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The blast went off during Friday evening rush hour near a busy taxi park located about a mile (2 kilometers) from Kigali International Airport. The area is heavily patrolled by the army and police.
Police quickly cordoned off the area as the wounded were brought to hospitals.
Rwandan Police Spokesman Superintendent Theos Badege confirmed the incident and said that police were pursuing the assailants.
Last year, Kigali was shaken by a series of grenade attacks including in the wake of the August presidential election.