DEMOCRATIC REPUBLIC OF CONGO - Congolese Economic Recovery Support Project

Project Summary

Approval Date	17 Dec 2021
Signature Date	01 Mar 2022
Planned Completion Date	30 Dec 2025
Sovereign / Non-Sovereign	Sovereign
Sector	Multi-Sector
DAC Sector Code	15124
Environmental Category	3
Commitment	U.A 20,000,000
Status	Implementation

Project General Description

The Congolese Economic Recovery Support Project (PAREC) is designed to improve fiscal performance and facilitate private sector recovery. It will involve combining fiscal adjustment with structural reforms of the investment climate to release the potential of the private sector and curb the temporary negative effects of the current crisis. The project will support an improvement in the quality of life for the people of Congo, build the capacity of various institutions and staff of the Court of Auditors, the Tax Office, ANAPI and the ministerial units in charge of PPPs. It will also help to stabilize public finances by rationalizing expenditure management in a context of improved resource mobilization. Furthermore, the project will promote transparency, especially in the extractive industry sector, through support to the EITI. Lastly, the project will improve the investment climate by overhauling the business environment. PAREC will mostly seek to consolidate the achievements of previous Bank interventions. It has three complementary components (i) improve budgetary performance and fight corruption, (ii) support economic recovery, and (iii) promote efficient project management.

Project Objectives

The project's overall objective is to improve fiscal performance and facilitate economic recovery. PAREC's specific objectives include mobilizing revenue, streamlining public expenditure, improving accountability and fighting corruption as well as improving the investment climate by reforming the investment framework, the regulatory regime, supporting agro-industrial platforms and the special economic zone.

Beneficiaries

The project's direct beneficiaries are the DGI, DGRAD, DRGC, ANPI, and the Court of Auditors. Its final beneficiaries are the country's population as a whole, but particularly investors and the private sector. They stand to gain from improved domestic resource mobilization, transparency and accountability for effective financing of economic development and improved quality of life for the people. They will also benefit from an improved investment climate and anti-corruption measures.

Participating Organization

Funding

African Development Fund

Implementing

GOUVERNEMENT DE REPUBLIQUE DEMOCRATIQUE DU CONGO MINISTERE DES FINANCES BUDGET

Information

IATI identifier	46002-P-CD-KF0-012
Last Update	02 Oct 2022

Export

Contact Details

Name	TOKO Pierre
Email	p.toko@afdb.org

Geographic Location

Country	Congo, the Democratic Republic of the

Coordinates	Location Name
-4.375 15.97	Kinshasa City

Project Classification

Finance Type	Aid Grant Excluding Debt Reorganisation
Flow Type	ODA
Aid Type	Project Type Interventions

Commitments

U.A 20,000,000

African Development Fund

U.A 20,000,000

Document Type	Language	Document
Expression of interest	fr	viewer
Appraisal report	en	viewer
Environmental Study	en	viewer
Appraisal report	fr	viewer

Indicator	Indicator Measure	Target Year	Target Value
Tax revenue (as a percentage of GDP)	%	2021	84
Budget deficit as% of GDP	%	2021	0,5
Foreign Direct Investment (FDI) Amount	$ million	2021	2,6
SMEs with access to finance	Number	2021	450
SMEs with access to finance - those led by women	Number	2021	50
Integrated Information System (IS) based on a software package acquired and implemented	None	2021	Yes
Executives from the DGI and DGRAD trained in the specifics of collecting property taxes and VAT as well as collection equipment	Number	2021	50
Executives from the DGI and DGRAD trained in the specifics of collecting property taxes and VAT as well as collection equipment - of whom women	Number	2021	5
Executives from the Ministries of Infrastructure and Public Works and Transport as well as staff, trained in investment selection and monitoring techniques	Number	2021	60
Diagnostic study on state payroll and recommendations for improvement, including on IS aspects	Number	2021	1
Anti-corruption agency officials trained in anti-fraud and corruption techniques	Number	2021	30
Anti-corruption agency officials trained in anti-fraud and corruption techniques - of whom women	Number	2021	3
Agents of the anti-corruption agency equipped with office equipment	Number	2021	30
Agents of the anti-corruption agency equipped with office equipment - of whom women	Number	2021	6
Court of Auditors inspectors trained in new tax audit techniques for computerized accounts and in the conduct of audit missions	Number	2021	30
Court of Auditors inspectors trained in new tax audit techniques for computerized accounts and in the conduct of audit missions - of whom women	Number	2021	9
Missions carried out by inspectors of the Court of Auditors	Number	2021	30
Disclosure workshops conducted for the dissemination of the revised EITI report for DRC	Number	2021	26
Validation measures required by the EITI committee implemented	Number	2021	13
Process mapping available	Number	2021	1
Report analyzing and quantifying tax expenditures and budgetary risks produced	Number	2021	1
National strategy for improving the business climate in the productive sectors	None	2021	Yes
ANPI (National Investment Promotion Agency) executives trained in the implementation of the business climate improvement strategy	Number	2021	20
Staff trained in the use of light industrial and office equipment from agro-industrial platforms	Number	2021	30
Revised investment code	None	2021	Yes
ANAPI (National Investment Promotion Agency) staff trained in investment promotion techniques	Number	2021	60
The DRC has joined African Guarantee and Economic Cooperation Fund (FAGACE)	None	2021	Yes