AfDB Approves $260.4 Million Loan to Boost Agriculture in DR Congo

The project aims to boost the DRC’s food self-sufficiency by increasing the production of staple food crops such as rice, cassava, maize, and soya.

The Board of Directors of the African Development Bank Group has approved a loan of $260.4 million to the Democratic Republic of Congo (DRC) to support the Project to Support the Development of Value Chains as part of the Agriculture Transformation Programme (PADCV-PTA).

The $311.6 million project is funded by a $250.4 million loan from the African Development Fund, the Bank Group's concessional window, and an additional $10 million loan from the Transition Support Facility, a mechanism for countries undergoing periods of transition. The DRC government and beneficiaries will contribute $51.2 million in counterpart funding.

The project aims to boost the DRC’s food self-sufficiency by increasing the production of staple food crops such as rice, cassava, maize, and soya. This initiative is expected to significantly reduce the country’s large-scale food imports, which amounted to $3 billion in 2023—19 percent of the national budget—and mitigate vulnerability to external shocks, including climate change and armed conflict.

Key objectives of the project include rebuilding the seed capital for the rice, cassava, maize, and soya value chains, improving yields sustainably, and facilitating market access and suitable financing for stakeholders. The project will see 295,000 hectares of these crops sown using improved seeds resistant to climate change. Additionally, 1,600 farmer field schools and demonstration plots will be established to promote climate-smart farming techniques.

The development of irrigated rice-growing areas will enable intensive production with at least two cycles per year. Inputs will be provided to producers on credit at the start of the cropping season, repayable at harvest, to build up working capital and facilitate long-term access to inputs and pre-processing equipment for cooperatives.

The project will upgrade 600 km of rural tracks to improve access to production basins and consumption areas. It also aims to organize value chain stakeholders into cooperative companies to benefit from economies of scale through grouped orders and sales, enhancing the bargaining power and capacity of small-scale producers for 'win-win' partnerships. A shared-cost financing mechanism is also included to facilitate access to funding.

The project will build the capacity of national agricultural research and seed system stakeholders to reestablish national seed capital. It will be implemented in six provinces: Kongo Central, Kwango, Maï-Ndombe, Kasaï Oriental, Lomami, and South Kivu—areas that supply major cities and neighboring countries. Approximately 900,000 farming households, including internally displaced people, will benefit directly from the project, impacting 24 percent of the Congolese population.

The project is expected to increase yields of targeted crops by 80 percent, boost agricultural production by 1.68 million tonnes per year, and enhance private agricultural processing by 4.1 million tonnes over five years, while reducing the DRC's food imports by $500 million annually. The initiative will strengthen food security for around 21 million inhabitants in Kinshasa, Mbuji-Mayi, and Bukavu and enhance regional integration between the DRC and Angola via trade in agricultural products.

Other beneficiaries include government services (agricultural research units, seed sellers, farmers' organizations), private organizations (processors and service providers), decentralized regional bodies, and women's and youth organizations.

“The African Development Bank is a strategic partner of the DRC, whose top authorities have decided to make agriculture the priority sector for the country's development,” said Serge N'Guessan, the Bank’s Director General for Central Africa. “This project will enable the rapid implementation of the National Food and Agriculture Pact, which is part of this national vision.”