The Democratic Republic of Congo will introduce annual audits for major mining companies to ensure compliance with local-content requirements from 2027. This move is part of the country's efforts to increase business for Congolese-owned firms. The head of the country's subcontracting regulator, Beleshayi Kasanda Ted, announced that a new local-content law will take effect on January 1, 2027. The law aims to channel more contracts and procurement spending to local companies.
The DRC, the world's largest cobalt producer and Africa's top copper producer, has tightened oversight of its mining sector. The country's subcontracting regulator, the Authority for the Regulation of Subcontracting in the Private Sector (ARSP), is drafting sector-specific rules for mining and other industries. These rules will include sanctions and mandatory three-year compliance plans. The ARSP has already ordered several major mining companies, including Glencore and Ivanhoe Mines, to end non-compliant subcontracting arrangements.
The ARSP has given notices to several major operators, including Glencore, Ivanhoe's Kipushi zinc mine, and Chinese-controlled copper miner Sicomines. These companies were required to submit corrective plans and expand opportunities for Congolese-owned suppliers. An Ivanhoe spokesperson stated that the company was in regular contact with the regulator and considered its Kipushi mine compliant with applicable subcontracting rules. However, Glencore and Sicomines did not immediately respond to requests for comment.
The ARSP is recruiting a new group of inspectors and reviewing previously unresolved company inspections as part of a broader compliance drive. This move is aimed at ensuring that mining companies comply with the new local-content law. Robert Malumba Kalombo, head of the Federation of Enterprises of Congo, warned that implementation risked becoming too focused on inspections and penalties rather than helping build competitive Congolese companies.
Some stakeholders have expressed concerns about the implementation of the new law. Jean-Claude Mputu, spokesperson for nonprofit group Congo Is Not for Sale, called for greater transparency around enforcement actions and disclosure of subcontractors' beneficial owners. He warned that stricter local-content requirements could encourage politically connected firms to capture contracts without stronger safeguards.
According to Beleshayi, of the $3.7 billion in subcontracting contracts declared by 167 major companies in 2025, $3.1 billion, or 83%, went to majority Congolese-owned companies. This includes $2.9 billion in the mining sector alone. The ARSP is working to ensure that local companies benefit from the country's mining sector.
The introduction of annual audits and stricter local-content requirements is expected to have a significant impact on the DRC's mining sector. Major operators in the DRC include Ivanhoe Mines, Glencore, Eurasian Resources Group, CMOC, and Zijin Mining. The country's efforts to increase business for Congolese-owned firms are aimed at promoting economic growth and development.
Key points
- The DRC will subject major mining companies to annual audits of subcontracting practices from 2027.
- The new local-content law aims to channel more contracts and procurement spending to local companies.
- The ARSP is drafting sector-specific rules for mining and other industries, including sanctions and mandatory compliance plans.