The World Bank in the Republic of Congo

The Republic of Congo (Congo-Brazzaville), located in Central Africa, covers 342,000 km2. Its population of 5.7 million people is largely young, with 47% being under age 18. More than half of the population lives in its two main cities — Brazzaville and Pointe-Noire. The country is one of the least densely populated in Africa, with 14.8 inhabitants per square kilometer. 

Covered mainly by tropical forests, the Republic of Congo, is home to one of the largest areas of tropical peatlands, a fragile ecosystem that plays a crucial role in climate regulation. The oil sector accounts for about half of the country’s gross domestic product (GDP) and 80% of its exports, ranking it as the third largest producer in Sub Saharan Africa. The country also has a wealth of mineral resources that remain largely untapped. 

Political Context

President Denis Sassou Nguesso was reelected in March 2021. He led the country for the first time from 1979 to 1992, returned to power in 1997, and has won all elections since 2002. The current Prime Minister Anatole Collinet Makosso who was appointed in May 2021, is leading a government whose priorities include institutional, economic, financial, social, and inclusive governance. 

Social Context

With a human capital index (HCI) of 0.42, the Republic of Congo is behind the average of 0.48 for its peers Low Middle-Income Countries (LMICs). The country has made modest improvements in health and education on the Human Development Index (HDI). Infant mortality remains high at a rate of 32 deaths per 1,000 live births. By the end of primary education, only 37% of children achieve the required proficiency levels in math and 48% in French. Access to electricity stands at 67% of the population in urban areas compared to just 12.4% in rural areas. Access to clean water is another area where potential improvements could be made; 74% of the population has access to a clean water source, but this is significantly lower in rural areas at 46%, despite the country’s considerable hydrological resources.

The dynamics of social exclusion and drivers of fragility in the Republic of Congo are multidimensional and further exacerbate by poverty and inequality. These issues go beyond the spatial disparities between urban and rural areas, and they are exemplified in the divide between population groups, with women, youth, persons with disabilities, and indigenous people (IP) being the most vulnerable. In 2021 international gender inequality index, the Republic of Congo was ranked 147 out of 170 countries, highlighting the extent of gender-based inequalities. Youth unemployment has also increased over the years and has reached around 42% which puts additional strain on the country’s fragility and social challenges.

Economic Context

Economic activity in Congo is estimated to have increased by 1.9% in 2023, compared to an estimated 1.5% in 2022, driven by the non-oil sector. However, real Gross Domestic Product (GDP) per capita growth remained negative in 2023 and poverty incidence consequently increased slightly to an estimated 46.8% of the population.

The ongoing fuel subsidies reform is helping to maintain fiscal surpluses, but also contributed to a temporary increase in inflation in 2023, which reached 4.3%. Food inflation decelerated in 2023 but remains elevated at 4.3%, which is likely to continue to affect the poorer segments of the population more as they typically spend a higher share of their household budget on food.

Higher oil prices, improved debt management, and debt restructuring agreements helped restore debt sustainability in the second half of 2021. However, the Republic of Congo remains in debt distress due to the ongoing restructuring and audit of domestic arrears as well as the recurrent accumulation of temporary external arrears.

GDP is expected to grow at a rate of 3.5% in 2024 and 3.4% on average in 2025-2026. Although debt vulnerabilities remain elevated, the debt-to-GDP ratio is projected to decline to 81% by 2026 (from 96% in 2023). The economic recovery remains fragile and subject to downside risks, including volatile oil prices and unsteady oil production, weaker-than-expected global demand, a further tightening of global or regional financial conditions, adverse weather conditions and delayed structural reforms implementation.

Last Updated: Apr 08, 2024

In January 2022, the government approved a new National Development Plan (NDP) for the 2022-2026 period, which focuses on economic diversification to reduce fragilities and put the country on the path to high, resilient, and inclusive growth.

The World Bank’s 2020-2024 Country Partnership Framework (CPF) with the Republic of Congo was extended by a year until 2025 following a Performance and Learning Review (PLR) conducted in the fall of 2021 and approved by the Board of Directors on April 7, 2022.

The CPF, which is aligned with the government’s objectives, aims at helping the country improve economic management, create a business environment conducive to economic diversification, strengthen its human capital, and improve the delivery of basic public services, in particular health, education, and social protection services.

As of March 25, 2024 the WB active portfolio in Republic of Congo is comprised of 12 projects of which 3 are trust fund financed, and 2 are regional projects for a total commitment of $751.72 million.

Last Updated: Apr 08, 2024

The Commercial Agriculture Development Project (PDAC) of $100 million aimed at improving the productivity of farmers and their access to markets. From its inception on April 30, 2018, to its closure on December 31, 2023, the project has impacted nearly 450,000 people. It has financed 1,132 business plans of producer groups, cooperatives and micro, small, and medium agribusiness enterprises (MSMEs), rehabilitated or maintained 1,600 km of agricultural roads (including waterways) to facilitate supply of agriculture commodities to markets. It installed 73 km of high-voltage power lines in the localities of Dihessé, Inoni-Falaises and Estouali for rural electrification. It built the Tandou Binzenze Agropastoral Centre in Pointe Noire, a national gene bank and an artificial insemination center in Brazzaville.

The Statistics Capacity Building Project (PSTAT) of $68 million objective was to strengthen the National Statistical System (NSS) in the production and dissemination of quality statistics relevant for policies and decision making; and promote the demand for statistical information. From the start of its implementation in May 2019 and its closing in March 2024, it has granted 60 scholarships in sub-regional schools of statistics, computer science or demography to 48 graduates. It has trained 175 officials in statistics, IT and demography. It has enabled the production of the national harmonized consumer price index in 5 cities including Brazzaville, Pointe-Noire, Dolisie, Owando, Ouesso, and contributed to filling the gap in reliable, up-to-date data by financing studies including the general census of companies in Congo (REGEC), the 5th general population and housing census (RGPH-5) and the harmonized survey of household living conditions (EHCVM). It financed the construction of the complex of the National Statistics Institute (INS) and the National Training Centre for Statistics, Demography and Planning.

The Fiscal Management and Inclusive Growth Development Policy Financing (DPF) is a programmatic series of three operations (2022-2024). It supports reforms to strengthen domestic revenue mobilization and address persistent inefficiencies in Public Financial Management. It also supports reforms to the business environment and market dynamics essential for the diversification of the economy, address critical shortcomings in the delivery of basic public services, and strengthen the social safety net to protect vulnerable populations, especially women. The first operation, worth $50 million, was completed in December 2022. The second World Bank budget support of $80 million was mobilized one year later, in December 2023, bringing the total mobilized to $130 million. With the support of World Bank experts, the government is working to ensure the successful negotiation of the third and final tranche of this budget support package, also estimated at $80 million.

The Lisungi Safety Nets Project (PL-SFS) of $33.83 million objective was to strengthen the social safety nets system and its associated programs in participating areas. Implemented from September 2014 to February 2024, it launched the construction of a Single Social Register of 829,000 households. From 2015 to 2020, 19,984 households benefited from cash transfers. From 2021 to 2023, 5,170 households received TMC allowances, including 2,009 refugees and 1,231 natives, and 9,105 households have received TMAGR allowances since 2022, including 3,894 refugees. 900 young people from vulnerable families have benefited from skills training, including 596 young people grouped in 62 groups and provided with installation kits; 20 young people have already been recruited by SMEs; 12,648 children from 40 schools in Likouala have benefited from school kits; 9,580 indigenous households benefited from free health care.

The Social Protection and Productive Inclusion of Youth Project (formerly the Lisungi Emergency Covid-19 Response Project (PLRUC) of $133 million aims to provide emergency income support to households affected by the COVID-19 health and economic crisis and to increase access to productive safety nets for poor and vulnerable households and youth in participating areas. Implemented since October 2020, it enabled 216,605 households to benefit from emergency cash transfers (ECT) during Covid-19 pandemic. 29,987 households benefited from conditional cash transfers (CCT) to cover food, education, and health expenses. 23,660 beneficiary households had their micro-projects financed through Cash Transfers for Income-Generating Activities (TMAGR). Lisungi allocations (ECT, CCT and TMAGR) reached 1,210 723 people living in beneficiary households. 318 Village Savings and Credit Associations (VSCAs) have been set up in the various project areas. The 122 VSCAs in Sibiti and Madingou are already up and running.

The Climate-Resilient and Inclusive Livelihoods Project (ProClimat Congo) of $132 million is to strengthen landscape management, increase the use of improved livelihood activities, and reduce food insecurity in targeted communities. The Contingent Emergency Response Component (CERC) was activated in March 2024 for an amount of $5,683,000, to respond to the urgent needs of the population affected by flooding in several departments.

The Health System Strengthening Project Kobikisa of $50 million aims to increase utilization and quality of reproductive, maternal and child services in targeted areas, especially among the poorest households. Implemented since November 2021, it has enabled the acquisition and distribution of essential and generic medicine kits (MEGs) in the 12 departments of the Republic of Congo, the acquisition of routine vaccines, the general evaluation of 1,041 health facilities nationwide, and the production of therapeutic protocols, the acquisition of 42,000 blood collection bags, the updating of implementation tools for the performance-based financing (PBF) approach, the training and contractualization of 319 structures and health facilities, the disbursement of investment funds to health facilities, the setting up of the PBF web portal and the training of actors in the use of this portal.

The Education Sector Support Project (PRASEED) of $30.00 million aimed to improve the education outcomes of primary and lower secondary school children and to increase the effectiveness of select management systems. Implemented between August 2017 and June 2023, it reached 915,856 direct beneficiaries, notably through activities such as biometric enrolment and the distribution of teaching materials. The number of additional qualified teachers resulting from the project's interventions rose from 0 to 17,828.

The Congo Digital Acceleration Project (PATN) of $100 million aims to increase broadband internet access to underserved populations and improve the government’s capacity to deliver digitally enabled public services. Implemented since January 2023, it has helped to develop the "Vision Congo digital 2030" strategy, notably by putting in place the legal framework for the digital economy, the national framework for the development of digital skills, as well as the legal and regulatory framework for civil status, civil acts and identification.

Last Updated: Apr 08, 2024

The World Bank, China, the European Union, Agence française de développement (AFD), and the African Development Bank (AfDB) are the main financial partners of the Republic of Congo. Their main areas of intervention include promoting economic diversification, improving the business environment, developing the health and education sectors, and strengthening social protection. The various United Nations agencies and the Regional Development Bank of Central African States (BDEAC) are also active in the country.

Last Updated: Apr 08, 2024