DRC Government Rescinds Tax on Goods from M23-Controlled Areas Following Backlash

The DRC government reversed its tax directive on goods from M23-controlled areas following public outcry. The DGDA had initially proposed taxing imports from Goma, Bunagana, and Ishasha. Authorities clarified that customs laws apply nationally, while criticism arose regarding economic implications of creating internal borders. The incident emphasizes the challenges faced by the DRC amid ongoing rebel control and economic disruption.
The government of the Democratic Republic of the Congo (DRC) has rescinded a controversial tax directive affecting goods from regions controlled by the M23 rebel group after facing backlash from the public. The Congolese General Directorate of Customs and Excise (DGDA) initially proposed that all goods arriving from Goma, Bunagana, and Ishasha be categorized as new imports subject to taxation.
On Wednesday, Jean-Louis Bauna, the deputy director-general of customs, denounced the original directive as a “forgery” and reaffirmed that customs regulations apply throughout the national territory. The backlash intensified following wide commentary on social media and concerns over national unity, leading to communication with neighboring countries, Uganda and Tanzania, about the tax proposal.
The DRC authorities, based in Beni after M23’s control over Goma, faced criticism for failing to address the implications of such a directive. Paul Kayembe, director of the North Kivu DGDA, denied any prior consideration of the taxing plan, attributing the controversy to malicious actors and alleged Rwandan influence.
Reports suggest that these proposed tax measures were a misguided attempt to recover lost revenue from border trade within rebel-held areas. In response to the uproar, the DGDA publicly reasserted its commitment to abide by DRC laws and contribute to efforts to reclaim occupied territories. Opposition from notable Congolese figures highlighted concerns about creating economic barriers within the nation.
Despite the reversal, confirmed sources within the DGDA indicated that the memo for the new tax was authentic, revealing complexities in customs management in rebel-occupied territories. The conflict has seriously disrupted the economic landscape of the region, especially in Goma, where local banks are shuttered, pushing residents to seek banking services across the border in Rwanda.
In conclusion, the DRC government’s decision to retract the tax directive reflects heightened public pressure and concerns over national unity in a politically sensitive context. The administrative challenges and economic disruptions caused by the M23 rebels necessitate careful navigation as Congolese authorities seek to restore order and manage economic stability within the region.
Original Source: www.zawya.com