Rwanda’s economy slowed to 6.1 per cent during second quarter of the year compared to an impressive 7.4 per cent growth rate registered in the first quarter. According Gross Domestic Product figures released by the National Institute of Statistics Rwanda last week, this was also a big decline compared to the same period last year when the economy grew by 7.2. The services sector was the main driver of growth, contributing 47 per cent of the total GDP followed by the agriculture sector, which raked in 33 per cent, while industry added 14per cent. Six per cent was attributed to adjustment for taxes less subsidies on products, the report indicated. The agriculture sector grew by 5 per cent and contributed 1.5 percentage points to the overall GDP growth, while activities in the industrial sector grew by 5 per cent and contributed 0.7 percentage points to the GDP growth. Service sector increased by 9 per cent and contributed 4.2 percentage points to the GDP growth. The report indicates that GDP at current market prices was estimated at Rwf1.314 trillion, up from Rwf1.185 trillion in the same quarter of 2013. According to Yusuf Murangwa, the National Institute of Statistics Rwanda director general, the private, final consumption expenditure was estimated at 73 per cent of the GDP while the government final consumption expenditure was 18 per cent. “In the second quarter of the year, imports are provisionally estimated to have increased by 11 per cent, while exports dropped by 4 per cent,” Murangwa said in a media statement. After a slowdown in real GDP growth in 2013, Rwanda’s economy grew by 7.4 per cent in first quarter and is expected to further improve and reach the 6 per cent growth rate projected for the year 2014.
