Public Management

DRC Plans $1.5bn Investment in 2024 to Boost Self-Funding

DRC Plans $1.5bn Investment in 2024 to Boost Self-Funding
Thursday, 18 July 2024 16:38

The Democratic Republic of Congo (DRC) aims to invest 4202.4 billion Congolese francs ($1.5 billion) from its own funds in 2024. This move is part of a broader effort to reduce reliance on foreign investments, particularly in key sectors such as education and healthcare. The government plans to contribute more than 50% to its investment needs by 2030.

In 2022, the International Monetary Fund (IMF) reported that 90% of health investments, approximately 1273.4 billion Congolese francs, were funded by international donors. The education sector faced a similar situation. This heavy dependence on external funding is due to the DRC's low tax revenue, which was only 11.5% of the formal GDP in 2022, compared to an average of 23.4% in Sub-Saharan Africa.

To support its investment plans, the government anticipates raising 3703 billion Congolese francs in tax revenues in 2024 and an additional 499 billion francs from renegotiating a copper mining contract with Sicomines. Additionally, the government had earmarked a total of $714 million from resources allocated by the IMF in 2021, although it remains unclear how much of this will be utilized in the current year.

The primary focus of these investments will be on road infrastructure. As the second-largest country in Africa, the DRC is strategically positioned within key corridors connecting seven countries, necessitating improved connectivity to diversify beyond its mining sector. Another significant initiative is the “Local Development Plan for 145 Territories,” which aims to enhance social infrastructure across various localities, thereby generating economic benefits and job opportunities.

The government expects to generate up to $5.5 billion from Sicomines by 2040 if copper prices remain high. However, these funds alone will not suffice. Between 2022 and 2029, the DRC has projected investment expenditures of $46.5 billion. While foreign funding remains crucial, the government plans to significantly increase its contribution, aiming to surpass external funding by 2025 and nearly double it by 2030.

Additional Info

  • communiques: Non
  • couleur: N/A
On the same topic
• Central African Republic seeks $12B for 2024-2028 development plan• 58 projects target agriculture, mining, energy, transport, and health• Goal:...
• S&P Global Ratings lowered Botswana's sovereign credit rating to BBB from BBB+, maintaining a negative outlook.• The downgrade stems from collapsing...
• Only six of Nigeria's 13 listed banks currently meet the Central Bank of Nigeria's (CBN) new recapitalization requirements.• The CBN significantly...
• Kenyan lender Equity Bank has initiated steps to enter the Ethiopian banking market, recently opened to foreign investment.• Ethiopia offers a market of...
Most Read
01

From Dakar to Nairobi, Kampala to Abidjan, mobile money has become a lifeline for millions of Africa...

Africa's Boundless Future: How a simple mobile phone became a pocket bank for millions
02

Nigeria’s fintech landscape has undergone a seismic shift in recent years, driven largely by persist...

In Nigerian, Bank Technology Failures Pushed OPay and PalmPay to Leadership in Daily Payments
03

• WAEMU posts 0.9% deflation in July, second month in a row• Food, hospitality prices drop; alcohol,...

WAEMU Region Records Second Straight Month of Deflation, at -0.9% in July 
04

Airtel Gabon, Moov sign deal to share telecom infrastructure Agreement aims to cut costs, boo...

Gabon’s Airtel, Moov to Share Towers Under Govt-Brokered Deal
05

• Benin’s FeexPay and Côte d’Ivoire’s Cinetpay receive BCEAO payment service licenses• Both firms ex...

WAEMU fintech industry strengthens with two new BCEAO regulatory approvals
Enter your email to receive our newsletter

Ecofin Agency provides daily coverage of nine key African economic sectors: public management, finance, telecoms, agribusiness, mining, energy, transport, communication, and education.
It also designs and manages specialized media, both online and print, for African institutions and publishers.

SALES & ADVERTISING

regie@agenceecofin.com 
Tél: +41 22 301 96 11 
Mob: +41 78 699 13 72


EDITORIAL
redaction@agenceecofin.com

More information
Team
Publisher

ECOFIN AGENCY

Mediamania Sarl
Rue du Léman, 6
1201 Geneva
Switzerland

 

Ecofin Agency is a sector-focused economic news agency, founded in December 2010. Its web platform was launched in June 2011. ©Mediamania.

 
 

Please publish modules in offcanvas position.