growth over the past five years and seen
There are currently more than 17 licensed commercial banks in Rwanda as well as a number of microfinance institutions and rural savings and credit cooperatives . The sector is overseen by the National Bank of Rwanda . increased participation by multinational banks as well . Key players in the banking sector are Access Bank , Banque Commerciale du Rwanda , Banque de Kigali , Banque Populaire du Rwanda , Ecobank , and KCB . Key players in the insurance subsector are AAR , COGEAR , CORAR , RAMA , MMI , SONARWA , and SORA .
Needless to say , Rwanda has been described as an ideal investment destination for financial services .
Opportunities
• Commercial bank products and services particularly in rural areas
• Competitive loan facilities
• Agricultural products / services financing
• Development banks especially to finance SMEs
• Microfinance opportunities
• Mortgage financing
• Investment banking services
• Training of financial sector professionals
• Insurance services , re-insurance
• Equity and bonds purchases at Rwanda ' s capital market
• Provision of life policies and other innovative insurance products such as agriculture and medical schemes
• Special financing solutions i . e . private equity funds
• Institutional and human capacity building in the capital and financial markets . •
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