News (383)
Responding to a call from President Félix-Antoine Tshisekedi, the Fédération des Entreprises du Congo (FEC), a major Congolese employers' organization, has proposed establishing an "economic support fund" to aid regions ravaged by the ongoing conflict in the eastern DRC. According to a communiqué released on February 6, 2025, the fund will be fueled by voluntary contributions from FEC members.
During his address to the nation on January 29, President Tshisekedi urged all sectors, including the private sector, to contribute to the war effort. “Our soldiers are fighting heroically in defense of our territorial integrity and sovereignty. They need our full support, whether moral, material, or logistical," he stated.
While the FEC statement doesn't specify how the funds will be used, the needs are multifaceted. Beyond bolstering the military's capacity to counter the M23 rebels, there's an urgent need to address the escalating humanitarian crisis and mounting economic fallout.
The recent escalation has displaced over 400,000 people, swelling the total number of people displaced by the conflict to over 5 million. Several sources number nearly 800 or more deaths, with thousands more wounded.
According to the FEC, the fighting disrupts supply chains by hindering the movement of goods and services. This increases the risk to investment by discouraging domestic and foreign capital and degrades the business climate by weakening the confidence of economic players, thereby undermining business productivity and competitiveness.
Moreover, the M3 rebels undermine efforts to tackle illegal mining, causing the central and local governments to lose more tax income.
Nevertheless, business is slowly resuming in Goma, which the rebels still occupy. However, widespread looting and business closures have likely inflicted substantial losses on businesses and small shops.
Georges Auréole Bamba
Food prices have soared in Goma since M23 rebels and their Rwandan backers took over the town on January 26, 2025. A report by ActionAid published on February 3, indicated that essential goods, including flour, beans, and oil, have seen price increases of 18% to 160% within a week.
The road blockades, a key factor in the price surge, have disrupted food supplies to the city, nested in the eastern part of the Democratic Republic of Congo (DRC). According to ActionAid, nearly 90% of Goma's food supply comes from neighboring regions now inaccessible due to the conflict.
A resident quoted by Radio Okapi reported improvements since February 4. “Roads reopened, and large quantities of food can come from Minova, Masisi, and Rutshuru.” The same source, however, added that household purchasing power has been diminished. “Banks are closed, several services are not operational, several shopkeepers have been looted and many residents reduced to unemployment,” the resident said.
The resulting food crisis threatens hundreds of thousands with malnutrition, with women and children at greatest risk. The World Food Programme (WFP) estimates that 4.5 million children under five and 3.7 million pregnant and breastfeeding women could suffer acute malnutrition in the next five months if things remain unchanged.
Olivier de Souza
The Democratic Republic of Congo (DRC) could be severely affected by the looming shutdown of the U.S. Agency for International Development (USAID). The DRC is one of the top African recipients of U.S. aid.
On February 3, Elon Musk, as Head of the U.S. Government Department of Efficiency, announced the USAID’s potential closure. A few days prior, President Trump had issued an executive order freezing U.S. foreign aid for 90 days, except for Israel, Egypt, and emergency food assistance. Secretary of State Marco Rubio has been appointed as the USAID’s interim director to address internal "insubordinations" that hindered a planned review of the agency's activities. Citing Rubio, several media outlets reported that the Agency’s actions sometimes misaligned with the United States’ strategic priorities.
Potential Repercussions on DRC
The DRC heavily relies on aid from the U.S. In a statement released on January 23, 2025, the U.S. embassy said the USAID has channeled over $6 billion in humanitarian and development assistance to the DRC over the past decade, averaging $600 million annually. This is nearly double the infrastructure investments slated to flow from the Sicomines contract, a controversial deal involving Chinese entities, until 2040.
"As the largest bilateral donor, working in 25 of the DRC's 26 provinces, USAID advances health and education, protects the environment, provides vital humanitarian assistance, and supports economic growth that benefits all citizens," the embassy’s statement reads.
In 2024, before Trump was elected, USAID announced an additional $424 million in aid, including $414 million for humanitarian assistance related to conflict and displacement, and $10 million for health initiatives targeting the Mpox epidemic. The agency also provided 50,000 doses of the Mpox vaccine to the DRC, which is the country hardest hit by the disease. These commitments brought total U.S. humanitarian aid to the DRC to over $838 million for fiscal year 2024.
While it is still too early to know if the USAID will effectively shut down, the potential consequences for the DRC are significant. This could disrupt essential services for millions of people who depend on USAID aid.
In an interview with French media RFI, Jacques Mukena, a governance and economics specialist at the Ebutleli Congolese Institute, suggested that the U.S. may seek to negotiate terms for maintaining aid, potentially requiring the DRC to “align more closely with U.S. strategic interests”. "They may demand a reduction in Chinese influence, particularly over control of strategic minerals," Mukena added.
This article was initially published in French by Louis-Nino Kansoun
Edited in English by Ola Schad Akinocho
The Democratic Republic of Congo (DRC), heavily reliant on biomass for cooking, is embarking on an ambitious journey to embrace clean cooking technologies. With over 95% of households still using solid fuels, the government's Energy Compact targets a 30% adoption rate by 2030, benefiting 40 million people.
To achieve this, the DRC government intends to launch a national clean cooking strategy by the end of 2025. This strategy aims to foster the use of liquefied petroleum gas (LPG), improved cookstoves, and electric cooking. Only 14% of the population of Kinshasa, the capital, currency use LPG, around 250,000 households. The authorities aim to increase this to 1.2 million households by 2030.
However, significant obstacles stand in the way. These include a lack of storage and distribution infrastructure, limited availability of gas cylinders, and high LPG costs, trading at around $5 per kilo—meanwhile, a 40 kg bag of charcoal costs around $26.
The government is banking on private sector involvement to surmount these challenges. Incentives, such as duty exemptions on clean cooking equipment and establishing a regulatory framework conducive to investment, are under consideration to structure a viable market.
With a population exceeding 100 million and a clean cooking technology adoption rate of just 1%, the DRC has one of the lowest penetration levels globally, despite the widespread use of biomass for cooking posing significant environmental and health risks. It heightens the country's ecological vulnerability, while indoor air pollution causes respiratory and cardiovascular diseases, particularly affecting women and children. Official figures estimate the economic costs of this pollution at $13.6 billion annually, with lost productivity from firewood collection adding another $16.1 billion.
Olivier de Souza, Ecofin Agency
The United Nations Children's Fund (UNICEF) has issued an urgent appeal for $22 million to assist 282,000 children affected by the escalating conflict in the eastern Democratic Republic of Congo (DRC).
"UNICEF is launching an urgent appeal for $22 million to provide emergency assistance to 282,000 children in eastern DRC, as violence intensifies. We need the parties to the conflict to stop the escalation of armed violence, which is only exacerbating the suffering of children and worsening the already appalling humanitarian conditions," stated Jean-François Basse, UNICEF's interim representative in the DRC.
The organization has reported a troubling increase in the number of children separated from their families or unaccompanied, heightening their vulnerability to abduction, forced recruitment, and sexual violence.
The funds from this appeal will help address urgent humanitarian needs, including providing access to clean drinking water, sanitation facilities, medical supplies, treatment for malnutrition, and child protection services.
UNICEF notes that instability in North and South Kivu has displaced 658,000 people in the past three months, including 282,000 children.
Olivier de Souza
On January 24, 2025, Ivanhoe Mines, a major mining operator in the Democratic Republic of Congo (DRC), successfully raised $750 million on international markets, exceeding its initial $600 million target. The funds come as Rwanda-backed M23 rebels escalate hostilities in eastern DRC.
The funds are repayable over five years at a 7.875% interest rate. Though steep compared to global benchmarks, this rate undercuts borrowing costs for many Africa-focused firms. Investors could have been deterred by the ongoing security crisis in the East, especially since the recent operation is partly guaranteed by Kipushi Holdings, one of Ivanhoe’s subsidiaries in DRC.
Several factors could explain the successful fundraising, including the strong demand for zinc and copper, which Ivanhoe extracts in DRC. Also, Copper futures on the London Metal Exchange (LME) have climbed steadily, reflecting tightening global supply chains. Another reason is that Ivanhoe and its subsidiaries have a good borrowing track record.
The funds raised will primarily fuel Ivanhoe’s ambitious expansion at its Kamoa-Kakula copper complex, where 2025 investments are projected between $1.42 billion and $1.67 billion. By contrast, the Kipushi zinc mine—now operational after a $185 million overhaul—is forecast to receive only $25 million for capacity upgrades.
This marks Ivanhoe’s latest in a series of strategic financings. In 2023, Rawbank extended an $80 million loan (since repaid), while FirstBank’s Congolese unit provided $50 million due in May 2025. Last summer, Trafigura Asie and CITIC Group (Ivanhoe’s largest shareholder, with a 22% stake) contributed $60 million via prepayment deals tied to future mineral output.
It remains to be seen what will happen to the value of the shares in the recent $750 million loan, listed on several European and American stock exchanges. In early January, Ivanhoe tempered shareholder enthusiasm by announcing lower-than-expected copper production forecasts, while raising its capital expenditure forecasts compared with estimates made three months earlier. Its communication to investors, scheduled for the close of trading on February 19, will hence be closely scrutinized.
This article was initially published in French by Georges Auréole Bamba
Edited in English by Ola Schad Akinocho
The Foreign Affairs Minister of the Democratic Republic of Congo (DRC), Thérèse Kayikwamba Wagner, wrote a letter to three international soccer clubs, asking them to stop promoting Rwanda as a tourist destination. The clubs are Arsenal, Bayern Munich, and Paris Saint-Germain (PSG).
"Rwanda is waging a murderous war in eastern Congo, forcing more than 500,000 people to flee their homes this year. It is unacceptable that a regime involved in such atrocities should benefit from a positive image through partnerships with world-renowned soccer clubs," the Congolese official wrote in her letter.
Kayikwamba Wagner further suggests that Rwanda's "Visit Rwanda" campaign may be funded by the illegal exploitation of mining resources from the DRC. She references a report by the UN Panel of Experts, which claims that at least 150 tonnes of coltan have been fraudulently exported to Rwanda from the DRC.
"Rwanda's plundering of Congolese mineral resources represents a billion dollars injected into the Rwandan economy. Rather than funding the economic development of the DRC, these revenues are used to finance expensive sponsorship deals with European soccer clubs," she argued. "The DRC would like you to put an end to these blood-stained sponsorship agreements with an aggressor country. If not for your conscience, do it for the victims of Rwandan abuse."
The Congolese minister's appeal targets a crucial aspect of Rwandan soft power: sports. Rwanda has already established itself as a host for the Basketball Africa League, the NBA's only African tournament, and has been actively lobbying to host the first African Formula 1 Grand Prix since 1993.
This article was initially published in French by Servan Ahougnon (Ecofin Agency)
Edited in English by Ola Schad Akinocho
The M23 rebel group is consolidating its control over several mining towns in the eastern Democratic Republic of Congo (DRC). After taking over Rubaya in North Kivu, the rebels have also seized Lumbishi, a mining town in South Kivu, according to reports from residents and the territory's administrator. Rubaya hosts an artisanal coltan mine, which accounts for up to 15% of global production. Lumbishi is located in a resource-rich area abundant in coltan, gold, tourmaline, and cassiterite.
"This military advance is accompanied by efforts to establish a parallel civilian administration in M23-controlled areas, as well as an intensification of mining," notes the Washington-based Africa Center for Strategic Studies (ACSS). Several experts, including UN experts, warn that the M3 group is exacerbating the illicit mineral trade in the DRC, further hindering efforts to formalize artisanal mining practices in the country.
Another driver
To ensure responsible artisanal mining of gold in the country, the DRC government set up a company to buy, sell, and export this gold. Formerly Primera Gold, the firm was rebranded as DRC Gold Trading SA after coming under public control. In 2023, it operated solely in South Kivu, collecting up to 5.07 tonnes of gold and boosting the country's artisanal exports by an astonishing 12,000% year-on-year. However, the M23's increasing presence in this province is likely to disrupt the company’s activities.
The DRC’s vast wealth in critical minerals is one of the drivers of the conflict, and, according to a note from the Center for Strategic Studies of Africa published on January 29, it“will need to be addressed if a comprehensive peace is to be achieved”. “Rwanda, in particular, is alleged to be facilitating the illicit mining and trafficking of these minerals. The market value for these minerals is likely to exceed over $1 billion,” the note adds.
Depuis @MiningIndaba à Cape Town, nous dénonçons avec force le pillage de nos ressources minérales par le Rwanda, qui mène une agression inacceptable contre notre pays🇨🇩 @MinMinesRDC pic.twitter.com/hKTlElABiG
— Kizito Pakabomba (@kizpaka) February 2, 2025
Cited by Reuters, Jason Stearns, a political scientist at Simon Fraser University and former UN investigator, highlighted that Rwanda's mineral exports now exceed $1 billion annually—roughly double what they were two years ago—with a significant portion believed to originate from the DRC. The Congolese government firmly asserts Rwanda's involvement in the plundering of its resources. Kisiti Pakabomba, Minister of Mines, reiterated this point at the Mining Indaba forum currently taking place in South Africa.
In February 2024, Rwanda and the European Union signed a memorandum of understanding aimed at ensuring a "sustainable supply of raw materials" for the EU in exchange for funding to develop Rwanda's mining supply chains and infrastructure. This agreement has since been criticized by the DRC and some Members of the European Parliament (MEPs), who view it as complicit with ongoing resource exploitation in the region.
This article was initially published in French by Pierre Mukoko
Edited in English by Ola Schad Akinocho
Solar-powered batteries supplier Mobile Power (Mopo) recently secured a $7 million loan to expand its footprint in the Democratic Republic of Congo (DRC). Mopo sealed the deal with the British development finance agency, British International Investment (BII). It was announced on January 27.
Mopo said it will use the loan to triple its service capacity in the DRC over the next year, aiming to reach more than one million beneficiaries. According to World Bank data from 2022, only 21.5% of the Congolese population has access to electricity, placing the DRC among the 10 least electrified countries globally. Mopo began operations in the DRC in the second quarter of 2024.
"The DRC has become one of our key growth markets with a population of over 100 million," said Chris Longbottom, Mopo's Managing Director. "This funding from British International Investment marks the start of a long-term partnership that will enable us to accelerate our growth strategy in the country," he added.
Besides the DRC, Mopo operates in five other sub-Saharan African countries Nigeria, Liberia, Chad, Sierra Leone, and Uganda. In the coming years, it plans to expand across the continent where nearly 600 million people have no electricity.
Various clean energy and off-grid solutions are being adopted to meet this demand. Most of these projects are backed by both private and institutional investors. Mopo surfs this wave, leveraging innovative technologies and a business model designed to sustainably improve Africans’ lives.
This article was initially published by Chamberline Moko (Ecofin Agency)
Edited in English by Ola Schad Akinocho
The European Commission will provide €60 million in humanitarian aid to the Democratic Republic of Congo (DRC). According to the announcement, made on January 28, the funds will address the urgent needs of populations displaced by the fight between the Congolese army and Rwanda-backed M3 rebels, with a focus on the people of Goma and its surroundings. For now, the exact number of displaced is unknown.
Before the recent escalation of the conflict, about 800,000 internally displaced people were already living in overcrowded conditions around Goma. Despite receiving $17 million in emergency medical aid from the UN, the needs of those affected far exceed available resources.
The European aid will be used to build shelters, supply clean drinking water, distribute food, and support educational programs for children impacted by the conflict. This funding is part of a broader effort that has brought total EU assistance to the DRC to over €272 million since 2023.
Hadja Lahbib, European Commissioner for Crisis Management, reaffirmed the EU's commitment to protecting civilians. "In these particularly difficult times, the European Union remains committed to supporting the most vulnerable populations in the Democratic Republic of Congo. Despite ongoing challenges that hinder humanitarian access due to intense fighting, we will ensure that humanitarian funds are released without delay and that aid continues to reach those who need it most," she stated. Lahbib also urged respect for international humanitarian law, emphasizing the protection of displaced persons, humanitarian workers, and medical facilities.
The UN has reported that "M23 rebels and the Rwandan army are progressively taking possession of Goma," raising concerns over a potential human rights crisis in the city. UN High Commissioner for Human Rights Volker Türk warned that civilians face serious risks from explosive weapons such as mortars and heavy artillery in densely populated areas. He noted that shellfire had struck at least two sites housing displaced persons.
Additionally, Türk highlighted concerns over law and order in Goma following the escape of approximately 4,763 prisoners from Muzenze prison, the city's largest penitentiary.
Amidst the escalating conflict, the DRC has appointed Évariste Somo Kakule as military governor for North Kivu on January 28. Promoted to major-general, Kakule previously led the 31st Rapid Reaction Brigade based in Kindu, Maniema province. He replaces Major General Peter Cirimwami, who was killed during fighting in Saké on January 23.
This article was initially published in French by Olivier de Souza
Edited in English by Ola Schad Akinocho
More...
The United States has demanded Rwanda’s withdrawal from the Democratic Republic of Congo (DRC) territory amidst recent conflicts. "We affirm our strong support for the Congolese people and the sovereignty and territorial integrity of the DRC and urge Rwanda to do the same," stated Ambassador Dorothy Shea, acting U.S. charge d'affaires at the United Nations, during a Security Council briefing on January 28, 2025.
On the same day, Marco Rubio, the new foreign minister in President Donald Trump's administration, called Rwanda’s President Paul Kagame, claiming he was confused over the escalating situation in eastern DRC. The region is under attack by M23 rebels, whom Rwanda supposedly backs.
Besides the US, during a meeting in Brussels, European Union foreign ministers called on Rwanda to withdraw its troops from Congolese territory and stop supporting the M23, as articulated by Kaja Kallas, head of EU diplomacy.
These diplomatic reactions come amid growing unrest in several towns across the DRC, where protests have sometimes turned violent. In Kinshasa, demonstrators have vandalized diplomatic missions and looted foreign-owned properties. Some citizens accuse targeted countries of complicity or inaction regarding the deteriorating security situation in eastern DRC.
While acknowledging the "cry of anger and exasperation" from the public, the Congolese government condemned violent protesting "in all forms" and expressed regret to those affected. However, Congolese Foreign Minister Thérèse Kayikwamba Wagner emphasized that mere rhetoric is insufficient. "Rwanda has proved that your declarations do not matter to it," she said during another UN Security Council meeting on January 28. Since an emergency session on January 26, DRC officials have been calling for sanctions against Rwanda.
On the conflict front, the UN reports that "M23 rebels and the Rwandan army are gradually taking possession of Goma." In response to this situation, the DRC appointed Évariste Somo Kakule as military governor for North Kivu on January 28. Promoted to major-general, Kakule previously led the 31st Rapid Reaction Brigade based in Kindu, Maniema province. He replaces Major General Peter Cirimwami, who was killed during fighting in Saké on January 23.
Georges Auréole Bamba
The security crisis escalated in Goma last week, causing severe power and water supply cuts in the area. Several power lines connecting the eastern Congolese town to supply stations have been damaged amidst the renewed conflict with M3 rebels.
On January 24, Virunga Energies reported that the lines supplying Goma and Nyiragongo territory were compromised during clashes along the Kimbumba-Goma axis. Just two days earlier, the country’s power utility, Société Nationale d'Electricité (SNEL), announced that its high-voltage line linking the Ruzizi power station to Bukavu—another source of electricity for Goma—was destroyed on January 22. Both companies indicated in their press releases that they would conduct technical repairs as soon as security conditions permitted.
DR Congo’s power regulator, ARE, recently set up a new committee to oversee electricity distribution in Goma. The committee aims to clarify the roles of various energy providers, including SNEL, SOCODEE, Virunga Energies, and NURU SASU. However, ongoing conflict is likely to hinder these regulatory efforts.
The impact on local economic activity has been significant. The water utility, REGIDESO, struggles to maintain normal supply levels due to its reliance on electricity for pumping stations. Key power consumers, such as the Goma airport and military camps in Mubambiro and Katindo, have been forced to seek alternative solutions.
Many businesses are now relying on generators, which has increased their operating costs. The fresh produce distribution sector has been particularly hard hit, as it depends heavily on a stable power supply, according to Congolese Press Agency (ACP) reports.
A resident contacted by phone noted some improvement: "Since Saturday evening (January 25), electricity has been restored in part of the town. Water has also partially returned." However, with ongoing fighting, the reliability of electricity and water supplies remains uncertain.
Olivier de Souza
The Democratic Republic of Congo (DRC) has exported 145,452 tonnes of cobalt in the first nine months of 2024, averaging 48,484 tonnes per quarter. The figures were disclosed by the Congolese Ministry of Mines. Annual exports could reach 193,936 tonnes, surpassing last 2023's record of 152,798 tonnes.
According to the data, CMOC, a Chinese firm, has dominated cobalt exports from the DRC over the period reviewed, thanks to its operations at the Kisanfu and Tenke Fungurume (TFM) mines. CMOC exported 50,021 tonnes from the two mines over the period. Glencore followed with around 32,000 tonnes exported from the MUMI and KCC mines. The Swiss firm became the world’s second-largest cobalt exporter in 2023; it was the first before that year.
The Ministry of Mines has not disclosed the revenues generated from these record sales, making it difficult to determine whether the increase in export volumes has compensated for declining cobalt prices. The cobalt market has been in surplus for the past three years, leading to a significant price drop. On the London Metal Exchange, cobalt prices fell from around $50,000 per tonne in January 2023 to approximately $24,000 per tonne in January 2025.
Cobalt: Price evolution since 2023
This surplus can be partly attributed to increased Congolese cobalt exports linked to CMOC's expanded production capacity over the past two years. CMOC's cobalt production surged more than fivefold since 2022, reaching 114,165 tonnes in 2024. According to the Cobalt Institute, the DRC is expected to account for 48% of global cobalt supply growth by 2030, compared to 37% for Indonesia.
This article was initially published in French by Emiliano Tossou (Ecofin Agency)
Edited in English by Ola Schad Akinocho
The issue of security has gotten worse in the eastern Democratic Republic of Congo (DRC). As a result, the Congolese government requested an emergency public session of the UN Security Council on January 24, according to a press release from the Foreign Ministry.
Due to the escalating crisis, President Félix-Antoine Tshisekedi cut short his participation at the World Economic Forum in Davos, Switzerland, returning to Kinshasa on January 23. After returning, he convened crisis meetings at the Cité de l'Union Africaine. The first meeting last Friday lasted three hours and included Prime Minister Judith Suminwa Tuluka and Deputy Prime Ministers Jacquemain Shabani Lukoo and Guy Kabombo Muadiamvita. The agenda focused on assessing the security and humanitarian situation in North Kivu, particularly around Goma.
After a recent Security Council meeting, Congolese army spokesman Major General Sylvain Ekenge announced the death of Major General Peter Cirimwami, the military governor of North Kivu province. Cirimwami "fell on the field of honor with his weapon in his hand," Ekenge stated. He had been at the front lines during an M23 offensive near Saké, just 20 kilometers west of Goma.
"The supreme commander has given firm instructions for the attackers to be hunted down to their last entrenchment, pushed away from Goma, and pursued until the full recovery of the occupied territory," Ekenge added. Implementing these directives will require exceptional security expenditures, highlighting the conflict's significant impact on budget execution.
The conflict in eastern DRC has been going on for over two decades. Under the 2025 budget law, it is identified as "one of the major risks weighing on public finances." Authorities warn that this conflict could jeopardize budget balance, limit public policy financing capabilities, and threaten economic stability.
Exceptional Security Spending
In 2023, exceptional security spending reached $1.4 billion—approximately 2.2% of GDP and 11.5% of the overall state budget, according to an International Monetary Fund (IMF) report. Since declaring a state of siege in May 2021 in Ituri and North Kivu provinces, execution rates for security-related expenditures have exceeded 100%. The rates surged from 50% and 254.7% in 2020 to 336% and 411.2% in 2021, reaching 508% and an astonishing 2001.9% in 2022. This situation has constrained other expenditures, particularly capital investments.
Furthermore, the conflict disrupts economic activity and hampers tax revenue mobilization. For instance, revenues collected from Rutshuru territory—a region frequently occupied by M23 rebels—plummeted from 85.8 million Congolese francs (CF) in 2020 to just CF11 million in 2023. The authorities noted that “access to tax branches in Ituri, Djugu, and Mambasa has been severely limited due to ongoing attacks by armed groups and militias, resulting in a shortfall of nearly CF10.3 million in 2023”.
Pierre Mukoko