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War Drains Congo’s Wallet as Military Spending Soars and Tax Revenue Drops

(Photo credits Reuters)

The Democratic Republic of Congo is struggling with rising military expenses and shrinking tax collections due to an ongoing war in its eastern region. A revised national budget, now in the hands of lawmakers, shows how deeply the fighting with M23 rebels has impacted the country’s finances.

The rebels, who are believed to be supported by Rwanda, have taken control of large parts of Congo’s eastern borderlands. These areas are rich in minerals like gold, tin, and coltan, but are now outside government control. Because of this, tax offices have shut down and money from those regions has stopped flowing into the national treasury.

According to the International Monetary Fund (IMF), Congo’s government is spending more on security than ever before. The war has not only drained resources but also made it harder to bring in money through taxes. A new budget approved by President Félix Tshisekedi’s cabinet cuts total spending to $17.2 billion and shows tax revenue dropping to 12.5% of the country’s GDP, down from 15.1% in the original December plan.

To help lift morale among troops and police, the government doubled their salaries in March. This move alone will cost around $500 million this year. Meanwhile, other war-related spending has already reached an estimated $1 billion just in the first four months of 2025.

Despite all this spending, the military still struggles. Army officials say they often lack basic supplies like food, weapons, and equipment. A senior general even said that most of the money goes to buying arms, and it’s hard to track where exactly it ends up since much of it is spent outside the formal budget system.

The IMF’s Congo representative, Rene Tapsoba, says the country’s budget deficit is growing. It was 0.8% of GDP last year and may rise to 1.2% this year. He added that the government is trying to control the damage by cutting spending in ministries and reducing the salaries of top officials.

A Senate report revealed more problems: over 36,000 soldiers are listed as inactive, and nearly 3,700 retired personnel are waiting for about $145 million in unpaid benefits.

The war has once again highlighted long-standing weaknesses in Congo’s military system. As the country continues its battle against M23, the financial burden is becoming heavier, raising concerns about how long the government can keep up with the rising costs.

By Lucky Anyanje

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