The World Bank has ranked Rwanda among the leading countries in sub-Saharan Africa for sound institutions and policies governing public finances and the management of government resources.
The findings are contained in the World Bank’s Country Policy and Institutional Assessment (CPIA) report, which gave Rwanda a score of 4.2 out of six, placing it at the top of the 40 sub-Saharan African countries assessed.
The assessment is based on 16 criteria, including public financial management, monetary policy, financial sector regulation, social protection, the efficient use of public resources, transparency, accountability and efforts to combat corruption in public institutions.
These criteria are grouped into four main areas: economic management, structural policies, policies promoting social inclusion and equity, and public sector management and governance.
Rwanda performed particularly well in social inclusion and equity, scoring 4.6 out of six. It scored 4.3 in structural policies and 3.9 in public sector management and governance.
Of the 40 countries assessed in sub-Saharan Africa, 22, including Rwanda, scored above 3.1 out of six, making them eligible for loans and grants from the World Bank’s International Development Association (IDA).
According to the report, Côte d’Ivoire followed Rwanda, while Cabo Verde and Benin shared third place. The lowest-ranked countries included the Central African Republic, Somalia, Eritrea and the two Sudans.
Judith Nabaasa, an economist at the Ministry of Finance and Economic Planning, said Rwanda’s strong policies and institutions were reflected in how it manages the grants and loans it receives.
“Public resources must be managed transparently, from the institutions providing the funds to how the money is spent. The Office of the Auditor General is responsible for auditing the use of public resources,” she said.
Rwanda says transparency in public borrowing and clear disclosure of its financial position have helped maintain the confidence of lenders and investors.
Finance and Economic Planning Minister Yusuf Murangwa has emphasised that the loans Rwanda takes out are assessed based on how the funds will be used and the expected returns.
He said this approach enables the country to secure some loans at zero interest, with repayment sometimes deferred for several years.
