Africa-Press. The World Bank revealed in a recent report a deep crisis affecting public enterprises in the Democratic Republic of the Congo, which have incurred massive financial losses exceeding $5.3 billion over the past ten years. This situation raises serious warnings regarding the implications for public finances, economic growth, and essential services in the country.
The report comes at a time when the Democratic Republic of the Congo continues to achieve growth rates surpassing the average of Sub-Saharan African countries, driven by the mining sector, which serves as the backbone of the national economy and a primary source of exports and government revenues.
However, the World Bank considers that the deteriorating performance of state-owned enterprises has become a “structural burden” threatening the economic gains achieved.
According to the report published in March 2026, Congolese public enterprises accumulated losses estimated at around $5.3 billion between 2014 and 2023, averaging over half a billion dollars annually.
The World Bank noted that this figure is almost equivalent to the annual budget of the health sector in the Democratic Republic of the Congo, indicating the extent of the depletion of the state’s public resources.
Data showed that more than two-thirds of public enterprises for which financial information was available reported losses in 2023, particularly in the energy, transport, and water sectors. Companies such as the electricity provider, the water utility, the railway transport company, and the river and maritime transport company are facing severe financial difficulties.
The report explained that the debts of public enterprises rose from 5.7% of GDP in 2019 to 7.3% in 2023, accounting for about 42% of the country’s total external public debt.
The World Bank warned that any widespread default in meeting the obligations of these institutions could directly impact the state treasury, estimating that the failure of the largest 11 public companies to meet their commitments would cost the government approximately $179 million in just one year.
The national electricity company alone accounts for about 75% of the total debts of public enterprises, while facing a chronic liquidity crisis and significant technical losses in production and distribution networks.
The report indicated that many government companies have begun to rely on borrowing to cover daily operational deficits instead of financing investments or developing infrastructure, due to the accumulation of receivables and delays in payment processes that can extend for years.
The World Bank strongly criticized the management style of public enterprises in the Democratic Republic of the Congo, considering that weak governance is one of the main reasons for the current crisis.
The report clarified that boards of directors are subject to political pressures, with a lack of efficiency standards in appointments, in addition to overlapping roles of oversight institutions and weak financial transparency.
In this context, data showed that only half of the largest twenty public companies published their financial data in 2024, while only five companies had adhered to regular publication over the past five years.
Despite the Democratic Republic of the Congo possessing one of the largest hydropower reserves in Africa, the country only utilizes 3.2% of its installed production capacity, according to the report.
Moreover, the percentage of the population connected to the electricity grid does not exceed 22%, while the electricity company reports technical losses estimated at 37% of total electricity produced, leading to frequent outages and increased operating costs for the private sector.
In the water sector, the report indicated that the water utility only covers 16% of the population, while access to drinking water in rural and semi-urban areas remains below 14%.
It added that around 40% of the water produced in 2024 did not reach consumers due to leaks and weak distribution networks.
Although the Congolese economy heavily relies on the mining sector, the public mining companies themselves face concerning financial situations.
The report noted that copper exports exceeded 3.4 million tons in 2025, yet the government institutions operating in the sector suffer from severe imbalances.
In the mining company, the wage bill exceeded 137% of total revenues, while the debts of another mining company account for about 16% of the total debts of public enterprises, despite recording the highest profits among the institutions included in the study.
The World Bank urged the Congolese government to launch comprehensive reforms, including redefining the role of the state as a stakeholder, adopting appointments based on efficiency standards, enhancing financial transparency, and reducing political interference in management.
The report confirmed that implementing effective reforms could raise the potential growth of the Congolese economy by about two percentage points above current forecasts, warning that the continuation of the existing situation would deepen economic and social pressures in the country.
