Rwanda's tax revenue collection has seen a significant surge, growing by 27.7% in the 2025/26 financial year. This growth was announced by Rwanda Revenue Authority (RRA) Commissioner General Ronald Niwenshuti during the opening of the 11th Annual Congress of the African Tax Research Network (ATRN) in Kigali. The increase reflects a shift towards compliance-led revenue growth, supported by data, research, and improved engagement with taxpayers.
The RRA achieved 104.2% of its revenue target during the last financial year, with the growth driven by various factors including economic expansion, improved VAT collection, digital services, stronger tax recovery measures, and tax policy reforms. According to Niwenshuti, the increase was a result of compliance-led growth, use of data, better research, better targeting, and a more disciplined relationship with taxpayers.
The performance comes as Rwanda and other African countries seek to increase domestic revenues and reduce reliance on external financing. Minister of Finance and Economic Planning Yusuf Murangwa emphasized that financing Africa's development from its own resources has become central to the continent's development ambitions. African countries are increasingly involved in international tax-rule negotiations, which will have a direct impact on how much value created within African economies can be retained and taxed locally.
Murangwa highlighted the role of the African Tax Administration Forum (ATAF) in strengthening Africa's position in international tax discussions. The ATAF exists to support African revenue administrations, enable them to speak with one voice in international rulemaking, and build the technical capacity that domestic resource mobilisation demands. He also noted that Rwanda's economy is increasingly connected to regional trade and cross-border services, making international tax rules particularly important.
The three-day ATRN congress brought together tax administrators, researchers, policymakers, development partners, and other experts from Africa and beyond to examine contemporary taxation challenges. The congress received 190 research paper submissions, compared with 120 in 2024, representing a 60% increase in research contributions. The discussions focused on issues including digitalisation, artificial intelligence, cross-border taxation, tax policy, domestic resource mobilisation, and the changing nature of African economies.
For Rwanda, the congress provided an opportunity to share its experience in using digital systems, data, and taxpayer engagement to improve revenue collection. The country is targeting further increases in domestic revenue as it seeks to finance a larger share of its development agenda from resources generated within the economy. The discussions in Kigali placed research and international tax cooperation at the centre of a broader effort to strengthen Africa's ability to mobilise and retain the resources needed to finance its own development.
The growth in tax revenue collection is a positive step for Rwanda, which is seeking to reduce its reliance on external financing and increase domestic revenues. The country's experience in using digital systems and data to improve revenue collection can serve as a model for other African countries. As the continent continues to navigate the challenges of domestic resource mobilisation, the ATRN congress provided a platform for experts to share knowledge and best practices.
Key points
- Rwanda's tax revenue collection grew by 27.7% in the 2025/26 financial year.
- The growth was driven by economic expansion, improved VAT collection, digital services, and tax policy reforms.
- The country is targeting further increases in domestic revenue to finance a larger share of its development agenda.
