Supporting Natural Resource Transparency and EITI in DRC

In collaboration with the World Bank's Development Grant Facility, RWI provided financial support to the Democratic Republic of Congo’s Eastern Kasai Coalition, which includes the groups Solidec, CRONGD, FODAGRI, ASDH, AJI and Syndicats des Travailleurs. This project sought to promote the active participation of government and non-government actors in the Extractive Industry Transparency Initiative (EITI) process in the DRC's Eastern Kasai Province, which is primarily a diamond-rich region.

Project activities focused on producing educational tools such as training modules on EITI and the Kimberly process, current taxation systems, and mining codes, and holding multiple workshops at the national and provincial level to build the capacity of nonprofits and provincial assemblies on issues and mechanisms of good extractive industry governance. The workshops focused particularly on EITI principles and criteria, the Kimberly process and national measures concerning natural resources, such as mining and forest codes and ministerial orders.

According to the Mining Ministry, a 3.75% export tax is charged on the total value of diamonds exported. One percent of these revenues are supposed to be returned to the producing regions. Unfortunately, weak institutions and corruption usually keep producing provinces from receiving the full amount they are due. Fundamental reforms are required to improve the extractives sector in the DRC, but local governments and civil society often lack the capacity and knowledge to enforce such reforms. Consequently, the project to support improved transparency in the DRC was intended to build the capacity and awareness of provincial authorities and regional civil society organizations to help them push for internal reforms and regulations that support responsible and open management of natural resource revenues.

The Netherlands Institute for Southern Africa (NIZA), the fiscal agent for the project, had considerable experience working on economic justice and fiscal transparency issues in DRC and strong local knowledge and capacity. All of NIZA's activities in Southern Africa have taken place under the auspices of local partner organizations in urban and rural affected communities, and its main DRC partners are core members of the country's Natural Resources Network. As a country just emerging from conflict, it is imperative that the DRC's NGOs learn how to work effectively and soundly with international donor support, and this project represented commendable steps towards that goal. For more information on the activities of NIZA, please see www.niza.nl/.