Rwanda's Revenue Authority (RRA) has set a new benchmark by exceeding its tax revenue collection target for the 2024/2025 fiscal year, achieving an unprecedented 101%. The initial goal was to collect 3.041.2 billion Rwandan Francs (Frw), but RRA successfully gathered 3.079.8 billion Frw, surpassing expectations.
In the fiscal year 2023/2024, RRA had collected 2.619.2 billion Frw, achieving 99.3% of its 2.637 billion Frw target. This growth is attributed to innovative strategies deployed to optimize revenue collection methods.
One of the standout initiatives was the expanded adoption of Electronic Billing Machines (EBMs), technology crucial for ensuring digital compliance and tracking financial transactions. Between 2023/2024 and 2024/2025, the number of EBMs distributed surged from 117,631 to 147,700, improving transparency and compliance across businesses.
Additionally, RRA’s campaign to enroll new taxpayers under the Value Added Tax (VAT) system resulted in registering 44,000 new traders, an impressive increase from the 32,529 registered in 2023/2024.
Another key contributor to the record-breaking collection was the voluntary disclosure campaign, encouraging taxpayers to reveal unreported assets and income. Through this initiative, RRA collected 18.1 billion Frw with participation from 5,328 individuals in 2024/2025.
Imports also significantly boosted revenue collection as their value increased by 21.9% in 2024/2025, far outpacing the anticipated growth of 16.3%. Efforts to combat smuggling contributed an additional 14.6 billion Frw, while the recovery of outstanding tax arrears added 278 billion Frw to the revenue total.
These accomplishments were detailed by RRA’s Commissioner General, Ronald Niwenshuti, during a media briefing on Tuesday, July 8, 2025. The event reviewed the achievements of the 2024/2025 fiscal year and outlined ambitious goals for 2025/2026.
This announcement came on the heels of a statement by the Minister of Finance and Economic Planning, Yusuf Murangwa, who revealed upcoming changes to tax policies for 2025/2026. These changes include removing import duties on key items such as electric vehicles, hybrid engines, and goods facilitating digital financial transfers, alongside resources critical for locally-based manufacturing industries.
The minister emphasized the strategic goal of accelerating the transition to electric vehicles (EVs) and hybrid engines, which aligns with Rwanda's commitment to reducing air pollution and fossil fuel dependency. Vehicles powered by electricity, hybrid engines, and electric motorcycles will continue to benefit from duty-free import exemptions.
Looking forward, RRA has projected its revenue target for the 2025/2026 fiscal year at 7,032.5 billion Frw. Of this, 4,105.2 billion Frw is anticipated from taxes and customs duties, setting the stage for Rwanda’s sustained economic growth.
Over the past 31 years since Rwanda’s liberation, the nation's economic development has made remarkable strides, as evident in its tax revenue growth. In 1998, the country collected 68 billion Frw, a figure that has since soared to over 3.079.8 billion Frw in 2024/2025.
Commissioner General Ronald Niwenshuti highlighted that RRA successfully collected 3.079.8 billion Frw in tax revenue during the 2024/2025 fiscal year, solidifying its role as a pillar for Rwanda’s fiscal stability.