The city of Goma, the capital of North Kivu in the eastern Democratic Republic of Congo, is currently experiencing an unprecedented economic and financial crisis following the takeover of the city by Rwanda-backed M23 rebels last month. The once-bustling streets of Goma are now eerily silent as businesses struggle to survive, and financial transactions have come to a near halt due to the closure of banks and cooperatives. This has led to extreme hardships for the city’s two million residents, with many unable to meet their basic needs.
Residents, such as Gaston Mumbere, are deeply concerned about how they will manage to pay their bills, with banks no longer functioning and money circulation grinding to a standstill. Mumbere expressed the grave reality, noting that while weapons may kill people, hunger will also claim lives due to the lack of economic activity.
Local markets, like Virunga, are facing a severe downturn. Sellers, such as Collette Musumba, are struggling to make sales. Previously able to earn up to 100,000 Congolese francs ($36) a day, she now barely makes 30,000 francs ($11), and often returns home empty-handed after a long day. The economic collapse has also affected government and business employees, who have not received their salaries since the M23 took control.
Experts, like Deogracias Bengehya, a professor of economics at Goma University, fear that the economic system could collapse entirely. With customers losing trust in both banks and microfinance institutions (MFIs), there is little hope for recovery in the short term.
The M23-appointed governor of North Kivu held talks with banking officials in mid-February, aiming to reopen the banks under secure conditions. However, no solution has been found yet. The ongoing crisis highlights the fragility of Goma’s economic system and underscores the need for urgent intervention to prevent further humanitarian suffering in the region.
