The Central Bank of the Democratic Republic of Congo (COB) has announced immediate intervention in foreign exchange markets to counter surging speculation against the Congolese franc (CDF), as the currency hit a record low of 1,150 CDF per USD. The move comes amid deteriorating security in North Kivu and widespread bank closures in Goma. The central bank is deploying emergency liquidity tools and restricting unauthorized forex trading.
- CDF hit a record low of 1,150 CDF/USD on January 11, 2026
- COB intervened with $150 million in reserve sales and trading curbs
- 80% of banks and ATMs inactive in Goma due to conflict
- Unofficial exchange rates reached 1,200 CDF/USD in Goma
- CDX index surged 22% in 24 hours, signaling rising financial stress
The Central Bank of the Democratic Republic of Congo (COB) has intervened directly in foreign exchange markets to stabilize the Congolese franc (CDF), following a sharp depreciation that pushed the currency to a record 1,150 CDF/USD on January 11, 2026. The intervention includes the sale of $150 million in reserve assets and the imposition of temporary trading limits on non-authorized dealers. This marks the first direct market operation by the COB since the collapse of financial services in North Kivu province, where M23 rebels, backed by Rwanda, have overrun key urban centers including Goma since late 2025. The CDF has lost over 40% of its value against the U.S. dollar since the start of 2025, driven by capital flight, disrupted supply chains, and the near-total closure of commercial banks in conflict-affected zones. In Goma, where over 80% of ATMs and bank branches are non-operational, residents rely on informal exchange networks, with unofficial rates reaching 1,200 CDF/USD. The COB's measures aim to restore confidence and prevent a full-blown currency collapse that could undermine export revenues, particularly from cobalt—a critical battery metal mined in the region. The central bank’s actions have triggered a modest rebound in the CDF, with the rate easing to 1,115 CDF/USD by midday on January 11. However, market volatility remains elevated, and the CDX index, which tracks financial stress in the DRC, rose 22% in the past 24 hours. Investors are closely monitoring the COB’s ability to sustain liquidity support amid ongoing military escalation and a shrinking tax base. The move may also prompt international financial institutions to reassess emergency funding proposals for the country’s fragile banking system.