ANALYSIS OF THE CORRELATION BETWEEN RWANDA'S AGRICULTURAL GROWTH AND ECONOMIC DEVELOPMENT

Abstract

Rwanda's economy has historically been based mostly on agriculture, although remains crucial to the country's socioeconomic growth, for the overwhelming majority of people in this largely rural nation, the agriculture sector continues to be an essential means of occupation, income, and food security.This research took the analysis of the link between economic development and growth in agriculture is determined by the Consumer Price Index, the GINI coefficient, and the gross domestic product (GDP), and poverty reduction in the Rwandan economybased on data obtained from the Rwanda National Institute of Statistics and the World Bank,the studyemployed regression analysis to test the correlation coefficient and respective coefficients: the ARIMA method model, error correction method, unit root test, and cointegration analysis. The findings show that agricultural growth defined by the annual increase of the general average output level hasa positive impact on the economic development of the country