DR Congo’s currency continues to depreciate due to pre-election spending, security issues, and lower-than-projected revenues influencing the exchange rate with the USD. The Congolese franc has lost over 20% of its value against the USD this year, dropping from approximately 2,000 francs to over 2,400. The IMF has expressed concern over possibly over-optimistic government revenue projections. In Q1 2023, the central bank sold USD 100 mln of its reserves, which, coupled with tax payments from copper miners, slowed the franc’s depreciation slightly. The central bank recently raised its benchmark interest rate by 200 bps to 11% and mandated commercial banks to hold 10% of franc deposits in reserves as francs, up from 0%.