Rwanda recently launched a new national strategy with a target to create 7,500 new jobs and attract $200 million (approximately Rwf234 billion) in investments by 2029, as the country pushes to position itself as a regional financial technology (fintech) hub. Under the plan, the government targets to increase fintech adoption to 80 per cent, almost double the current rates, grow the number of fintech companies by 30 per cent, and support the development of innovative financial solutions aimed at increasing access to digital financial services across the country. ALSO READ: Embracing inclusive fintech: Propelling Rwanda and Africa towards a thriving future Paula Musoni, the Minister of ICT and Innovation maintained that the development is part of Rwanda’s broader efforts to promote financial inclusion and support economic development through technology. “This strategy represents not just a policy document, but our country’s commitment to positioning Rwanda as a leading fintech hub in Africa,” she said. From just 3 registered fintech companies in 2014, Musoni pointed out that Rwanda is now host to over 75 active fintech players, serving more than 3 million users across the country, a growth that has contributed to the country’s financial inclusion rate which stood at 96 per cent by end of 2024. Officials said that the new strategy is expected to provide a conducive environment for further growth, positioning the country as a launchpad for fintech solutions across the region. Conducive environment A key pillar of the strategy is Rwanda’s regulatory sandbox, which allows fintech companies to test new products and services in a controlled environment under regulatory supervision. The sandbox, developed and managed by the Central Bank, is designed to promote innovation while protecting consumers. According to the central bank, atleast 17 fintech firms have already been admitted into the sandbox since its launch in 2022. Fintech firms are required to demonstrate innovation, readiness for live testing, and risk mitigation strategies as part of the application process. “Testing in the sandbox allows us to learn how these technologies work in practice while ensuring that consumers are protected,” said Benjamin Karenzi, chief executive at IT Consortium Rwanda, a financial services technology (fintech) solutions provider. Karenzi who also doubles as the founder of Chango, a digital platform designed to transform savings and investment groups in Rwanda, maintained that the sandbox also provides a structured path from innovation to market. Rwanda is one of 16 African countries with regulatory sandboxes. Once testing is complete, successful solutions can move to full commercial deployment. According to the Africa Fintech Landscape 2024 report, Rwanda’s fintech strategy remains as a strong example of how targeted policy interventions can promote growth and inclusion. Authors of the report noted that while East Africa’s share of regional fintech funding dropped from 68 percent in 2023 to just 12 percent in 2024, “Rwanda maintained strong momentum by aligning its fintech ambitions with national development goals.” The strategy also focuses on future technologies such as artificial intelligence (AI), aiming to support innovation in areas like digital lending, payments, and savings. “Rwanda is looking at long-term trends and building the foundations now,” Karenzi added, “That gives confidence to investors and startups who want to operate in an enabling environment.” The government says the fintech sector will play a key role in job creation, particularly for youth. Norbert Haguma, Country Manager, NALA Payments and Chairman of Rwanda Blockchain Association, believes that the $200 million investment target over the next 5 years is a reasonable goal, given that the industry sees investments of more than $200 billion per year globally. The fastest growing segment remains blockchain or crypto, and this policy's push for regulatory clarity and talent development in the emerging fintech solutions could be a game changer in attracting those investments,” he told The New Times in an earlier interview. Haguma predicts that wallets and payments will probably be the biggest local players, and the increase in investment funds will enable those value chains to grow faster due to increased access to funding. The key thing is that most of these value chains really depend on each other, and a growth in one feeds the growth in the others, he observed. Rwanda Finance Limited, one of the lead institutions behind the strategy, has laid down efforts to attract international firms. The government in partnership with Singapore unveiled an annual inclusive fintech forum, bringing together policymakers, entrepreneurs, investors, corporates, and foundations over 3-days to deliberate on policies, and partnerships that will harness fintech inclusion in the country. According to RFL, the solutions to financial inclusion challenges already exist, despite being fragmented regionally, by segment, and by industry.
