* To produce 1,000 MW by 2017 from 70 MW currently

* Plans to be a middle income country in 10 years' time

* Eyes private sector loans at 27 pct of GDP

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By Kezio-Musoke David

KIGALI, Oct 14 (Reuters) - Rwanda's government has launched a seven-year blueprint to improve economic output that includes plans to massively increase electricity generation and have at least 80 percent of its people accessing financial services.

Prime Minister Bernard Makuza said on Wednesday President Paul Kagame's plan was to steer the tiny central African economy from a poor nation and towards a middle-income country status during his second seven-year ending in 2017.

"We intend to ... increase electricity access by 30 percent, the use of clean water by 100 percent and energy production from the current 70 to 1,000 megawatts," Makuza said while presenting the new seven year development program.

"Our intention is to promote industrial production by 12 percent annually, which will lead to a 20 percent increase in the gross domestic product, to reduce the number of Rwandans who earn $1 a day to below 30 percent of the total population."

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It was not immediately clear how the government would finance the programme.

Kagame, who won an August vote by an overwhelming 93 percent, is widely lauded for rebuilding Rwanda by establishing peace in the aftermath of the 1994 genocide, and turning the tiny economy around.

However, rights groups and some western diplomats accused him of a strong-handed leadership style and of blocking the birth of a critical opposition.

Self-exiled critics accuse Kagame of corruption and using violent means to silence opponents, allegations the president has denied.

Despite being poor in natural resources, Rwanda's economy expanded by 9.4 percent in the second quarter of 2010 from a year earlier, driven by 15 percent growth in services, the largest sector in the central African.

It forecasts growth of at least 7.0 percent this year.

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Makuza said that Rwanda's government aims to have at least 80 percent of its people accessing microfinance services so private sector credit constitutes 27 percent of the total GDP.

"The ultimate goal remains the same, to steer the country away from poverty to prosperity ... making Rwanda a middle income economy in the space of a single generation," a government statement said.