News (82)
The Global Fund to Fight AIDS, Tuberculosis and Malaria will help the Democratic Republic of Congo (DRC) fight mpox with $9.5 million in funding. The Global Fund announced the support on September 18.
The facility aligns with the Congolese government's National Preparedness and Response Plan and covers nearly 20% of the $49 million needed for the plan. Mostly, the monies will be directed to six provinces heavily impacted by the outbreak and Kinshasa, the capital.
This approach seeks to ensure the optimal use and impact of the funds. In detail, the strategy includes actions like improving disease surveillance systems, enhancing laboratory and diagnostic capabilities, and implementing infection prevention measures, with a strong emphasis on community mobilization.
"Stopping the spread of the disease requires a strong network of trusted community health workers, health educators, and other local stakeholders," said Global Fund Executive Director Peter Sands, highlighting the importance of local health workers in this effort.
For his part, Congolese Health and Social Welfare Minister Roger Kamba said: "Our partnership with the Global Fund and other health partners has demonstrated its ability to contain infectious diseases... We are determined to continue this work and respond strongly to mpox. The fight against the current mpox epidemic is a top priority for our ministry, and we are focusing on strengthening the community response."
The Global Fund and the DRC are long-standing partners. Since 2003, the Fund has invested nearly $3.2 billion in the Central African country, helping it fight various infectious diseases.
The DRC has been fighting mpox for several months. From January to now, around 22,000 people have been infected. More than 716 lost their lives, according to the National Public Health Institute.
Last week, the DRC received 10 tonnes of medical supplies from the World Health Organization (WHO), adding to 265,000 vaccine doses secured prior. After the September 13 Council of Ministers, the government reported: "The process of acquiring 3 million doses of children's vaccines is sufficiently advanced with the Japanese. A further 100,000 doses of vaccine are expected from France".
Since January, nearly 22,000 people have been affected by the mpox epidemic in the DRC, resulting in over 716 deaths, according to data from the National Institute of Public Health. The government announced last week that it would run a vaccination campaign from October 2 to 11, 2024.
Georges Auréole Bamba
On September 13, the Council of Ministers of the Democratic Republic of Congo (DRC) approved a draft ordinance that allows the ratification of a credit agreement signed between the Democratic Republic of Congo (DRC) and Gemcorp Capital Management. Inked on November 24, 2023, the deal covers a $500 million loan. Specific terms are unknown at the moment.
According to Finance Minister Doudou Fwamba Likunde, the funds will help "provide a lasting solution to the government's needs for the purchase of goods and services, particularly in the fields of security, food, medicine, etc."
This ordinance is based on the government's enabling law adopted on June 15, 2024. This law allows the government to legislate on specific topics, including the loan agreement, during the parliamentary recess from June to September 2024. Another ordinance dated February 26, 2024, also approved the loan agreement.
Gemcorp Capital Management, a British firm, invests primarily in emerging markets. In 2022, it announced plans to invest nearly $10 billion in Africa over the next decade through lending operations in partnership with other institutional investors.
MN
The Democratic Republic of the Congo (DRC) needs to invest $17 billion annually until 2030 to "accelerate its structural transformation process and bring itself up to the same level as high-performing developing countries." The African Development Bank (AfDB) disclosed the estimate in its 2024 country report issued on July 31.
In addition to boosting investment, the report’s authors recommended improving human capital by enhancing education quality and aligning it with labor market needs. The lender also suggested policies to improve the business environment, such as revising the investment code and land law, along with increased infrastructure investment.
The AfDB believes that the DRC's current structural transformation is progressing too slowly to support economic development. Typically, structural change happens when agriculture's share of employment declines, and workers shift to industry and services, leading to efficiency gains through higher productivity.
As a country develops, agriculture's role diminishes while industry and services grow, promoting development through new technologies. This pattern has helped several countries in Europe, America, and East Asia emerge.
From 2005 to 2020, the DRC saw a drop in agricultural jobs from 71.1% to 60% of total employment. However, according to the AfDB, many agricultural workers have moved into trade and manufacturing largely in the informal sector and into mining. While mining is attractive, it is capital-intensive and can only absorb a limited portion of the workforce.
The report indicates that although both the service and industrial sectors saw significant employment growth during this period rising from 22% to 29.3% in services and from 7% to 10.7% in industry productivity remains a challenge. "The results for the manufacturing sector show productivity growth that was negative between 2000 and 2009 and almost zero between 2010 and 2019," states the AfDB.
Espoir Olodo
In the Democratic Republic of Congo (DRC), the parliament is reviewing the draft of the 2025 finance bill. During the bill’s presentation to the deputies, Congolese Prime Minister, Judith Suminwa noted a 13% increase in the budget for agriculture. "There is a 13% increase in resources for agriculture," she said.
For now, it is not known if the increase will apply only to agricultural production or if it will also cover inputs purchase, building storage and processing infrastructure, and transport routes.
In her budget guidance letter to government members, PM Suminwa said the resources allocated to agriculture should help increase the sector’s share to 10% of gross domestic product (GDP), in line with the Maputo Convention. The official stressed the importance of considering the entire value chain and maintaining and constructing 10,000 kilometers of agricultural roads across the country.
The Ministry of Agriculture is one of seven ministries eligible for results-based budget management with program budgets. The Ministry of Rural Development as well.
From 2024 to 2026, these two ministries will receive 7,316 billion Congolese francs (around $2.6 billion). The government's ability to effectively use these funds for agricultural development will be crucial. Although recent reports from the Minister of Finance highlighted some efforts, challenges remain, such as high wage expenditures and the need to improve actual payment processes.
Compared to 24, the draft finance bill for 2025 proposes a 21% budget increase, bringing total resources and expenditures to 49,847 billion Congolese francs (just over $18 billion). To meet these goals, the government plans to enhance tax revenue collection and benefit from higher commodity prices to increase royalties.
Georges Auréole Bamba
Foreign exchange transactions in the Democratic Republic of the Congo (DRC), where Congolese francs are primarily exchanged for US dollars, are on the rise, with commercial banks taking on a larger role.
By the end of August 2024, the DRC’s central bank reported $8.62 billion in transactions, with an impressive 93.9% conducted by banks. In 2023, these institutions managed 92.7% of the $10.3 billion in foreign exchange transactions.
The main source of foreign currency for these banks is the US dollar, enabling them to offer exchange rates that closely align with the international market while maintaining lower margins. Additionally, they have successfully narrowed the gap between buying and selling currency costs. As a result, it has become more advantageous to conduct foreign exchange transactions through banks rather than bureaux de change, which are experiencing a decline. In 2023, exchange bureaux processed $7.7 million in transactions, but this figure plummeted to just $2.28 million in 2024, according to the central bank.
In the DRC, exchange bureaux are categorized into three types: national operators, provincial ones, and individual dealers. The latter group has been particularly hard hit by new regulations requiring Central Bank authorization—something many Congolese lack due to missing documents like national identity cards.
It's important to note that the Central Bank's figures only reflect officially reported data. Given the large informal economy in the DRC, some unregulated currency traders likely continue to operate. However, commercial banks have proven effective in this sector.
This year, Congolese authorities announced measures to reduce dollar usage in the economy, but the current monetary system complicates this transition. As of August 2024, over 49% of Congolese franc bills in circulation were in denominations of 20,000 and 10,000 francs, limiting access for individuals whose goods or services are priced below these amounts.
Consequently, lowering inflation to sustain purchasing power for low-income households remains a challenge, while speculation on the dollar continues to be strong. A decade ago, CDF900 bought $1.
George Auréole Bamba
The government of the Democratic Republic of the Congo aims to make the country a top international tourist destination by 2030. To attract 10 million visitors and create between 200,000 and 500,000 jobs, social networks have been identified as a key tool, along with other services.
On September 11, Augustin Kibassa Maliba, Minister of Posts, Telecommunications and Digital Affairs, highlighted the importance of social networks for promoting the country's image internationally. "We, Congolese, are key tourism players to ensure that our country is visited by investors. Beyond the efforts made by the government, we have a responsibility to speak well of the Congo to our children... We must know that the image we want to build must first be carried by future generations," Maliba said during a Forum to Validate the National Tourism Strategy.
Maliba also mentioned that new telecommunications laws now allow for the prosecution of offenses committed through social networks: "We're in the process of educating the Congolese about what's in these texts that protect us all, including the country's brand image. When the time comes, we'll tighten the screw because it's not normal to see what's happening on social networks."
During the recent China-Africa Cooperation Forum held in Beijing from September 4 to 6, the DRC signed a memorandum of understanding with an undisclosed Chinese company for a social network monitoring system. Commenting on the matter, Maliba clarified that this would not involve blocking networks or closing accounts; instead, it aims to encourage quality content production as part of the country's branding strategy.
The DRC's economy heavily relies on natural resources like lithium and cobalt. However, in line with International Monetary Fund (IMF) recommendations, the country now seeks to diversify its economy.
Tourism contributes less than 2% to GDP, according to the Congolese Ministry of Tourism, and 1.8% according to the World Travel and Tourism Council in 2024.
Muriel Edjo
The Democratic Republic of Congo (DRC) received 65,000 new doses of Mpox vaccines on September 10. They add to the 200,000 doses received over the past week.
The US and Gavi, the Vaccine Alliance, supplied the new batch. They respectively shipped 50,000 and 15,000 doses. The doses received the week before came from the European Union.
According to the Congolese minister of health, Samuel Kamba, the DRC needs 3.5 million doses of vaccine. The country, the official indicated, expects 215,000 doses from Belgium and 3 million from Japan. For now, however, details about these negotiations are unknown.
Data from the National Institute for Public Health shows that since January, Mpox has infected nearly 22,000, and killed 716 people in the DRC.
To fight the disease, the DRC has drawn a $49 million strategy. Minister Kamba said the money will be used for awareness-raising campaigns, dispatch teams on the field, and take care of the infected. The strategy, however, does not involve funding vaccination. Meanwhile, the vaccines are scarce and expensive.
Roger Kamba, the Minister of Health, in this regard, noted that it would cost $700 million to secure 3.5 million doses. That corresponds to about 4% of the DRC’s budget. Financing the vaccines could thus exacerbate budgetary pressures, not only in the DRC but in all African countries hit by the epidemic, according to Fitch Ratings.
Preventive measures to control the spread of the virus could slow down economic activity in the DRC. However, an uncontrolled outbreak would have negative economic impacts not only for the DRC but also globally. This is because the DRC is a major supplier of minerals critical for the energy transition.
To avoid such consequences, international cooperation and support is urgently needed. The international community should help the DRC manage the health crisis while minimizing disruptions to the economy and global supply chains.
Georges Auréole Bamba
An economic park is being built in Beni, in the Northern Kivu region of DR Congo. The project was kicked off earlier this week. Backed by the European Union, the park is the fruit of a collaboration between Virunga National Park, the Congolese Institute for Nature Conservation (ICCN), and the local administration. It aims to revitalize the local economy and improve the security of local populations facing threats from armed groups.
The construction project should be completed within three months, according to Emmanuel Démerode, Director of Virunga National Park. The project will house a modern oil press to enhance local palm oil production, and a fortified security post to protect local communities. The post will be set up with the Armed Forces’ support.
The European Union hopes the project will impact thousands of people, similar to a successful project previously implemented in Mutwanga, which has shown positive results in security and local development. The cost of the new project is yet to be known.
OS
Glencore, Mercuria Energy Group, and Trafigura Group will be the first to purchase copper from the GECAMINES, the DR Congo’s State-owned mining company. Bloomberg announced this on September 10, 2024. Details about the volume or delivery schedule of the copper purchased by the three companies are not yet available.
The GECAMINES gets copper from the Tenke Fungurume mine, where it holds a 20% stake. Under an agreement signed in July 2023 with the Chinese group CMOC, the State company has the right to acquire copper and cobalt production proportional to its stake in the mine.
Tenke Fungurume has an annual production capacity of 450,000 tonnes of copper and 37,000 tonnes of cobalt. If the mine operates at full capacity this year, Gécamines could sell about 90,000 tonnes of copper and 7,400 tonnes of cobalt.
The DRC is the world's leading producer of cobalt, and the second-largest producer of copper. However, most mines are controlled by foreign companies, and the government seeks to maximize mining's contribution to the economy.
The GECAMINES strives to change this dynamic and become a key player in the global copper and cobalt market. One of its strategies of to do so consists in directly negotiating a portion of the production from certain Congolese mines.
ET
Shanghai Electric, a Chinese group active in the power sector, has teamed up with the Congolese Ministry of Electricity, on two key projects. Local media in the DR Congo confirmed the news, citing a press release.
According to the two sources, Shanghai Electric and the ministry inked two memoranda of understanding related to the projects. Under the first agreement, Shanghai will conduct a feasibility study for a projected power plant in the Tshopo province. Under the second agreement, the Chinese group will build transmission lines between Kinshasa, the capital, and Kwilu and Kwango provinces.
Regarding the project in Tshopo, a 2023 report issued by the DRC’s Regulatory Agency for Electricity indicates that the province’s single dam provides only 6.8 MW while having an installed capacity of 21.3 MW. The dam also needed regular maintenance.
Regarding the second project, it is not yet known if the transmission lines will move power from Kinshasa to Kwilu and Kwango or vice-versa. Kinshasa, the country’s most populous city and province, is a major economic hub, but it has an electricity access rate of around 44%, according to official data.
The DRC is one of the most promising markets for electricity. The country, which is seeking to diversify its economy by developing the agro-industry and primary processing of its mineral resources, has a significant need for electricity, yet its available capacity falls short of potential demand.
Last year, in October, Congolese President, Felix Tshisekedi inaugurated a power substation in Kinsuka, in the western part of Kinshasa. The facility was built by Shangai Electric.
Georges Auréole Bamba
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The Democratic Republic of Congo will export over a million tons of agricultural products to China under a new deal. Congolese Minister of Foreign Trade, Julien Paluku Kahongia, facilitated the agreement. On this occasion, Kahongia emphasized that the State acts as a regulator, not a direct trader. “It creates opportunities and fosters a conducive business environment,” the official noted.
Under the new deal, the DRC will export one million tons of soybeans, 20,000 tons of sesame, 10,000 tons of chili peppers, 5,000 tons of coffee, and 3,000 tons of cocoa. The move follows China's decision to eliminate tariffs on products from low-income countries, which includes 33 African nations.
Le Président Félix-Antoine TSHISEKEDI a décrété à KINSHASA" la revanche du sol sur le sous-sol", le Président XI JINPING a dit le 5 sept lors du #FOCAC2024 à PEKIN(#BEIJING) " j'ouvre mes frontières sans paiement des frais de douane pour l'importation des produits venant des 33… pic.twitter.com/X4xqxVgMoT
— JULIEN PALUKU (@julienpalukucom) September 8, 2024
Minister Kahongia claimed the deal will significantly contribute to President Tshisekedi's ambition to diversify the DRC's economy, which heavily relies on mining.
China is the world’s top soybean importer. Between January and July 2024, it bought for $29 billion of soybean, according to Statista. In 2023, 60% of global soybean imports were captured by China. This appetite for the crop explains the deal and is good news for the DRC.
Other sectors like coffee and chili pepper should also get more exposure due to the agreement. Indeed, chili peppers are highly sought after by the growing Chinese middle class. As for coffee, the DRC produces around 73,000 tons per year, most of which are exported.
While the new deal with China could help bolster the DRC's agricultural value chains, challenges remain. One such challenge is financing. Since the sector is relatively risky, it needs suitable funding models. Also, to take full advantage of the agreement and the opportunities it offers, Congolese farmers must understand the preferences of Chinese consumers and be ready to adapt to the Chinese market, as it can be volatile.
Georges auréole Bamba
Chine Nouvelle, a Chinese news agency, wants to contribute to the digital transformation of the Agence Congolaise de Presse (ACP). Last week, during the Forum on China-Africa Cooperation, Fu Hua, President of Chine Nouvelle, renewed this commitment to ACP Director General Bienvenu-Marie Bakumanya, stressing the importance of strengthening media ties between China and the Democratic Republic of Congo (DRC).
The partnership announcement comes amidst major challenges facing Congolese media outlets, especially the ACP. Such challenges include upgrading infrastructures and integrating new technologies.
According to the ACP chief, Bienvenu-Marie Bakumanya, the ACP must shift to digital if it wants to "stay relevant in a global landscape where information is disseminated at great speed, notably via digital platforms".
Chine Nouvelle’s support will help the ACP produce and distribute news in a more modern way. This collaboration could also stimulate cultural and media exchanges between China and the DRC. "Our two people don't know each other well enough. Our media must collaborate to enable better mutual understanding between the Congolese and the Chinese,” Bakumanya, ACP’s boss said.
OS
Teddy Lwamba, the DRC’s Minister of Hydraulic Resources, announced last week the imminent construction of a water treatment plant in the Lukunga district of Kinshasa. The official announced the project in Beijing, on the sidelines of the 9th Forum on China-Africa Cooperation. China First Highway Engineering will build the plant.
The project should improve access to drinking water for Kinshasa residents. According to recent figures from the Ministry of Hydraulics, water coverage in the country is only 34%, and water availability is equally complex in big cities and rural areas.
It's worth noting that the DRC allocates just 0.3% of its annual budget to the water sector, according to the World Bank. This low investment explains the limited development of water distribution networks. This is also why populations rely on unsafe water sources, leading to the prevalence of waterborne diseases in the country.
Besides boosting water supply, the project will integrate more sustainable solutions into distribution processes. For example, the energy source used by the Congolese water utility, REGIDESO, will be switched–from thermal energy to photovoltaic systems.
Once operational, the plant will play a key role in implementing reforms aimed at transforming access to public services in the DRC, particularly in the Kinshasa region.
OS
The Democratic Republic of Congo is in talks with a Chinese company about a social network monitoring system. On September 4, 2024, Augustin Kibassa Maliba, Minister of Posts, Telecommunications, and Digital, signed a memorandum of understanding to this effect in Beijing, at the DRC embassy in China, on the sidelines of the China-Africa Cooperation Forum.
Although the Congolese government did not provide further details about this non-legally binding agreement, the system may help authorities manage and regulate online content in the DRC. Faced with the resurgence of disinformation, hate speech, and other illicit content on social media, the government could leverage the system to stop activities likely to undermine national security and social cohesion.
The DRC’s socio-political context is currently marked by armed tensions with the M23 rebels in the east, friction with Rwanda, and a monkeypox epidemic. These create fertile ground for fake news and propaganda. Claims that a digital army is working to destabilize the country are multiplying on social networks. An analysis note from CIPESA deplores this information war, which it deems "characterized by a spiral of incitement, disinformation, misinformation, and hate speech" that "undermines cohesion between communities".
According to DataReportal, the DRC registered 6.45 million active user identities on social networks in January 2024, representing growth of 37.2% or 1.8 million new users between January 2023 and January 2024. 37.2% of social media users in the DRC were women, while 62.8% were men. All these users subscribed to Facebook; 4.44 million to TikTok; 1.15 million to Messenger; almost 670,000 to Instagram; 620,000 to LinkedIn and 253,000 to X.
In many African countries, including the DRC, social media play an important role in everyday life. But they also raise increasingly complex ethical challenges, requiring urgent attention. Striking the right balance between defending freedom of speech and tackling online abuses is the puzzle most countries on the continent seek to solve.
Muriel Edjo