Digital Investment - Rwanda

Rwanda

Highlights

Total transaction value in the Digital Investment market is projected to reach US$168.70m in 2024.
Total transaction value is expected to show an annual growth rate (CAGR 2024-2029) of 8.93% resulting in a projected total amount of US$258.80m by 2029.
Robo-Advisors dominates the market with a projected total transaction value of US$168.70m in 2024.
The highest cumulated transaction value is reached United States (US$1.78tn in 2024).

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Digital Investment market in Rwanda is experiencing significant growth and development due to several key factors.

Customer preferences: Rwandan customers are increasingly turning to digital investment platforms as a convenient and accessible way to grow their wealth. With the rise of smartphones and internet penetration, more individuals are embracing digital solutions for their investment needs. This trend is driven by the desire for convenience, transparency, and the ability to access a wide range of investment products and services at their fingertips.

Trends in the market: One prominent trend in the Digital Investment market in Rwanda is the emergence of robo-advisory platforms. These platforms leverage artificial intelligence and algorithms to provide automated investment advice and portfolio management. This trend is driven by the need for personalized investment solutions and cost-effective options for retail investors. Robo-advisory platforms offer a user-friendly interface and low fees, making them an attractive option for individuals looking to invest their money. Another trend in the market is the increasing popularity of crowdfunding platforms. These platforms allow individuals to invest in startups and small businesses, providing them with access to investment opportunities that were previously only available to institutional investors. This trend is driven by the desire to support local entrepreneurship and the potential for high returns on investment.

Local special circumstances: Rwanda's government has been actively promoting the development of the digital economy, including the financial technology sector. This has created a conducive environment for the growth of the Digital Investment market. The government has implemented policies and regulations to ensure consumer protection and promote innovation in the sector. Additionally, the country's strong mobile money infrastructure has facilitated the adoption of digital investment platforms, making it easier for individuals to invest their money.

Underlying macroeconomic factors: Rwanda's strong economic growth and stability have also contributed to the development of the Digital Investment market. The country has made significant progress in improving its business environment, attracting foreign investment, and promoting entrepreneurship. This has created opportunities for local and international investors to participate in the Rwandan market. Additionally, the government's focus on financial inclusion has increased access to financial services for the population, including digital investment options. In conclusion, the Digital Investment market in Rwanda is experiencing growth and development driven by customer preferences for convenience and accessibility, as well as the emergence of robo-advisory platforms and crowdfunding platforms. The government's support for the digital economy and the country's strong macroeconomic factors have also contributed to the market's expansion. With the continued advancement of technology and the increasing adoption of digital solutions, the Digital Investment market in Rwanda is expected to further evolve and offer more opportunities for investors.

Data coverage:

The data encompasses B2C enterprises. Figures are based on transaction values / revenues / assets under management and user data of relevant services and products offered within the FinTech market.

Modeling approach / Market size:

Market sizes are determined through a combined top-down and bottom-up approach, building on a specific rationale for each market segment. As a basis for evaluating markets, we use annual financial reports of key players, industry reports, third-party reports, publicly available databases, and survey results from primary research (e.g., the Statista Global Consumer Survey). In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, consumer spending, population, internet penetration, smartphone penetration, credit card penetration, and online banking penetration. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the S-curve function and exponential trend smoothing are well suited for forecasting digital products and services due to the non-linear growth of technology adoption.

Additional notes:

The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war is considered at a country-specific level.