KIGALI Rwanda (Xinhua) --
The Rwandan central bank said Friday it is set to
transition into a new monetary policy framework from January
2019 to safeguard financial sector against negative effects of
The National Bank of
Rwanda will move to a price-based monetary-policy framework from
the current monetary-targeting regime in order to develop a
money market and enable economic modeling and forecasting,
central bank governor John Rwangombwa told a news conference in
Rwandan capital city Kigali.
“While the price
stability achieved under the monetary targeting regime is
commendable, the ongoing economic transformation and financial
sector developments are posing new challenges that may weaken
the link between inflation and monetary aggregates,” said
The central bank has
undertaken steps to put in place the necessary conditions for
the use of price-based monetary-policy framework, he said.
Under the current
monetary-targeting regime, the central bank managed to keep
inflation low and stable, averaging 6.1 percent from 1997 to
2017, and 1.4 percent during the first 11 months of 2018,
according to him.
The banking and
insurance sectors have evolved significantly with regard to
size, risks and complexity, he said, adding that developments in
the financial system have made interest rates more important in
the decision-making process of economic actors.
The governor also
announced the central bank set out more stringent capital
requirements for financial-services companies where commercial
banks will need 20 billion Rwandan francs (about 23 million U.S.
dollars) of minimum required paid-up capital, four times the
current requirement of 5 billion francs, and development bank
lenders will need 50 billion francs of minimum required paid-up
capital, he said.
institutions will be given five years to meet the requirements
under the new rules, he added. Enditem
Rwanda strongly opposes early
release of genocide convict
KIGALI Rwanda (Xinhua) --
The Rwandan government on Friday “in the
strongest terms possible” opposed the planned early release of
genocide convict Aloys Simba from prison by Theodor Meron, judge
and president of UN International Residual Mechanism for
Criminal Tribunals (Mechanism).
Simba was convicted
of genocide and the crime against humanity of extermination by
UN International Criminal Tribunal for Rwanda (ICTR) and was
sentenced to 25 years imprisonment in 2005. The Mechanism
started assuming responsibility for the ICTR’s residual
functions in 2012.
During the 1994
Rwandan genocide that claimed the lives of about one million
people, mainly ethnic Tutsis, Simba handed out weapons to
militias surrounding the Murambi Technical School in southern
Rwanda and instructed them to massacre thousands of Tutsi
civilians who were seeking shelter there, according to IBUKA,
the umbrella body of genocide survivors associations of Rwanda.
government has learned that the outgoing president of Mechanism
is planning on releasing Simba from prison, eight years before
the end of his prison term, which is a “unilateral action”
against the objections of the Rwandan government, it said in a
statement released in Rwandan capital city Kigali.
Simba has shown no
remorse and has not cooperated with investigators and
prosecutors, and his release will result in “dire consequences”
for survivors of his crimes, said the statement.
Meron’s plan to
release Simba is not the result of a statutory requirement or
the facts, said the statement.
government also urged the next president of the Mechanism to
take more seriously the law and the facts when reviewing
applications for early release.
About 10 genocide
perpetrators convicted by ICTR have been granted early release
by Meron over the years, according to IBUKA and the Rwandan