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Located in the Great Lakes Region of Africa, Burundi is surrounded by Tanzania to the east, the Democratic Republic of the Congo to the west, Rwanda to the north and bordered by Lake Tanganyika to the southwest. With an estimated population of 14 million people, Burundi is densely populated, with an estimated density ratio of 442 people per square kilometer. Burundi is landlocked and has a low-income economy, with 85 % of the population employed in the agricultural sector.

In 2024, the Government of Burundi developed a new national development framework: Burundi vision “Emerging country by 2040 and a developed country by 2060”. To operationalize this vision, the government has updated the National Development Plan (NDP), which aims to change the Burundian economy for strong, lasting, and inclusive growth, creating good jobs for everyone, and improving social well-being.

The ruling party, CNDD-FDD has dominated the political scene since 2005. Following the 2025 election, the ruling party has secured 100 out of 103 seats in the National Assembly and 10 out of 13 seats in the Senate. The presidential elections are scheduled for 2027

ECONOMY
The Burundian economy is dominated by services (51% of GDP), followed by agriculture (31.6%) and industry (17.4%).

Burundi’s economy expanded by 3.9% in 2024, up from 2.7% in 2023, driven by higher government spending (6.2%), partly financed through inflationary central bank (BRB) advances. Growth was supported by a rebound in services (5.5%) and agriculture (3.7%), while industrial output remained subdued due to fuel and foreign exchange shortages.  

Inflation averaged 20.2% in 2024, down from 27.1% in 2023, but disinflation stalled mid-year, as deficit monetization intensified. Poverty was estimated at 74.8%. Externally, the current account deficit (CAD) narrowed to 11.3% of GDP, but reserves remained low at 1.6 months of imports in December 2023, while the parallel exchange premium widened to 152%.  

The fiscal deficit declined to 6.5% of GDP in 2024 (from 9.3% in 2023), supported by stronger revenues. Financing relied heavily on domestic borrowing, including BRB financing, fueling inflationary and crowding-out pressures. Public debt edged up to 69.1% of GDP.  

Growth is projected at 4.6% in 2025, supported by coffee and gold exports, and a new hydropower plant. Medium-term growth is expected to average 5%, underpinned by improved electricity distribution and sustained export recovery.  

Inflation is projected to nearly double in 2025, at 39.1%, before gradually easing. Poverty reduction will remain limited, with per capita consumption growth averaging just 0.8% in 2025–27 and poverty declining marginally to 74.5% by 2027.  

Fiscal consolidation and export gains are expected to lower the deficit to 4.5% of GDP and debt to 62.6% by 2027, while the CAD narrows below 10%.  

Sustained growth will depend on structural reforms and credible macroeconomic stabilization, with downside risks prevailing but some upside potential from favorable commodity shocks and the government’s homegrown stabilization efforts. 

Last Updated: Oct 02, 2025

Opportunities

Burundi’s unique climate and rich soil offer opportunities for micro, small, and medium-sized enterprises (MSMEs) to grow and process higher value-added products to export to regional and global markets, if major constraints in both its general business environment and its agribusiness ecosystem can be addressed.

Burundi could take full advantage of its mining potential to foster growth, create jobs, and generate revenues for the state. Labor-intensive artisanal and small-scale mining (ASM) is already a leading source of foreign earnings. In parallel, Burundi is implementing the legal, regulatory, and policy reforms to promote the development of large-scale mining projects.

In the short-term, ensuring macro-financial stability and competitiveness and reviving business environment reforms can attract investment and boost growth.

Challenges

The economy of Burundi is characterized by a predominance of low-productivity activities, with 85 % of employment in subsistence agriculture. This reliance on subsistence farming means that a significant portion of the population is engaged in agricultural activities primarily for their own consumption, rather than for commercial purposes. As a result, the agricultural sector contributes minimally to the country's GDP and economic growth.

Last Updated: Oct 02, 2025

ľ��ӰԺ Group (WBG) has intensified its technical and financial support to accompany the government's vision of an 'Emerging country by 2040 and a developed country by 2060”. Through a combination of financing, policy expertise, knowledge, and private sector partnerships, the WBG institutions - World Bank, the International Finance Corporation (IFC), and the Multilateral Investment Guarantee Agency (MIGA) - aim to support a more resilient economy and lay the foundations for inclusive, sustainable growth.

A new Country Partnership Framework (CPF) 2025-2031 is being prepared. Building on the progress made under the current CPF, the new CPF is an opportunity for the WBG to better integrate the interventions of all its institutions to support Burundi n achieving the ambitions defined in its Vision 2040-2060.

Burundi benefits from WBG grant financing through the International Development Association (IDA). The current World Bank portfolio in Burundi comprises 15 national projects and 3 regional projects for a total of $1.95 billion. The breakdown by sector is: Infrastructure (33%), People (34%), Planet (7%), Digital and Governance (5%), Prosperity (1%).

The International Finance Corporation (IFC) has been expanding its work in Burundi, focusing on three priority sectors with opportunities for private sector engagement: finance, agribusiness, and sustainable energy. IFC is also working with several financial institutions to increase access to finance for small businesses and trade. Its commitment to the banking sector is currently $20 million. To support increased access to sustainable energy in Burundi, IFC supports feasibility projects for energy production and distribution, totaling $8 million.

Last Updated: Oct 02, 2025

Some key results achieved recently through WBG supported projects, include:

Boosting electricity production

Three projects financed by IDA aim to enhance access to electricity: has added 49.5 MW of clean energy to the national grid. has begun providing off-grid solar energy to 350 schools and 361 health centers, as well as supporting the sale of 73,000 solar systems to 25,000 households, improving access for rural communities. has added 26.7 MW to the national grid. Additionally, is expanding grid access in rural areas, targeting over 1.2 million new connections by 2029.

More jobs for young people

The Skills for Jobs – Women and Youth Project has made notable progress in youth empowerment, having placed over 7,562 young people—73% of whom are women—in apprenticeships. Nearly 500 young people have also received entrepreneurship training. The project is developing new curricula and training teams to better align post-primary vocational education with market needs, in collaboration with the private sector. Maastricht University is providing advanced training for teachers at the Institute of Digital Technologies (ITN), where 125 students, including 22 women, are currently enrolled. These initiatives aim to boost professional integration and strengthen Burundi’s future workforce in digital technologies.

Unlocking private sector investment opportunities
Through its Local Champions Program, IFC identified 150 local companies and screened 40 high‑potential leads, with several now under active investment consideration. By building this pipeline of viable projects, IFC is helping to attract private capital, stimulate business growth, and create jobs.

Last Updated: Oct 02, 2025