Rwanda’s economy grew by 7.8% in the first quarter of 2025, boosted by strong performance in the services and industrial sectors, the country’s statistics agency reported Thursday.
The National Institute of Statistics of Rwanda (NISR) said the country’s gross domestic product (GDP) reached 5.26 trillion Rwandan francs, up from 4.49 trillion francs in the same period last year.
Ivan Murenzi, Director General of NISR, said the growth reflects expanding activity across several sectors of the economy.
“This kind of growth shows that there are many projects taking place roads, agriculture, new businesses,” Murenzi said. “These activities create jobs, boost incomes, and contribute to national prosperity.”
The services sector was the largest contributor to GDP, accounting for 46% of the total output in the first quarter. It grew by 9%, led by an increase in retail and wholesale trade, which rose by 14%.
Information and communication services surged by 19%, while hotel and restaurant activity increased by 5%. Financial services grew by 8%, and public administration rose by 14%. Education services also saw a 5% increase. Health services, however, declined by 1%.
Industry made up 23% of GDP and grew by 9% during the quarter. Construction was one of the key drivers, with a 13% jump, followed by a 7% increase in manufacturing output.
The production of metal goods, machinery and household items rose sharply by 22%. Chemical products and plastics increased by 15%, while wood products and printing also showed growth. On the downside, textile and leather production dropped by 4%. Mining and quarrying declined by 3%.
Agriculture, which contributed 24% to the economy, grew by 2% overall. However, food crop production declined by 1%, largely due to irregular rainfall during the planting season.
Maize production fell by 5%, and bean harvests were down 1%. In contrast, Irish potato production increased by 3%, and cassava was up 5%. Agricultural exports rose by 3%.
Finance Minister Dr. Yussuf Murangwa said the sector faced challenges because of climate change.
“Rains were delayed, forcing some farmers to plant twice,” Murangwa said. “We are putting more effort into climate adaptation and strengthening agricultural support services.”
Rwanda’s economy is projected to grow by 7.1% in 2025, as the government continues to invest in infrastructure, services, and climate-resilient agriculture.
Murenzi said the GDP growth rate is a key indicator of the country’s direction.
“When we see the economy grow at 6% or more, that means national wealth is increasing,” he said. “It translates to better living conditions and steady progress toward development.”
