Digital reforms could boost GDP, mobile users in DRC

The Democratic Republic of Congo (DRC) could unlock 9.8 trillion Congolese francs (US$3.5 billion) in additional GDP contribution and connect 9.7 million more unique mobile Internet users by 2029, if targeted policy and infrastructure reforms are implemented.

That is a key takeaway from a new report from the GSMA, titled: Driving Economic Growth through Digital Transformation in DRC, launched at the Digital Africa Summit in Kinshasa this week.

The GSMA claims that a digitally enabled economy powered by mobile infrastructure could be a catalyst for growth, inclusion and productivity in the DRC across key sectors such as agriculture, mining and public services.

It highlighted that reforms were needed to bring down device costs to boost smartphone penetration and increase broadband adoption in the central African nation.

It also said an improved tax and regulatory environment would reduce operators’ costs, which would allow them to invest more in network coverage.

Challenges facing the digital economy

The DRC is home to more than 100 million people, with a youthful population and rising demand for digital services.

Mobile phones are the most widely used tool for accessing the Internet, and mobile money usage has grown amongst unbanked and underbanked citizens.

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Despite this momentum, the DRC’s Internet penetration remains low compared to regional standards.

The GSMA said that at the end of 2024, there were 33 million mobile Internet connections in the DRC, giving a mobile Internet penetration rate of just under 35%.

When accounting for multiple SIM usage and other factors, it is estimated that in 2024 the number of unique mobile Internet users in the DRC was 18.1 million, or about 17% of the total population.

The GSMA said this means that approximately one-third of the adult population has access to the Internet via mobile devices and affordability remains a significant barrier.

“Mobile devices and data plans are out of reach for many, and rural areas suffer from weak infrastructure and inconsistent electricity access. The mobile sector itself is burdened by complex tax regimes and regulatory inefficiencies that stifle further investment,” the GSMA said.

Coverage grows 

GSMA data shows that the DRC’s mobile broadband coverage has increased steadily since 3G was launched back in 2011, and 3G networks currently reach 68% of the population.

However, 3G coverage lags far behind the African average of around 95%, because of the high cost of installing and running infrastructure in remote locations.

Related:Sub-Saharan Africa maintains mobile money lead – GSMA

4G coverage has been growing rapidly as operators have invested to improve and upgrade sites. 4G coverage now reaches about 57% of the country, up from just 42% in 2020.

DRC broadband network coverage by technology and region. (Source: GSMA Intelligence)

The report said the digital economy in the DRC is already a significant part of the overall national economy and the telecoms industry is a significant component of national GDP and contributor to government revenues.

“However, the economic contribution of digitalization could be much greater than just the telecoms sector,” the GSMA said.

It believes that further digitalization will improve productivity and support investment and will improve the quality and coverage of public services.

“The Democratic Republic of Congo has the opportunity to leapfrog into a digital-led-economy. But to fully realize this potential, reforms in fiscal policy, spectrum management, and energy infrastructure must be prioritized,” said Angela Wamola, head of Africa at GSMA.  

A call for policy reform

The report emphasizes that targeted fiscal and regulatory reforms are essential to unlocking the DRC’s growth potential. 

The mobile sector’s contribution to total GDP was estimated at around $64 billion in 2022 and $66 billion in 2023.

However, mobile operators in the DRC currently face a complex taxation environment that challenges the sustainability of investment, the GSMA said.

Simplifying and harmonizing taxes, increasing access to renewable energy for telecom infrastructure, and ensuring affordable access to spectrum will be key enablers of growth, the industry body added.

The GSMA put forward several recommendations for the DRC to accelerate inclusive digital growth:

The GSMA believes if these recommendations are implemented it would result in significant growth in mobile Internet users over the next five years and result in increased adoption of digital technologies across economic sectors, improving productivity and job creation.