Paper short abstract:

To achieve sustainable peace and development referring to the 2030 Agenda, the DR Congo, a fragile State, must secure sustainable financing. However, it has experienced a multidimensional crisis putting public finance under pressure since 2016.

Paper long abstract:

The implementation of the 2030 Agenda for sustainable development and its associated Sustainable Development Goals (SDGs) will be critical in fragile States facing complex challenges. One of them focuses on financing SDGs in agreement with the Addis Abbas Action Agenda (AAAA) of July 2015. Concerning public revenues, taxation plays a key role in mobilizing domestic revenues, which are essential for investing in SDGs. However, most fragile States, notably the DR Congo, are resource-rich countries encountering difficulties in collecting tax revenues, particularly from extractive industries. They have also recorded a tax base's erosion. This leads to question governance of extractive sector in these countries. In response, an international cooperation in tax matters is required in views of protecting, then broadening tax bases of fragile States.

The paper examines challenges for financing sustainable development in the DR Congo, a conflict-affected country and a Least Developed Country (LDC) in Central Africa. Since 2016, the DR Congo has registered macroeconomic disorders by renewing with inflationary pressures. Meanwhile, it has embarked into political and electoral crises combined with longstanding security and humanitarian crises, mainly in the eastern provinces. The country must address the said crises to achieve sustainable peace and development in accordance with the 2030 Agenda. Public finance is put under pressure.

In 2017-2018, uncertainty surrounding the macroeconomic outlook could be exacerbated by the said crises. The Government's ability to restore a relative macroeconomic stability will be closely monitored during the transition. It is essential to stay on track with the 2030 Agenda.