Rwanda’s economic growth slowed to 3.6% year-on-year in the first quarter of 2020, compared to 6.1% in same period last year, and 8.4% in the last quarter of 2019. That was the slowest pace of growth since the second quarter of 2017, occasioned by effects of the global COVID-19 pandemic.
Reuters reports that among the sectors whose performance deteriorated during the period include agriculture, industry, and service.
The sectors’ growths were as follows:
|SECTOR||Q1 2020||Q4 2019|
|Hotels & restaurants||3%||12%|
|Professional, scientific & technical activities||-1%||9%|
|Cultural, domestic & other services||-1%||5%|
|Mining & quarrying||-26%||-12%|
|Production of export crops||-16%||-4%|
On a quarterly basis, the Rwanda GDP contracted 4.2%, following an upwardly revised 1.1% growth in the previous quarter.
At the beginning of this year, the International Monetary Fund (IMF) projected trade and private investment to boost Rwanda’s GDP by 8%.
In the past, Rwanda has recorded impressive economic growth. Improved performance in construction, manufacturing, and its service industry saw Rwanda’s GDP grow by 11.9% in 2018 Q3. The government and IMF estimated its 2019 growth at 8.5%. Reuters notes that the country recorded a double-digit growth of 12.2% in 2019 Q2.