Rwanda’s National Bank introduces stricter rules for foreign currency transactions. Learn which entities can legally transact, how to comply, and the six-month transition period.
Rwanda Tightens Foreign Currency Rules for Businesses
Kigali, Rwanda — September 24, 2025 — Rwanda is intensifying its efforts to regulate foreign currency transactions. The National Bank of Rwanda (BNR) issued a new directive on September 17, 2025, clarifying which businesses can legally transact in foreign currency and outlining the procedures for others to obtain authorization.
“The directive enhances transparency and safeguards the stability of the Rwandan Franc,” a BNR spokesperson stated.
This move, which aims to curb dollarisation and strengthen the national currency, comes hot on the heels of the authorities here banning foreign currency pricing without formal approval.
Who Can Transact in Foreign Currency?
The directive categorizes businesses into two groups:
- Deemed Authorized Dealers — These include real estate firms with valid investment certificates, tourism operators licensed by the Rwanda Development Board (RDB), and companies operating under the Kigali International Financial Centre (KIFC). They do not need further approval to transact in foreign currencies.
- Non-Authorized Entities — Businesses outside these categories must apply to BNR. The central bank has up to 25 working days to respond, extendable by 10 days. (Ensafrica)
How Non-Authorized Businesses Can Apply
To gain approval, non-authorized entities must submit:
- A board resolution authorizing the application.
- A business incorporation certificate.
- A description of the business model and the need for foreign currency transactions.
- Proof of dealings with non-residents or other qualifying factors.
Approval is valid until revoked by BNR. (Lexology)
Record-Keeping Rules
Authorized businesses must keep records of all foreign currency transactions for 10 years. This ensures accountability and helps BNR monitor compliance. Violations may lead to fines or revocation of authorization. (Ensafrica)
Transition Period
Businesses with existing contracts in foreign currency have six months to comply. They can either apply for authorization or adjust contracts to meet the new requirements. (AllAfrica)
Why This Matters
The directive is expected to:
- Strengthen the Rwandan Franc: Reducing dependence on foreign currencies boosts the national currency.
- Enhance economic stability: Limiting unauthorized transactions reduces financial volatility.
- Promote accountability: Record-keeping ensures businesses operate transparently.
Economists say the rules may also discourage informal forex trade and attract investors seeking a stable financial environment.
Next Steps for Businesses
Companies operating in Rwanda should assess compliance and act quickly. Non-compliant businesses risk penalties or losing the right to transact in foreign currencies. BNR encourages firms to review their status and submit applications promptly.
For official guidance, visit the National Bank of Rwanda.
