KIGALI, April 2 (Xinhua) -- Rwanda has reached a staff-level agreement with the International Monetary Fund (IMF) on a 38-month loan program under the Extended Credit Facility (ECF), the Ministry of Finance and Economic Planning announced Thursday.
The agreement is worth Special Drawing Rights (SDRs) 185 million (about 250 million U.S. dollars) and will now go to IMF management and its Executive Board for final approval, expected in June 2026, the ministry said in a statement.
According to the statement, the agreement will support Rwanda's efforts to keep up reform momentum, manage the economy prudently, rebuild financial buffers, and address the impact of the war in the Middle East.
The program focuses on strengthening coherent economic policies, managing fiscal and debt risks to sustain growth, as well as promoting private-sector-led growth with transparent oversight of state-owned companies.
"We are pleased with the progress on the ECF program, which will cushion the impact of the Gulf war and declining budget support while sustaining Rwanda's growth, investment ambitions, and structural transformation," said Yusuf Murangwa, Rwandan minister of finance and economic planning.
Rwanda's economy grew by 9.4 percent in 2025, much higher than expected. Inflation rose to 9.2 percent in February 2026, above the central bank's target. The external position improved last year thanks to strong exports of coffee and minerals. Imports remained high, especially equipment and materials for local businesses, according to the statement.
"Rwanda's economy remains resilient with strong 2025 growth, but prolonged war in the Middle East and tighter financing could pressure inflation, external balance, and debt," said Albert Touna Mama, IMF mission chief.
The statement added that Rwanda's growth is expected to slow to 6.8 percent in 2026, as inflation, budget pressures, and trade deficits persist due to higher global oil and fertilizer prices caused by the war, as well as financing for large strategic investments. ■
