The exchange rate between the Congolese Franc (CDF) and the United States Dollar (USD) continues to be a major issue in the Democratic Republic of Congo. According to the weekly information bulletin of the Central Bank of Congo, as of August 11, 2023, the Congolese Franc has depreciated by 2.40% against the US Dollar on the interbank market.
This depreciation follows a 0.47% appreciation the previous week, and is the result of various factors and measures put in place by the government and the BCC to deal with the depreciation of the national currency.
To counter this depreciation, the BCC intervenes on the foreign exchange market by selling currencies, while respecting the levels of accumulation of international reserves agreed within the framework of a program supported by the International Monetary Fund (IMF).
In addition, in order to stimulate the demand for Franc Congolais, the BCC stopped all payment in this currency at the counters of the Central Bank and widened the sales ranges of BCC bonds to deal with excess liquidity.
Despite these measures, the exchange rate continues to fluctuate, with notable variations in the major cities of the provinces of the Democratic Republic of the Congo. With a weekly depreciation of 1.27%, the average exchange rate stands at 2,426.01 CDF for 1 USD.
This complex economic situation poses challenges for the country, especially with regard to inflation and economic stability. During the third quarter of 2023, the national economic environment was marked by increased pressure on the exchange rate and inflation. Additional measures will need to be taken to address these challenges and ensure lasting economic stability.
Overall, the exchange rate between the Congolese Franc and the US Dollar remains a hot topic in the Democratic Republic of Congo, with significant implications for the country’s economy. The measures taken by the Central Bank of Congo and the government are aimed at stabilizing the national currency, but additional efforts will be needed to ease pressures on the exchange rate and promote sustained economic growth