The Democratic Republic of Congo's government is focusing on mobilizing domestic resources to enhance its financial capabilities. Deputy Prime Minister for Budget, Adolphe Muzito, recently announced that the country's domestic resources are expected to reach nearly $17 billion. This projection marks a significant increase from the current $10 billion. Muzito made the announcement during the "Redevabilité" program, which marked one year since the Suminwa II government took office.
The increase in domestic resources is part of a broader strategy to strengthen the state's financial capacity. Muzito emphasized that the growth in domestic resources will enable the government to finance its priorities using its own revenue. The projection is also aligned with the government's goal of gradually increasing domestic resources to $22 billion. This approach aims to reduce the country's reliance on external financing and promote sustainable economic growth.
The 2027 budget, adopted by the government, is valued at approximately $24.8 billion, representing a 12% increase from the 2026 revised budget. The budget plan focuses on increasing domestic revenue to expand the state's financing capabilities. The Ministry of Budget aims to boost domestic resources by broadening the tax base and improving revenue collection in various sectors of the economy.
The government has set a target to increase the tax-to-GDP ratio from 12% in 2026 to 13% in 2027, 15% in 2028, and 17% by 2030. The 2027 budget already reflects this goal, with projected current revenue of approximately $17.5 billion. This approach is designed to promote gradual growth in domestic revenue, rather than relying heavily on external financing.
The growth in domestic resources is expected to provide more resources for the government to allocate to various sectors. The Ministry of Transport has identified digitalization, stakeholder engagement, and investments as key areas to boost revenue mobilization in the sector. Other ministries are also expected to explore similar initiatives to enhance revenue collection.
Muzito's projection of nearly $17 billion in domestic resources marks a significant step towards achieving the government's financial goals. The target of $22 billion in domestic resources is part of a longer-term strategy to strengthen the state's financial capacity and promote sustainable economic growth. The government is focused on implementing measures to improve revenue collection and reduce reliance on external financing.
The DRC's budget plans are focused on promoting economic growth and improving the state's financial capacity. The government's efforts to increase domestic resources are expected to have a positive impact on the country's economy and provide more resources for priority sectors such as healthcare, education, and infrastructure.
Key points
- Deputy Prime Minister for Budget, Adolphe Muzito, projects domestic resources to reach nearly $17 billion.
- The growth in domestic resources aims to promote sustainable economic growth and reduce reliance on external financing.
- The government targets a tax-to-GDP ratio of 17% by 2030.
