- The DRC’s economy remains resilient despite the challenging external and domestic environment, including from the ongoing armed conflict in the eastern part of the country, the war in the Middle East, and the Ebola outbreak.
- Performance under the program has been broadly satisfactory, with most quantitative targets met, and structural reforms progressing well, though an accelerated pace is necessary.
- Over the medium term, accelerated reforms (including in the labor market), prudent monetary policy, and the transparent and efficient use of public resources, are critical to enhance resilience, safeguard macroeconomic stability, and support inclusive growth.
- Completion of the ECF and RSF reviews unlocked new disbursements totaling about US$348.5 million, bringing total ECF disbursements to about US$1.03 billion.
Washington, DC: The Executive Board of the International Monetary Fund (IMF) concluded the Article IV consultation[1] and completed the third review under the Extended Credit Facility (ECF) Arrangement and the second review under the Resilience and Sustainability Facility (RSF) Arrangement for the Democratic Republic of the Congo (DRC), both approved on January 15, 2025 (see PR 25/003). The completion of the third review of the ECF-supported program allowed for a disbursement equivalent to 190.4 million SDR (approximately US$ 258.2 million), bringing the aggregate disbursement to date to 761.3 million SDR (about US$ 1,032.4 million). The completion of the second review of the RSF allowed for a disbursement of 66.6 million SDR (approximately US$ 90.3 million).
The security situation in eastern DRC remains volatile despite the December 2025 Washington Accords, with continued fighting and recurring violations of ceasefire commitments. The humanitarian situation remains severe, with widespread food insecurity and large-scale displacement. Rising global, political, and health risks—including disruptions from the war in the Middle East, rising domestic political tensions, and the ongoing Ebola outbreak—add to uncertainty and could further constrain policy implementation.
Economic activity remained resilient in 2025 and the outlook is positive, with robust extractive sector activity and a strengthening non-extractive sector. The recent issuance of a Eurobond is expected to support priority investment in public infrastructure with strong economic return. The external sector strengthened in 2025 and is expected to continue improving, supported by strong mining exports, with a narrower current account deficit and continued reserve accumulation. Inflation declined sharply following the October 2025 appreciation of the Congolese franc, standing at 2.5 percent at end-April 2026. The impacts of the war in the Middle East and the Ebola outbreak are weighing on the budget, which was already under pressure from the persistent conflict in eastern DRC. Nonetheless, the public debt outlook remains stable.
Program performance under the ECF was broadly satisfactory, despite fiscal pressures stemming from the deterioration in the security situation. All end-December 2025 performance criteria (PC) were met, except for the domestic fiscal balance and the continuous PC on the non-introduction or modification of multiple currency practices. The former was missed, due to higher-than-anticipated security-related spending in the last quarter of the year, and the latter because of the modification by the Central Bank of the Congo (BCC) of the exchange rate spread applicable to FX operations between the BCC and the Treasury. Corrective actions have been taken by the authorities to address the missed performance criteria. The structural reform agenda is progressing, with most structural benchmarks met. Under the RSF, the climate screening methodology for public investment—was completed ahead of schedule, while amendments to the Forest Code were delayed due to factors outside the authorities’ control.
At the conclusion of the Executive Board’s discussion, Mr. Okamura, Deputy Managing Director and Chair stated:
“Economic activity in the DRC remains resilient, supported by robust mining sector performance. Inflation has stayed low in early 2026, and the external position has continued to strengthen, largely reflecting favorable terms of trade. The near-term outlook remains favorable, though subject to significant risks, including the security situation in eastern DRC, the recent Ebola outbreak, rising political uncertainty, and spillovers from the war in the Middle East.
“The 2026 fiscal outlook is broadly manageable. Strong revenue performance, reflecting favorable commodity prices and policy measures, largely offsets continued security-related spending pressures. However, the domestic fiscal deficit is expected to widen temporarily, reflecting the impact of the war in the Middle East and additional investment financed by the Eurobond. Over the medium term, sustained fiscal discipline, continued roll-out of the public financial management reforms agenda and efforts to boost domestic revenue mobilization will help create space for much-needed investment and priority social spending.
“The BCC has maintained an appropriately cautious monetary policy stance. Given significant uncertainty around the outlook, a pause in further easing is warranted and the BCC should stand ready to tighten monetary policy if needed. Sustained efforts to accumulate reserves, while preserving the role of the exchange rate as a shock absorber, remain essential to building external resilience.
“Implementation of the RSF reform agenda is progressing, with one reform measure delayed and another completed ahead of schedule. Further advancing reforms to improve governance and transparency, strengthening anti-corruption and AML/CFT frameworks—including progress toward exit from the FATF grey list—and enhancing the business climate remain critical for supporting private sector development and promoting diversified and inclusive growth.
“The 2026 Article IV consultation underscored the importance of consolidating the hard-won gains in macroeconomic stability through a better-balanced policy mix over the medium term. This calls for a gradual but sustained fiscal consolidation, a prudent monetary stance, the continued buildup of external buffers, and structural reforms to advance export diversification and strengthen the business climate.”
Executive Board Assessment[2]
Executive Directors agreed with the thrust of the staff appraisal. They commended the authorities for their continued commitment to reforms and the broadly satisfactory program performance, including through corrective actions to address temporary deviations amid particularly challenging circumstances related to the security situation in the eastern Democratic Republic of the Congo, the recent Ebola outbreak, and the spillovers of the Middle East war. Noting elevated downside risks, Directors stressed the need for strong ownership, policy discipline, and accelerated structural reforms to consolidate macroeconomic stability and foster diversified, inclusive, and sustainable growth, supported as needed by capacity development from the Fund and development partners.
Directors called for gradual fiscal consolidation to create space for priority investment and social spending while safeguarding debt sustainability. They supported the temporary widening in the 2026 deficit, while stressing the need to step up domestic revenue mobilization and enhance transparency and efficiency of public spending. Directors emphasized the importance of strengthening expenditure controls and budget transparency, including in the use of Eurobond proceeds, and called for enhancements in public financial and debt management, including reduced reliance on emergency procedures and advances in wage bill reform and arrears prevention. They stressed the criticality of improved social spending execution for inclusive growth.
Directors agreed that a cautious, data dependent monetary policy stance remains appropriate in view of rising uncertainty, standing ready to tighten if inflation expectations become unanchored. Directors called for continued efforts to strengthen the monetary policy framework, enhance transparency in the FX market, deepen the domestic debt market, and further accumulate international reserves. Strengthening BCC safeguards, including those related to planned gold reserve accumulation, further enhancing financial supervision, and continuing AML/CFT reforms to complete the expected exit from the FATF grey list are also important priorities.
Directors called for accelerated structural reforms, including labor market reform and improvements in the business climate, to support diversification and inclusive growth. They underscored the importance of sustained progress in governance, transparency, and anti corruption, including the swift operationalization of the Economic and Financial Tribunal and the finalization of the anti corruption law. Directors also encourage continued efforts to improve data quality.
Directors generally welcomed continued progress under the RSF and encouraged timely delivery of the reform agenda. They emphasized that sustained efforts in coordination with development partners are needed to strengthen resilience to climate related shocks and support longer term balance of payments stability. Directors noted ongoing authorities’ work with the World Health Organization on potential pandemic preparedness measures. Many Directors were open to the possibility of including pandemic preparedness reform measures in the current RSF at a future review, subject to the macro criticality of health related risks, adequate capacity, and strong collaboration with other development partners.
It is expected that the next Article IV consultation with the Democratic Republic of the Congo will be held in accordance with the Executive Board decision on consultation cycles for members with Fund arrangements.
READ MORE: https://www.imf.org/en/news/articles/2026/06/30/pr26233-drc-imf-executive-board-concludes-2026-aiv-consult-completes-3rd-rev-ecf-arr-2nd-rev-rsf-arr
