The Democratic Republic of Congo (DRC) has received a significant boost to its economic stability as the International Monetary Fund (IMF) completed the first review of its Extended Credit Facility (ECF) arrangement. This crucial decision, announced on Wednesday, July 2, 2025, unlocks an immediate disbursement of approximately US$261.9 million, specifically earmarked to bolster the nation’s international reserves.
This latest release of funds brings the total disbursements to the DRC under the current ECF program to over US$523 million. The ECF, initially approved on January 15, 2025, is designed to support the DRC’s balance-of-payment needs and equip the country with stronger financial buffers against external shocks.
The IMF’s approval comes despite a challenging environment for the DRC, particularly the ongoing armed conflict in the eastern part of the country. This conflict has placed significant strain on the national budget, requiring increased security spending. However, the IMF commended the DRC’s economic resilience, noting a robust GDP growth of 6.5% in 2024, primarily driven by the dynamic mining sector. Growth is projected to remain above 5% in 2025.
Furthermore, the report highlighted positive developments in inflation, which has seen a significant decline from 23.8% at the end of 2023 to 8.5% in June 2025, marking the first single-digit inflation figure in three years. This achievement is largely attributed to the tight monetary policies implemented by the Central Bank of Congo. External stability has also strengthened, supported by continuous international reserves accumulation and a narrowing current account deficit.
While overall progress was deemed satisfactory, the IMF did acknowledge that some program targets were missed. Specifically, the program target on the domestic fiscal balance for endDecember 2024 was exceeded, reaching 0.8% of GDP against a target of 0.3%, primarily due to spending overruns linked to the conflict, including exceptional security outlays and public investments. Additionally, the target for the Central Bank of Congo’s foreign exchange assets held with domestic correspondents was missed due to higher-than-expected foreign currency tax payments on government accounts.
Crucially, the IMF’s Executive Board granted waivers for these non-observances, acknowledging the corrective actions taken by the Congolese authorities and the temporary nature of these deviations.
A Path Forward: Deepening Reforms
Looking ahead, the IMF emphasized the importance of accelerating structural reforms to ensure sustained macroeconomic stability and foster inclusive growth. Key areas for reform include: * Strengthening the Anti-Money Laundering/Combating the Financing of Terrorism (AML/CFT) framework.
- Improving the business climate to attract further investment.
- Enhancing transparency and governance, particularly in the extractive sector.
- Combating corruption.
- Upgrading national statistics.
- Modernizing public financial management, including stricter adherence to expenditure chains and operationalizing the Treasury.
The report underscores the authorities’ commitment to these reforms, which are seen as essential for safeguarding fiscal sustainability, creating adequate fiscal space for pressing security and humanitarian needs, and fostering diversified and inclusive economic growth. The ongoing partnership with the IMF aims to support the DRC in navigating its complex challenges and realizing its significant economic potential.
