DRC Advances Local Content Law with New Subcontracting Guide
The recent signing of the Sectoral Guide on Subcontracting marks a major step forward in the Democratic Republic of Congo’s efforts to implement the Local Content Law, which is currently in development.
This new guide aims to streamline the application of legal texts governing subcontracting across key sectors of the national economy.
After months of collaborative work between the Agence de Régulation de la Sous-Traitance dans le Secteur Privé (ARSP) and the Federation of Congolese Enterprises (FEC), representatives from both organizations officially signed the validation report of the subcontracting sectoral guide at FEC’s national headquarters.
The event was attended by industry stakeholders, including a representative from the Ministry of Industry and SME Development.
FEC President Robert Malumba Kalombo emphasized that this guide was created to align legal regulations with the practical needs of the industry.
“The challenge was the application of the law. Economic operators and the ARSP agreed that we needed a joint committee to create a document supporting the legal framework to ensure smooth implementation.
We brought together experts from both the FEC and ARSP, who worked for months to clarify the application and ensure alignment. Now, we’re all speaking the same language,” said Kalombo.
ARSP Director General Miguel Kashal Katemb highlighted that this guide is crucial for ensuring the effective and consistent enforcement of subcontracting laws.
“This guide clearly defines the scope of each sector in the DRC, promoting a positive business climate. It is vital for economic operators to understand the law’s purpose and boundaries.
Today’s signing strengthens the collaboration between ARSP and FEC, aligning with the vision of the Head of State, who upholds a compliant and standardized business environment,” noted Katemb.
Both ARSP and FEC experts welcomed the guide’s completion, which addresses key issues in interpreting the legal frameworks governing subcontracting across various sectors of the economy.
“We faced significant challenges. In 2023, ARSP conducted inspections, but some entrepreneurs were unclear on the requirements.
We received multiple complaints from businesses seeking clarification. It became essential for ARSP and FEC to establish this guide.
Moving forward, our next priority will be revisiting the Subcontracting Law and the Congolese Entrepreneurship Law. These updates will empower Congolese entrepreneurs to access contracts with major companies in mining, brewing, and other sectors,” explained Bruno Mononge, FEC Managing Director.
The sectoral guides were designed to clarify interpretation issues sector by sector, ensuring that the Subcontracting Law’s application is consistent and well understood across the DRC’s economic landscape.