The Board of Directors of the International Monetary Fund -IMF- approved on April 2, the disbursement of SDR80.1 million (about $109.4 million) under the rapid credit facility (RCF) arrangement with the government of Rwanda. The resource will meet the urgent needs of the country’s balance of payments in the current covid-19 crisis context. It will mostly support the most vulnerable providing them with needed health care.

This is a boost to the government’s efforts to curb the impact of the pandemic on the economy, notably on the trade, tourism and forex buffers.

“The covid-19 pandemic has ground Rwanda’s economy to a halt, creating an urgent balance of payments need. To contain and mitigate the spread of the virus, the government swiftly implemented measures that have affected all sectors of the economy. With uncertainties surrounding the duration and spread of the pandemic, the economic fallout could intensify further,” said Tao Zhang, deputy managing director and acting chair of the International Monetary Fund (IMF).

The institution has also reviewed downwards the country’s economic growth outlook to 5.1% in 2020, down from 10.1% in 2019.

Borgia Kobri