Rwanda and its future — Vision 2050
Rwanda is currently undergoing a massive transformation. Following the end of the Rwandan Genocide in 1994, Vision 2020 was implemented in the early 2000s to modernize and develop the country. Under President Paul Kagame’s leadership, investments were made in infrastructure and human capital. From 2001 to 2015, overall poverty dropped by 19.8%, and extreme poverty decreased from 23.7%. With 2020 behind us, the country has set new goals to position itself as a leader on the continent and a model for African development. Vision 2050 was announced, laying the groundwork for Rwanda to become an upper-middle-income country by 2050. This article analyzes how this plan is expected to unfold.
Vision 2050 aims to establish a transformational economic model through private and public sector growth. It aligns with other regional plans, including the Sustainable Development Goals (SDGs), the African Union Agenda 2063, and the East African Community (EAC) Vision 2050. The vision is divided into two phases: 2020–2035 and 2036–2050, with a midpoint review between stages to ensure the plan remains on track. By 2035, Rwanda aims to become an upper-middle-income country, and by 2050, a high-income country, with a GDP per capita of USD 4,036 in 2035 and USD 12,476 by 2050. This vision is set against a backdrop of a demographic boom, with 65.7% of the population expected to be of working age by 2050, allowing Rwanda to reap the benefits of investing in its future.
To build a dependable workforce, investments in healthcare are crucial. Efforts are underway to reduce maternal, neonatal, infant, and under-five mortality rates to high-income country standards, aiming for a 70–90% reduction. The Community-Based Health Insurance Scheme (CBHI) was established to make health insurance affordable for low-income individuals. Additionally, a Prime Minister’s order on February 13, 2020, mandated a statutory deduction of 0.5% from every employee’s net salary to subsidize the CBHI.
The growth of domestic industry is another key factor in Vision 2050. Rwanda plans to become a center for medical tourism, biomedical research, and pharmaceutical industries. The Human Resource for Health Secretariat has been established to lead in building health education infrastructure and developing a health workforce. Kigali Innovation City, announced in December 2021, will host universities, office spaces, research and development facilities, and start-up incubators. This new city and an increase in funding for research and development have attracted universities like Carnegie Mellon — Africa, Africa Leadership University, and the African Institute of Mathematical Sciences.
Soccer fans might have noticed the “Visit Rwanda” advertisements through various teams in the sport. This is part of the plan to develop the tourism industry. Several luxury hospitality companies, including Radisson, Marriott, Hilton, One & Only, and Safaris, have invested in properties in Rwanda. A film industry is also emerging, with the Rwanda Film Office sponsoring various projects. A robust tourist and film industry will help diversify the economy and reshape the country’s image through soft power.
The plan also details developments in other economic sectors, such as agriculture and urbanization. Initiatives include providing agricultural subsidies to those who meet production quotas and a 50% reduction in corporate income tax for registered investors exporting 50% of the product produced in Rwanda. A midpoint review in 2035 will assess the progress of Vision 2050. If successful, it will offer a shining example of development in Africa.
