The headline
The National Bank of Rwanda (BNR) raised the Central Bank Rate by 100 basis points, from 7.25% to 8.25%, on 21 May 2026. It was the second increase of the year, after February's, and twice its size.
Governor Soraya Hakuziyaremye said the bank acted to "safeguard price stability."
Why
- Inflation was expected to stay elevated through 2026 and above the 8% ceiling until the second quarter of 2027.
- The bank named external shocks: the war in the Middle East, rising global energy and shipping costs, and the risk of poor weather for domestic farming.
- Growth stayed strong across manufacturing, mining, transport, construction and financial services, and the committee said it was ready to tighten further if inflation did not ease.
It did tighten again: in August the rate rose to 8.75% (our story).
What it means for property
Each increase works its way into what banks charge for mortgages and construction loans. A buyer who budgeted at last year's rates should recheck the monthly repayment with the mortgage calculator, which opens at the market's average lending rate.