Africa: Expected economic mission of South African investors in the Democratic Republic of the Congo

Congolese Finance Minister Nicholas Kazadi will pay a courtesy visit to South Africa from February 21st to 24th, 2022, at the invitation of his counterpart, South Africa’s Finance Minister Enoch Godonwana. did.

According to the Treasury’s communications service, this mission will help Nicholas Kazadi participate in the 2022 budget presentation at the South African Parliament and hold a working session to strengthen economic relations between the two countries and prepare the organization for the organization. I was able to do. DRC-RSA Business Forum for Economic Recovery Financing In Kinshasa, beside the official visit of the South African President in June 2022.

South African investors are already preparing to come to Kinshasa within a few days to explore the terrain as a prelude to signing partnerships in several growth-accelerating sectors such as infrastructure, mining, banking and insurance. ..

Regarding participation in the 2022 Budget Presentation Speech at the South African Parliament, the Democratic Republic of Congo was an honorary guest during the RSA presentation of the Fiscal Year Budget by the Minister of Finance. Wednesday, 2022, February 23, 2022, in Cape Town.

The ceremony is a major economic event in South Africa as it has been mobilized among various economic and socio-political partners in South Africa.

The 2022 budget consists of approximately $ 105 billion in revenue, or 6.0% of GDP, compared to approximately $ 130 billion, as revenue is less than revenue.

Domestic revenue is equivalent to 24% of GDP.

According to Treasury sources, this budget is part of the perspective of budget consolidation, stabilizing public debt levels, and helping the post-Covid economic recovery.

In order to maintain economic growth estimated at 2.1% in 2022 (average 1.8% in the medium term) and create more jobs, budget priority, on the other hand, is to accelerate the economy by accelerating the structure. The purpose is to support the reconstruction and recovery of the economy. Reform of the electricity, rail, port and telecommunications sectors. On the other hand, to protect life and improve society (health, education, purchasing power).

During his stay, Minister Nicholas Kazadi talked with the Minister of Finance of South Africa and financial institutions in the country.

Considering the importance of the exchange, the RSA Finance Minister organized an audience with the President of South Africa.

It should be noted that the working session with RSA’s Finance Minister focused on the importance of synergies and investment opportunities to strengthen cooperation and revive the economies of both countries in the context of post-pandemic recovery. there is.

The South African Finance Minister has stated that he is ready to increase investment in the DRC, taking into account strong economic ties, in order to create synergies and build a strong economy in the SADC region. To that end, the two ministers, alongside their official visit in June 2022, held the “RDC-RSA Business Forum for Financing Economic Recovery” in Kinshasa to identify and promote a certain number of signature projects. A follow-up meeting as a bystander to the IMF and World Bank Spring Annual Meeting in Washington, DC, April 2022.

“We have met with South African financial institutions and senior officials from the Industrial Development Corporation, Public Investment Corporation (PIC), Export Credit Insurance Company (ECIC), ABSA, Nedbank and South Africa Development Bank (DBSA),” Congo said. rice field.Financial at the end of his missionSaid Finance Minister Congo.

And to add: The debate is the economic performance recorded by the DRC since the accession of the President of the Republic, the improvement of the country’s sovereign rating by the FĂ©lix-Antoine Tshisekedi Tshilombo, Standard & Poor’s Agency, investment opportunities, and the government speeding up reforms and improving the business environment.

In general, South African investors praised the achievements achieved. They focus on multiple opportunities within the framework of promising economic outlooks and economic diversification, and finally confirm their commitment to support financing of ambitious and relevant projects at the DRC. did.

A South African export insurance company has informed its mission that the Democratic Republic of the Congo and Ethiopia are two priority countries on the continent.

Therefore, South African investors, especially the IDC and ECIC’s economic mission, will go to Kinshasa next week to discuss investment opportunities for public or private projects and PPPs to be implemented with the government. Therefore, in order to better guarantee this partnership, we need to begin work to identify and prioritize the best projects and perhaps private sector entrepreneurs.

Patrick Bomboca