Rwanda Economy 2007

Economy - overview:
Rwanda is a poor rural country with about 90% of the population engaged in (mainly subsistence) agriculture. It is the most densely populated country in Africa and is landlocked with few natural resources and minimal industry. Primary foreign exchange earners are coffee and tea. The 1994 genocide decimated Rwanda's fragile economic base, severely impoverished the population, particularly women, and eroded the country's ability to attract private and external investment. However, Rwanda has made substantial progress in stabilizing and rehabilitating its economy to pre-1994 levels, although poverty levels are higher now. GDP has rebounded and inflation has been curbed. Despite Rwanda's fertile ecosystem, food production often does not keep pace with population growth, requiring food imports. Rwanda continues to receive substantial aid money and obtained IMF-World Bank Heavily Indebted Poor Country (HIPC) initiative debt relief in 2005-06. Rwanda also received Millennium Challenge Account Threshold status in 2006. Kigali's high defense expenditures have caused tension between the government and international donors and lending agencies. Energy shortages, instability in neighboring states, and lack of adequate transportation linkages to other countries continue to handicap growth.

GDP (purchasing power parity):
$13.7 billion (2006 est.)

GDP (official exchange rate):
$1.968 billion (2006 est.)

GDP - real growth rate:
5.8% (2006 est.)

GDP - per capita (PPP):
$1,600 (2006 est.)

GDP - composition by sector:
agriculture: 39.9%
industry: 20.3%
services: 39.7% (2006 est.)

Labor force:
4.6 million (2000)

Labor force - by occupation:
agriculture: 90%
industry and services: 10% (2000)

Unemployment rate:
NA%

Population below poverty line:
60% (2001 est.)

Household income or consumption by percentage share:
lowest 10%: 2.1%
highest 10%: 38.2% (2000)

Distribution of family income - Gini index:
46.8 (2000)

Inflation rate (consumer prices):
8.8% (2006 est.)

Investment (gross fixed):
22.5% of GDP (2006 est.)

Budget:
revenues: $682.4 million
expenditures: $714.6 million; including capital expenditures of $NA (2006 est.)

Agriculture - products:
coffee, tea, pyrethrum (insecticide made from chrysanthemums), bananas, beans, sorghum, potatoes; livestock

Industries:
cement, agricultural products, small-scale beverages, soap, furniture, shoes, plastic goods, textiles, cigarettes

Industrial production growth rate:
7% (2001 est.)

Electricity - production:
95 million kWh (2005)

Electricity - consumption:
198.4 million kWh (2005)

Electricity - exports:
10 million kWh (2005)

Electricity - imports:
120 million kWh (2005)

Oil - production:
0 bbl/day (2004 est.)

Oil - consumption:
5,400 bbl/day (2004 est.)

Oil - exports:
NA bbl/day

Oil - imports:
NA bbl/day

Oil - proved reserves:
0 bbl (1 January 2006)

Natural gas - production:
0 cu m (2005 est.)

Natural gas - consumption:
0 cu m (2005 est.)

Natural gas - proved reserves:
54.32 billion cu m (1 January 2006 est.)

Current account balance:
$-174 million (2006 est.)

Exports:
$146 million f.o.b. (2006 est.)

Exports - commodities:
coffee, tea, hides, tin ore

Exports - partners:
China 10.3%, Germany 9.7%, US 4.3% (2006)

Imports:
$436 million f.o.b. (2006 est.)

Imports - commodities:
foodstuffs, machinery and equipment, steel, petroleum products, cement and construction material

Imports - partners:
Kenya 19.6%, Germany 7.8%, Uganda 6.8%, Belgium 5.1% (2006)

Economic aid - recipient:
$576 million (2005)

Reserves of foreign exchange and gold:
$439.7 million (2006 est.)

Debt - external:
$1.4 billion (2004 est.)

Market value of publicly traded shares:
$NA

Currency (code):
Rwandan franc (RWF)

Exchange rates:
Rwandan francs per US dollar - 560 (2006), 610 (2005), 574.62 (2004), 537.66 (2003), 476.33 (2002)