S&P Global Ratings last week affirmed Rwanda’s credit rating at ‘B+/B’ with a stable outlook. This decision underscores the Rwanda’s ability to balance robust growth with significant investments, even amid challenges.

The rating affirmation is a testament to Rwanda’s growth story. The economy is projected to expand by 7.3% annually through 2028, fueled by strategic public infrastructure projects. A major strength is the government’s debt profile, which is predominantly composed of low-interest, long-term loans from international partners, keeping repayment costs manageable.

While the report acknowledges hurdles such as regional security concerns and the financial demands of constructing the new Kigali International Airport, it also notes that financing pressures have eased. This improvement reflects a shift toward a mix of external concessional and domestic borrowing, instead of relying solely on the initially planned foreign commercial debt. As a result, the overall outlook remains stable. This reflects S&P's belief that Rwanda’s growth momentum and prudent economic management will effectively counterbalance these pressures.

The New Kigali International Airport itself symbolizes Rwanda's ambitious vision. Upon completion, it is expected to boost tourism, address logistical bottlenecks, and enhance continental connectivity, fuelling future economic diversification. Furthermore, the government’s commitment to widening its tax base and controlling spending signals a proactive approach to fiscal health.

Ultimately, the stable rating highlights a narrative of resilience and potential. It confirms that despite global headwinds, Rwanda’s effective policies and strong growth prospects provide a solid foundation for continued development and investor confidence.