DR Congo’s New Central Bank Governor Seeks to Reduce Dollar Dependence

The Democratic Republic of Congo (DR Congo) is taking steps to reduce its heavy reliance on the US dollar, as the nation’s new central bank governor moves to restore confidence in the Congolese franc. Currently, nearly 90 percent of transactions in the country are conducted in dollars, reflecting decades of economic dollarization.

Andre Wameso, appointed to lead the Central Bank of Congo, faces a steep challenge. The franc remains highly unstable and is trading near record lows against the dollar, while many Congolese still remember the hyperinflation of the 1990s.

Everyday life – from rent and restaurant bills to airport fees – runs on the greenback, and government wages paid in francs are often quickly converted into dollars for safety.

“The economy is so dollarized because we import almost everything we consume,” Wameso told Bloomberg. “We need the population to trust its money again, because I don’t think we can build a new Congo with a currency other than the national currency.”

The country earns almost all its export revenue in dollars from copper, cobalt, oil, and gold sales. Yet domestic banking remains constrained by concerns over money laundering and conflict financing. Even local dollar transactions often require routing through correspondent banks abroad, a process that can take days.

To address these hurdles, Wameso plans to work with the US Treasury to establish a domestic clearinghouse at the central bank. The initiative aims to speed up domestic transactions and reduce reliance on foreign financial intermediaries.

Restoring faith in the franc, he says, will require broader economic reforms. Proposed measures include overhauling the social security system and restructuring the housing market so construction materials are purchased in francs and mortgages are gradually issued in the local currency.

Additionally, Wameso supports the issuance of franc-denominated securities. This move would create a long-term yield curve and encourage citizens to view the national currency as a viable investment.

If successful, these reforms could mark a major step toward stabilizing the Congolese franc and gradually reducing the country’s dependence on the dollar, reshaping both the economy and daily life for millions of Congolese.