Rwanda: Access to Financial Services Increase by 65 Percent

Mar 2016
Rwanda, March, 16 2016 - A survey by Finscope reveals that the number of Rwandans not accessing financial services reduced by 17% in 2012-2016.

The survey also shows that people engaged in financial transactions not directly related to the banking sector have increased by 65% from 34% within only four years.

Rwandans aged 18 and above accessing financial services totaled 1.3 million, an equivalent of just 28% of the adult population. Currently, 700, 0000 people in that age bracket (11%) of all people above 18 years still don't access such services. This indicates a reduction of 17% from the previous figure.

Also, the percentage of people engaged in financial transactions not directly linked to the banking sector increased from 33% to 65% in a period of four years.

Speaking at the event, the Minister of Finance and Economic Planning (MINECOFIN), Claver Gatete, urged local leaders and districts which still lag behind in this respect to step up their efforts.

"Access to Rwanda has done a wonderful job and I believe that everybody has had an idea on where we need improvement in access to finance and promote financial inclusion," Gatete said.

The Prime Minister, Anastase Murekezi, who was the guest of honor, said that the reduction is a clear indication that Rwanda is on track to meet its objectives.

"Rwanda's long-term development plan is to transform into a middle-income country by the year 2020. The Finscope survey shows us that we are well on track towards meeting our target of 90% financial inclusion by 2020," Premier Murekezi said.

The survey indicates that in total, 89% of adults in Rwanda are included both formal and informal financial products and services. This accounts to about 5.2 million individuals. It also shows that the levels of financial inclusion vary significantly depending on districts. For example, Nyarugenge and Kicukiro districts have reached at 97% of financial inclusion whereas Karongi and Rutsiro districts are at 78%.

According to the study, about 68% of adults in Rwanda have/use formal financial services like banks and other formal (non-bank) financial products and services.

The Finscope survey was first launched in Rwanda in 2002 by FinMark Trust - South African organization. Its first survey was conducted in Rwanda in 2008 and the second in 2012. This was the third.

Source : allAfrica

Research Analysis Tools

The fund indexes, institution benchmarks and other market information displayed here are all Symbiotics designed analysis tools, created in-house by our analysts and experts. Symbiotics has one of the oldest track records in microfinance investment analysis dating back to the late 1990s; its indexes and benchmarks have been regularly used as markers by investors, asset managers, financial institutions and practitioners. These, as well as several other research products, are available through the Research Account. Click on the link below to find out more.

Learn More