(Ecofin Agency) - The African Development Bank (AfDB) announced on Monday that it is dedicating $208 million to support Congo’s economy. The loan is set to foster the implementation of the country’s economic and financial reforms support project (PAREF) which aims to create the conditions for sustained economic growth through the strengthening of fiscal consolidation and the recovery of the economy.

With this aid, Congo will better cope with the decline in tax revenues and the effects of the recent drop in oil barrel prices, which has led to a slowdown in economic growth. It will also improve debt and fiscal risk management by strengthening the government's fiscal mobilization capacities.

“By approving this operation, the bank will support Congo to finance its critical social expenditures, clear its external arrears and pay its internal arrears to support the private sector, which has been hit hard by the economic crisis,” said Abdoulaye Coulibaly who heads the Bank’s Governance and Public Financial Management Coordination Office.

As a reminder, the Pan-African Bank's portfolio in Congo-Brazzaville includes six operations in the public sector only, for an estimated $231 million in commitments.

Moutiou Adjibi Nourou