IMF approves $182M funding for Rwanda

The funding follows the IMF Executive Board's conclusion of the fourth review of the country’s Policy Coordination Instrument (PCI), Resilience Sustainability Facility (RSF), and the second review of the Standby Credit Facility (SCF) last Friday.

The decision comes after a two-week IMF team mission in the country in October, where it held talks with Rwandan officials centered on policies, priorities, and progress on related reforms.

According to an IMF statement, about $94.23 million will be disbursed under the RSF while another $87.51 million will be disbursed under the SCF.

“Rwanda’s economy has shown resilience, supported by robust growth in key sectors and a recovery in agricultural production. Inflation has remained stable within the central bank’s target range, reflecting effective monetary policy actions,” Bo Li, the Deputy Managing Director at IMF said in the statement.

He, however, noted the country’s economy continues to face external vulnerabilities, including a widening current account deficit and exchange rate pressures.

 “Rwanda has made significant progress in integrating climate considerations into its macroeconomic policies. The early completion of reforms under the RSF reflects strong climate agenda ownership, which is crucial for ongoing efforts to mobilize climate financing,” said Li, adding that the reforms are enhancing the country’s capacity to address climate-related challenges while creating opportunities for sustainable investment.