Tuesday, September 8, 2026
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ECONOMY

Rwanda Recorded 6.6% Growth in Industrial Output in July

Rwanda Recorded 6.6% Growth in Industrial Output in July

Rwanda’s formal industrial output increased by 6.6 percent in July 2026 compared with the same month last year, driven mainly by growth in electricity, manufacturing, mining, and water and waste-management activities.

The latest Index of Industrial Production report from the National Institute of Statistics of Rwanda shows that output also grew by 3.6 percent compared with June 2026. The annual average growth rate was reported at 6.4 percent.

Rwanda’s industrial production index reached 114.2 in July, up from 107.0 in July 2025, under the revised index that uses 2024 as its base year.

 

Electricity Recorded Strongest Contribution

Electricity production increased by 18.5 percent year on year and contributed 3.8 percentage points to the overall industrial growth rate, the largest contribution among the four main industrial sectors.

Electricity output also rose by 6.4 percent compared with June, while its annual average growth rate stood at 13.9 percent.

Water and waste-management output increased by 12.6 percent from July 2025 and by 5.2 percent compared with June 2026. The sector recorded an annual average growth rate of 7.6 percent.

Mining and quarrying grew by 4.7 percent year on year. Its output increased by 22.8 percent from June, representing the strongest monthly growth among the four main sectors.

Mining and quarrying accounts for 15.8 percent of Rwanda’s industrial production index and contributed 0.7 percentage points to the annual increase.

 

Manufacturing Results Require Clarification

Manufacturing represents 68.1 percent of the industrial production index, making it the largest component of Rwanda’s formal industrial sector. It contributed 1.9 percentage points to the overall annual increase.

Food processing grew by 6.1 percent, while non-metallic mineral products increased by 8.9 percent. Production of metal products, machinery and equipment rose by 3.5 percent.

Furniture and other manufacturing increased by 8.2 percent, wood, paper and printing grew by 1.5 percent, and chemicals, rubber and plastic products rose by 1.2 percent.

However, beverages and tobacco production decreased by 1.9 percent, while textiles, clothing and leather goods declined by 0.5 percent.

The NISR report states that total manufacturing output increased by 49.2 percent year on year. However, that figure does not align with the report’s listed subsector growth rates or manufacturing’s 1.9 percentage-point contribution to the overall increase and therefore requires clarification.

Industrial Economy More Than Doubled Since 2017

The report also presents the results of an exercise that changed the index’s base year from 2017 to 2024 to reflect changes in Rwanda’s industrial structure.

Total industrial gross value added increased from Rwf442.1 billion in 2017 to Rwf1.14 trillion in 2024, representing growth of 158.4 percent.

Water and waste management recorded the largest increase over the period, growing by 508.1 percent. Chemicals, rubber and plastic products expanded by 359.2 percent, while wood, paper and printing grew by 328.7 percent.

Mining and quarrying increased by 213.9 percent, non-metallic mineral manufacturing by 204 percent and beverages and tobacco production by 203.5 percent.

The revised figures show the longer-term expansion and changing composition of Rwanda’s industrial economy, with manufacturing continuing to account for the largest share of formal industrial activity.

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