As part of the country’s efforts to promote the rehabilitation of enterprises that were badly impacted by the COVID-19 epidemic, Rwanda has announced that it would provide an extra 250 million US dollars to the Economic Recovery Fund.
“Today, we have launched the second phase of the economic recovery fund by boosting the recovery fund with 250 billion Rwandan francs (about 250 million U.S. dollars) in order to continue supporting businesses that have been severely affected by the pandemic,” said Prime Minister Edouard Ngirente on Wednesday in the Rwandan capital city of Kigali. This was done in order to continue supporting businesses that had been severely affected by the pandemic.
He went on to say that the firms that had been harmed by the COVID-19 outbreak had been helped to get back on their feet by the economic recovery fund that had been established in 2020.
According to him, the boost in the economic development of the country is the consequence of plans put into place by the government to combat COVID-19. One of these efforts includes the mass vaccination of the Rwandan population.
Ngirente also briefed the country on the growing global commodity prices and Rwanda’s preparation to host the Commonwealth Heads of Government Meeting (CHOGM), which is planned to take place in June 2022. In spite of the fact that certain commodity prices have reached all-time highs, he said that Rwanda would make efforts to assure the supply of commodities and maintain price stability in the market.
Following the turmoil in Ukraine, he said that Rwanda is presently purchasing wheat from Brazil and Australia.
According to Ngirente, the difficulty arises from the fact that transportation prices have grown while the amount of wheat available on the Rwandan market has, for the most part, stayed the same.
According to Ngirente, the Economic Recovery Fund gives priority to industries like as tourism and hospitality, manufacturing, transport and logistics, agro-processing, education, and small and medium-sized businesses (SMEs) that are tied to local and global supply chains.
According to him, one of the industries that were affected the worst by the pandemic was the manufacturing industry, which had a decline of 19 percent, while the construction sector saw a decrease of 6 percent.
According to the most recent data from the National Institute of Statistics of Rwanda, the GDP of Rwanda grew by 10.9% in 2021.
According to the NISR report for the year 2021, the sustained recovery that occurred during the second year of the COVID-19 pandemic was successful in reversing the 3.4 percent shrinkage that was reported in 2020.