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Democratic Republic of the Congo

Budget Summary

Flag of Democratic Republic of the Congo

Please note: All linked documents are in PDF format

Objective SO Number FY 2004 FY 2005 FY 2006
Health 660-002 22,404 22,400 20,950
Peace Building, Democracy and Good Governance 660-003 6,850 5,009 5,380
Livelihoods 660-004 5,006 6,338 2,339
Basic Education 660-005 3,243 2,170 3,708
Conflict Resolutionn 660-006 2,571 1,960 1,000
Total (in thousands of dollars) 40,074 37,877 33,377

Excludes P.L. 480. See Program Annex.

The Development Challenge: The Global and All-Inclusive Agreement of Sun City, signed in December 2002 by all major belligerent parties in the Democratic Republic of the Congo (DRC), is the roadmap for the DRC's transition to a stable, peaceful, and democratic state. The Agreement stipulated that political, military, and economic power would be shared by the former belligerents, civil society, and the political opposition during the two to three year transition period. Political integration has occurred, for the most part successfully, in the central administration. In mid-2004, the Congolese Assembly for Democracy (RCD/Goma) came close to withdrawing from the Transition Government (TG), but was ultimately persuaded to remain engaged. Political integration in the provinces has been superficial, limited to the appointment of Governors and Vice-Governors. Extension of territorial administration outside of the provincial capitals has mostly not occurred, which is a particular problem in eastern DRC, where the parallel administrations established by RCD/Goma and others remain in place.

There is considerable friction within the TG, as each of the former belligerents vies for economic and political power and strives to create a political base for the elections. The continued presence of foreign armed forces and other armed groups in the country constitutes a significant irritant to the transition, as does the slow pace of military integration. Significant efforts to reform and downsize the security sector, including the partially integrated Congolese Army (FARDC), and to demobilize and reintegrate ex-combatants, are behind schedule.

The TG and the reconstituted Senate and National Assembly have made some progress on enacting transition-critical legislation, but the processes are behind schedule. USAID is following the progress in the development of 14 such laws. The laws establishing an Independent Electoral Commission (IEC) and Political Parties have been passed. The Constitution (to be prepared by the TG, per the Sun City Agreement) is still in draft, flawed and behind schedule. The Nationality Law, which defines who is eligible for Congolese citizenship, was promulgated on November 12, 2004. The Voter Registration Law is currently awaiting Presidential signature and is behind schedule. The Electoral Law will only be promulgated after adoption of the new Constitution.

The International Monetary Fund (IMF) states that the Gross Domestic Product (GDP) in the DRC grew by 8% in 2004 (year-to-date basis). The economy is estimated to total approximately $7 billion. Government revenue collection increased in 2004 to 10% of GDP, but remains at a critically low level. Social spending has increased, but from a very low base. Security sector expenditures are exceeding budget projections in response to the unstable security/military situation in the east of the country. Over the course of 2004 the Congolese franc depreciated approximately 20% against the dollar, and inflation is currently calculated to be 9% on a year-to-date basis.

The DRC's social indicators are among the worst in the world. Infant and under-five mortality rates are 126 and 213 per 1,000 live births, respectively. Maternal mortality in the DRC is 1,289 per 100,000 live births. Per capita GDP is $98.65. Life expectancy for men and women is 46 and 51 years, respectively. Literacy is 82% for men and 56% for women. Violation of human rights, including the widespread use of rape as a means of subjugation of the population, is a huge problem affecting millions of Congolese citizens, particularly in the east.

The U.S. Government (USG) seeks to strengthen the process of internal reconciliation and democratization within the DRC to promote a stable, developing, and democratic nation. Given its size (roughly equal to the area east of the Mississippi River), population (estimated at 55 million), and resources, the DRC is of long-term interest to the United States. A stable and peaceful DRC is a source of regional stability, given its central location in the continent. USAID's Integrated Strategic Plan (ISP) for FY 2004 to FY 2008 for the DRC supports two objectives contained in the joint State-AID Strategic Plan 2004-2009: 1) achieve peace and stability, and 2) advance sustainable development and global interests.

The USAID Program: The USAID program proposed in the Program Data Sheets will provide funding for increasing access to and use of quality health services; support the transition to peace, stability and democratic governance; improve livelihoods of rural Congolese; improve basic education, especially for girls; and promote the reintegration of ex-combatants into civilian life.

Although the DRC is a not a focus country under the President's Emergency Plan For AIDS Relief, the DRC receives a base level of funding for HIV/AIDS prevention and significant funding from the Global Fund To Fight AIDS, Tuberculosis, and Malaria (GFATM). USAID implements the Central African Regional Program for the Environment, which is the primary mechanism for the USG contribution to the Congo Basin Forest Partnership (see the Central Africa Regional program narrative) in the Central African Region. The Presidential Africa Education Initiative provides funding for teacher training and girls scholarships.

Other Program Elements: USAID's Washington program is implementing a transition-support program, which includes a significant effort to reintegrate ex-combatants and victims of sexual violence back into communities. USAID has been implementing a complex emergency disaster response program in the DRC since the early 1990s. With two Emergency Disaster Relief Coordinators in country, USAID's program seeks to respond to the needs of displaced people, primarily in the east. USAID provides approximately 75% of total donations to the World Food Program in the DRC. This program benefits approximately two million internally displaced persons and returnees annually in the DRC. USAID provided funding in FY 2003 for a micro-finance program, which is still ongoing, in the eastern DRC and in Burundi. USAID receives Displaced Children and Orphans (DCOF) funding, Victims of Torture (VOT) funding and Trafficking in Persons (TIP) funding for abandoned children programs in many parts of the DRC, and for victims of sexual violence programs in the east. USAID receives War Victims funding through a regional mechanism with Pact for people disabled by the conflict. USAID supports the Reintegration of Ex-Combatants program.

Other Donors: USAID participates actively in several important donor coordination arrangements in the DRC, including weekly humanitarian response coordination meetings, the Country Coordinating Mechanism for the GFATM, the World Bank Multi-Country Demobilization and Reintegration Program, and the United Nations-led weekly election planning meetings. USAID works in close coordination with other donors in the preparation of the Poverty Reduction Strategy Paper and participates in the annual Consultative Group meetings held on the DRC.

The major donors in the DRC (rank ordered in 2004) are the World Bank, the European Union (EU), the United States, the United Kingdom (UK), France, Germany, Belgium and the Netherlands. Japan is launching an assistance program in 2005. With the exception of large infrastructure projects, security sector reform and macro-economic management (sectors in which the World Bank, the EU and many European donors are active), the sectors in which most other donors are engaged generally mirror the U.S.'s engagement. All major bilateral and multi-lateral donors support the health sector. The EU is heavily involved in elections, and the United States, UK, Canada, Germany, and Sweden support civil society. The U.N.'s Food and Agriculture Organization and many European donors support income generation and livelihoods promotion activities. UNICEF and the United States are the major donors in the education sector (soon to be joined by Japan), and the World Bank has mounted a major school rehabilitation and construction program. All major European donors, the World Bank and the United States are involved in the demobilization and reintegration of ex-combatants. France, the Netherlands, Belgium, South Africa, and Angola are the major donors to the reform of the security sector. All major donors follow the Development Assistance Committee guidelines for harmonizing donor practices established by the Organization for Economic Cooperation and Development, and integrate gender sensitivity into their programs.

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Tue, 14 Jun 2005 16:05:01 -0500
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