Speaking on the Doing Business in Africa platform, Yaw Sompa described Rwanda as “a rising star and one of the most promising countries on the continent,” with a risk profile that ranks among the lowest in Africa. The assessment draws from the SOMPA Q2 Africa Risk Dimensional Report 2025, which evaluated seven African nations across political, economic, legal, security, social, climate, and infrastructure dimensions.

The numbers tell a compelling story. Rwanda’s real GDP grew by 8.9% in 2024, powered by strong performance across services, industry, and agriculture sectors. The economy expanded 7.8% in the first quarter of 2025, maintaining momentum despite global economic uncertainties. With headline inflation at 6.7% and interest rates around 6.5%, the country’s macroeconomic indicators signal stability that investors crave.

“Rwanda provides sufficient understanding of low-risk economies on the continent,” Sompa noted. “Political power is centralized, but governance has been stable since 1999, creating predictability that supports business confidence.”

That predictability extends to the business environment itself. Rwanda has systematically dismantled bureaucratic barriers, making it easier to set up companies, obtain permits, and access electricity. Regulation 89 of 2005 requires all local transactions to use the Rwandan franc, effectively eliminating the informal foreign currency trading that plagues many African economies. It’s the kind of policy clarity that gives CFOs confidence when they’re deciding where to deploy capital.

Security concerns are minimal within Rwanda’s borders. Crime rates remain relatively low, and the government has consistently prioritized economic development over political theatrics. The peace agreement with the Democratic Republic of Congo, signed in June 2025, addresses what had been the primary regional security concern, potentially unlocking even greater stability for the Great Lakes region.

However, serious challenges remain. Roughly 67% of Rwanda’s population lives in poverty, and youth unemployment persists despite economic growth. Climate risks pose real threats; the Ministry of Emergency Management has identified 522 high-risk zones for floods and landslides, potentially affecting 97,000 people and 22,000 houses. These aren’t abstract concerns but practical considerations for businesses planning long-term operations.

Infrastructure development is accelerating rapidly. The new Kigali International Airport represents just one piece of an ambitious push to position Rwanda as a regional technology hub. Investments in digital connectivity, ICT services, and skills development reflect a government betting heavily on the knowledge economy.

Sompa offered practical guidance for businesses eyeing Rwanda: “Move with clarity, speed, and humility. Fast setup, quick iteration, cost discipline, and strong local partnerships are key to succeeding here.” He specifically highlighted the services sector, including ICT, transport, finance, and trade, as areas with particularly strong growth potential.

The SOMPA report concludes that Rwanda, alongside Senegal, represents one of the continent’s lowest-risk investment destinations. For investors seeking a balance between opportunity and predictability, Rwanda’s combination of rapid growth, stable governance, and forward-looking reforms makes it a standout choice. The question isn’t whether Rwanda belongs on investors’ radar, but whether those who wait too long will miss the most attractive entry points.