No Price Stabilization Report Yet, Two Months After the President's Deadline
Magara Bosco
March 5, 2025
Commerce Minister Marie-Chantal Nijimbere
More than two months after the president’s ultimatum, the price stabilization commission still hasn’t submitted its report. Fifty-two days past the president’s deadline for the Ministry of Commerce to stabilize prices, nothing has changed.
Commerce Minister Marie-Chantal Nijimbere faced questions from lawmakers and had difficulty providing satisfactory answers. Meanwhile, most traders say they continue to set prices based on supply and demand.
The president’s ultimatum ended on January 12. Now, on March 4, 2025, little progress has been made. Food prices remain high, fluctuating by location and supply times. Speaking to lawmakers on February 27, the commerce minister explained the delay: “The work given to us has started, but we haven’t yet developed a policy ready for the Council of Ministers.”
She noted that setting prices requires studying all market factors. “Article 4 of the Commerce Code states that food prices are determined by competition and supply-demand forces,” she said. Creating a stabilization policy, she added, involves consulting producers, traders, and importers. “We must consider production costs, import fees, and transport costs, as these directly affect prices.”
Despite criticism from parliamentarians accusing the ministry of inaction, the minister claimed progress.
“We’ve done a preliminary study to better shape this price policy and consulted stakeholders from both public and private sectors,” she said. However, no firm timeline for the commission’s report was provided.
On the ground, prices remain the same. For instance, certain bars without operating licenses still set their own rates. Small bottles of Primus beer sell for 2,500 to 3,000 FBU, though the official price is 1,800 FBU. Standard Primus bottles go for 3,000 to 4,000 FBU, instead of the 2,500 FBU official price.
Other drinks, such as Amstel beer, also show price variations depending on availability.
A bottle of Amstel, bought at 3,500 FBU, sells for 4,500 to 6,000 FBU. The same goes for Amstel Royal, which costs 3,300 FBU at purchase but can reach 6,000 FBU on the market. Soft drinks, too, have inflated prices. A Fanta bottle bought at 2,000 FBU is often sold for more than the official price of 1,600 FBU in many city neighborhoods. Areas like Rohero, Bwiza, and Nyakabiga in Mukaza, and Mutanga Nord in Ntahangwa, experience such markups.
As for food, lower-quality rice sells for 5,200 to 5,400 FBU, while mid-quality rice costs 5,800 to 6,000 FBU. Cottonseed oil in 1.5-liter bottles ranges from 21,000 to 23,000 FBU. Palm oil prices vary from 12,000 to 13,000 FBU. Prices for staple foods like beans, cassava flour, and maize flour also fluctuate. Traders often blame fuel shortages for these changes.
In December 2024, President Evariste Ndayishimiye gave the Ministry of Commerce 15 days to curb price speculation.
He warned, “If the situation isn’t fixed in two weeks, we’ll dissolve the ministry.” On December 30, 2024, a commission was established to draft price regulation strategies, but as of March 2025, no report has emerged.
The president reiterated his ultimatum on January 4, 2025, during a visit to Muramvya’s Mbuye commune. He stated that if the commission missed its deadline, those responsible would lose their jobs.
The president emphasized that prices must reflect real production costs, without excuses tied to currency shortages or taxes.
