The Congolese Ministry of Tourism and EquityBCDC have signed a Memorandum of Understanding (MoU) to boost tourism in the Democratic Republic of Congo (DRC). The MoU should help structure operators, make them bankable, improve project financing, and digitize tourism services. It also includes training and financial education initiatives, with a particular focus on young people and women.

Commenting on the milestone, Tourism Minister Didier M'Pambia stated: “This collaboration will enable the private sector to boost a sector that has enormous potential, but suffers from underfunding. As public funding alone cannot contribute to the growth of this sector, we have called on a financial institution that already has expertise.”

The partnership comes at a time when the Congolese tourism sector exhibits both development potential and signs of fragility. The low level of financing and limited performance of credits granted to operators highlight structural challenges within the industry.

According to EquityBCDC’s 2023 annual report, the "tourism, hotels and restaurants" sector accounts for just 0.2% of the bank’s overall outstanding loans. This low share reflects limited bank investment in the tourism sector, which records a non-performing loan rate of 34.4%. This is one of the highest in EquityBCDC’s portfolio and up from 31.4% at the end of 2022. This indicates that more than a third of loans granted to tourism players are experiencing repayment difficulties.

Last January, under its financial inclusion strategy, EquityBCDC also launched the “Contribution to Economic Growth (CCE) – for them” project. This initiative provides technical and financial support to businesswomen in Bukavu and Kinshasa.

Boaz Kabeya (intern)