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Rwanda

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Tanzania-Rwanda: Key Figures (2024/25) TZ exports to Rwanda (USD m) 523 Rwanda exports to TZ (USD m) 295 Kigali-Dar rail cost (USD m) 900 Rwanda GDP 2025 (USD bn) 16.37 Rwanda GDP growth 2025 (%) 9.4

Tanzania's exports to Rwanda reached USD 523 million and Rwanda's exports to Tanzania reached USD 295 million, placing combined bilateral trade above USD 800 million flowing largely through the Port of Dar es Salaam.

Rwanda ranks as Tanzania's 7th largest export market and Tanzania ranks as Rwanda's 6th largest trade partner, a relationship anchored by East African Community membership and by the central corridor linking Kigali to Dar es Salaam.

Rwanda's GDP reached USD 16.37 billion in 2025 with growth of 9.4%[3], and its population of 14,569,341[3] forms a fast expanding landlocked market that depends on Tanzanian transit infrastructure for maritime access.

Tanzania-Rwanda Bilateral Trade

Tanzania's exports to Rwanda stand at USD 523 million, making Rwanda the 7th largest destination for Tanzanian goods after China, India, the UAE, Saudi Arabia, South Africa, and Kenya.

Rwanda's exports to Tanzania reached USD 295 million, and Tanzania is the 6th largest partner for Rwandan trade behind China, the UAE, the DRC, Kenya, and India.

The main goods flowing from Rwanda into Tanzania are niobium, tantalum, vanadium and zirconium ores, tin ores, refined petroleum, and tungsten ore, while Tanzanian shipments north include refined petroleum and consumer goods routed through Dar es Salaam.

Rwanda's foreign direct investment net inflows reached 3.8% of GDP in 2024[3], reinforcing its capacity to absorb Tanzanian goods and services as its economy grew 9.4% in 2025[3].

Central Corridor and Rail Connectivity

In 2016, Rwanda selected Tanzania over Kenya for its rail link to the Indian Ocean, with the Kigali to Dar es Salaam alignment estimated at USD 900 million against USD 1 billion for the Kenyan alternative.

In June 2021, President Paul Kagame urged the implementation of the standard gauge railway connecting Kigali to Isaka in Tanzania, a project designed to cut logistics costs for cargo moving between the Port of Dar es Salaam and Kigali.

In December 2019, Tanzania signed an agreement extending its new railway line to Burundi and the DRC, expanding the reach of the central corridor to Rwanda's neighbouring markets and adding scale to the transit business.

The Tanzania Port Authority announced plans to open an office in Kigali following the July 2016 visit of President Kagame, a step aimed at promoting trade flows through Dar es Salaam.

EAC Cooperation and Diplomatic Relations

Both countries are members of the East African Community, which underpins the free movement of goods, services, and people along the central corridor and provides the legal basis for tariff-free trade in most categories.

In June 2021, President Samia Suluhu asked the Tanzania-Rwanda Joint Cooperation Commission to reconvene to add impetus to joint projects and identify new areas of mutual interest.

Both Rwanda and Tanzania maintain diplomatic missions in each other's capitals[2], and bilateral engagement has intensified since the 2016 Kagame visit and the 2021 cooperation drive focused on trade, energy, and transport.

Cross Border Energy and Infrastructure

The Rusumo hydropower generation project on the Kagera river is jointly promoted by Rwanda and Tanzania, addressing regional electricity shortfalls given Rwanda's access to electricity rate of 63.9% in 2023[3].

Refined petroleum flows from Tanzania to Rwanda underscore the role of Dar es Salaam as the primary fuel gateway for the landlocked economy, feeding a market of 14,569,341 consumers[3].

Composition of Rwanda's exports to Tanzania shows a heavy tilt to minerals: niobium/tantalum/vanadium/zirconium ores at 33%, tin at 28%, refined petroleum at 16%, tungsten at 9.5%, and other goods at 13.5%.

Rwanda exports to Tanzania: Nb/Ta/V/Zr 33% | Tin 28% | Petroleum 16% | Tungsten 9.5% | Other 13.5%

Policy Framework and Joint Institutions

The Tanzania-Rwanda Joint Cooperation Commission is the principal bilateral platform coordinating the cooperation agenda between the two governments, covering trade, transport, and energy.

The East African Community treaty provides the overarching framework for goods, services, and labour mobility, complementing the bilateral commission and enabling the operation of the central corridor as a single logistics artery.

The 2019 agreement extending Tanzania's railway line towards Burundi and the DRC sits within this framework, delivering onward regional integration benefits for Rwanda as a landlocked neighbour.

Investment Opportunities Linked to Rwanda

The Kigali to Isaka standard gauge railway and its onward connection to the Port of Dar es Salaam open opportunities in logistics, freight handling, warehousing, and dry port operations along the central corridor.

The Rusumo hydropower project on the Kagera river offers investment potential in cross border energy generation and downstream distribution, especially given Rwanda's electricity access of 63.9% in 2023[3].

Rwanda's mineral exports of niobium, tantalum, vanadium, zirconium, tin, and tungsten moving through Tanzanian territory create opportunities in mineral logistics, transit services, and value addition close to the port.

Refined petroleum flows to Rwanda highlight opportunities in fuel storage, pipeline studies, and downstream distribution serving a landlocked market of 14,569,341 consumers[3], while sustained bilateral trade above USD 800 million supports customs brokerage, cross border finance, and digital trade platforms.

Last Update: July 2026

References

  1. Spotlighting The World Factbook as We Bid a Fond Farewell - CIA
  2. Country Insights | Human Development Reports
  3. Rwanda | Data
  4. School enrollment, tertiary (% gross) | Data
  5. Life expectancy at birth, total (years) | Data
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Tanzania and Rwanda signed a bilateral energy cooperation agreement covering cross-border electricity trade, joint power infrastructure development, and petroleum product distribution. The deal also extends to oil and gas exploration, LNG project opportunities, and the use of artificial intelligence in the energy sector, building on the existing 80 MW Rusumo interconnection, which has synchronized the grids of Tanzania, Rwanda, and Burundi since March 2024.
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Tanzania hosted Rwandan President Paul Kagame on 3 May 2026 and Kenyan President William Ruto on 4-5 May 2026, signing eight MoUs with Kenya covering railways and a Dar es Salaam-Mombasa gas pipeline study, and agreeing to eliminate all non-tariff barriers by May 2026. Bilateral trade with Rwanda reached TZS 644 billion in 2025, while Tanzania-Kenya trade stood at over USD 720 million in 2024.
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Tanzania and Rwanda have begun linking their national payment systems, Tanzania’s Instant Payment System (TIPS) and Rwanda’s National Payment Switch (RSwitch), to enable instant, low-cost cross-border transfers. The initiative, supported by the EAC and World Bank through the Eastern Africa Regional Digital Integration Project (EARDIP), advances regional financial integration and real-time payment connectivity in East Africa.