Rwanda reported a trade deficit of **877.81 million dollars** in the second quarter of 2026, according to the Rwanda National Institute of Statistics. This is a **15.66 percent increase** compared to the **771.52 million dollars** deficit recorded in the same period of 2025. Although domestic exports rose by **58.65 percent** to **548.98 million dollars**, the increase in imports—particularly for equipment and manufactured goods—had a larger effect on the trade balance. A trade deficit occurs when a country imports more than it exports. Total external trade for Rwanda in the second quarter of 2026 reached **2.33 billion dollars**, a **34.5 percent increase** compared to the same period in 2025. Imports rose by **28.78 percent** to **1.61 billion dollars** year-on-year. Rwanda's primary imports included transport machines and equipment, manufactured products, food, fuels, and chemicals. The main suppliers were China, Tanzania, India, Kenya, and Uganda. On the exports side, the increase was largely driven by regional markets. Rwanda's main export destinations were China, the United Arab Emirates, the Democratic Republic of Congo (DRC), the Netherlands, and the United States. The DRC ranked third in exports during the quarter. Notably, the DRC accounted for nearly **77 percent** of Rwandan exports to East African Community countries and **88.1 percent** of Rwandan re-exports during the same period. This dynamic helped Rwanda record trade surpluses with the East African Community and the Southern African Development Community, amounting to **239.77 million** and **19.14 million dollars** respectively. Rwanda also reduced its trade deficit with the European Union to **27.25 million dollars**, down from **38.57 million dollars** a year earlier. Despite these developments, Rwanda continues to implement a strategy to diversify its exports. The government's "Made in Rwanda" program, along with industrial policies and the growth of high-value-added sectors like agro-industry and manufacturing, aims to reduce reliance on imports and exports of minimally processed goods. However, the International Monetary Fund (IMF) noted that Rwanda's export base remains narrow and concentrated, which limits diversification and contributes to ongoing trade imbalances.