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Congo, Democratic Republic of the

Introduction to Congo, Democratic Republic of the

Since 1997, the Democratic Republic of the Congo (DROC; formerly called Zaire) has been rent by ethnic strife and civil war, touched off by a massive inflow in 1994 of refugees from the fighting in Rwanda and Burundi. The government of former president MOBUTU Sese Seko was toppled by a rebellion led by Laurent KABILA in May 1997; his regime was subsequently challenged by a Rwanda- and Uganda-backed rebellion in August 1998. Troops from Zimbabwe, Angola, Namibia, Chad, and Sudan intervened to support the Kinshasa regime. A cease-fire was signed on 10 July 1999 by the DROC, Zimbabwe, Angola, Uganda, Namibia, Rwanda, and Congolese armed rebel groups, but sporadic fighting continued. KABILA was assassinated on 16 January 2001 and his son Joseph KABILA was named head of state ten days later. In October 2002, the new president was successful in getting occupying Rwandan forces to withdraw from eastern Congo; two months later, an agreement was signed by all remaining warring parties to end the fighting and set up a government of national unity.

Government

Capital:

Kinshasa

Independence:

30 June 1960 (from Belgium)

National holiday:

Independence Day, 30 June (1960)

Economy

Economy overview:

The economy of the Democratic Republic of the Congo - a nation endowed with vast potential wealth - has declined drastically since the mid-1980s. The war, which began in August 1998, has dramatically reduced national output and government revenue, has increased external debt, and has resulted in the deaths from war, famine, and disease of perhaps 3.5 million people. Foreign businesses have curtailed operations due to uncertainty about the outcome of the conflict, lack of infrastructure, and the difficult operating environment. The war has intensified the impact of such basic problems as an uncertain legal framework, corruption, inflation, and lack of openness in government economic policy and financial operations. Conditions improved in late 2002 with the withdrawal of a large portion of the invading foreign troops. Several IMF and World Bank missions have met with the government to help it develop a coherent economic plan, and President KABILA has begun implementing reforms. Much economic activity lies outside the GDP data. Economic stability, aided by international donors, improved in 2003. New mining contracts have been approved, which - combined with high mineral and metal prices - could improve Kinshasa's fiscal position and GDP growth.

GDP:

purchasing power parity - $40.05 billion (2004 est.)

GDP - composition by sector:

agriculture: 55%
industry: 11%
services: 34% (2000 est.)

Agriculture products:

coffee, sugar, palm oil, rubber, tea, quinine, cassava (tapioca), palm oil, bananas, root crops, corn, fruits; wood products 

Industries:

mining (diamonds, copper, zinc), mineral processing, consumer products (including textiles, footwear, cigarettes, processed foods and beverages), cement

Transportation

Waterways:

15,000 km (navigation on the Congo curtailed by fighting) (2004)

Pipelines:

gas 54 km; oil 71 km (2003)

Ports and harbors:

Banana, Boma, Bukavu, Bumba, Goma, Kalemie, Kindu, Kinshasa, Kisangani, Matadi, Mbandaka

Airports:

230 (2003 est.)

 

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