The economy of the Democratic Republic of Congo (DRC) is at the heart of multiple financial and strategic issues. The recent report published by the Central Bank of Congo (BCC) provides an overview of the Congolese government’s revenue and expenditure management until August 21, 2024.
The figures speak for themselves: with revenues amounting to 1,068.0 billion Congolese Francs (CDF), or USD 377.5 million, the government demonstrates its commitment to mobilizing resources despite a difficult economic context. These revenues, largely from taxes, duties and royalties, confirm the efforts made to diversify the State’s sources of financing.
However, total expenditures reaching 1,502.1 billion Congolese Francs (CDF) led to a deficit of 434.1 billion Congolese Francs. This situation highlights the need for more rigorous management of public finances in order to balance the accounts and ensure the sustainability of government projects.
To cover this deficit, the Congolese government has issued public debt securities, demonstrating its willingness to mobilize additional resources. However, it is crucial to remain vigilant in the face of a continued increase in spending, particularly related to social commitments and investments in infrastructure.
With this in mind, tax reforms have been put in place to broaden the tax base and strengthen revenue collection. The objective is to reduce dependence on external financing and ensure transparent and efficient management of the State’s financial resources.
The 2024 Finance Law sets ambitious targets in terms of revenue mobilization, with a target of 881.4 billion Congolese Francs (CDF) to be achieved on the local financial market. These funds will be used to finance essential development projects to stimulate economic growth and improve the living conditions of the Congolese population.
In short, the management of public revenue and expenditure in the DRC represents a major challenge for ensuring the financial stability of the country and promoting its economic development. The Congolese authorities will have to continue to promote transparent and responsible management of public finances, with an emphasis on the fight against corruption and on the judicious use of resources to ensure a prosperous future for the DRC.