Eastern DRC Under M23: Between Taxation and Economic Paralysis

Editorial: Reda El Ghazal

In the regions of the eastern Democratic Republic of Congo controlled by the M23 movement, the population faces a complex economic reality. Banks remain closed, cash is scarce, and new taxes imposed by local administrators are burdening traders and households. Mining activities, particularly coltan extraction, generate substantial revenue for the group through levies that can reach up to 15% of the minerals’ value.

Despite attempts at normalization, challenges persist. Mobile money transfers have become costly, and businesses struggle with the choice of paying local taxes or risking international sanctions. Residents, caught in the middle, describe increasing fiscal pressure, while authorities in Kinshasa refuse to reopen banks, accusing M23 of deliberately paralyzing the economy.

The situation illustrates a broader dilemma: without financial stability, no administration can function sustainably. As international negotiations intensify, the population awaits concrete solutions to revive trade and escape precarity. Economic factors may well determine the region’s political future.