Banking Crisis Forces UN to Launch Alternative Cash Transfer System in Eastern Congo
Goma, 28 April 2026
The World Food Programme has developed an innovative biometric card system to distribute aid after banks closed in M23-controlled areas of eastern Democratic Republic of Congo. Only $39 million of a planned $75 million in cash transfers reached families in North and South Kivu provinces by 2025, prompting the creation of ‘Food in Markets’ programme where 30,000 people receive $15 loaded onto cards for use at local traders.
M23 Control Triggers Banking Shutdown
The banking crisis in eastern Democratic Republic of Congo emerged following the closure of financial institutions in areas controlled by the M23/AFC rebel group [1][3]. Kinshasa authorities implemented this drastic measure with the stated aim of protecting depositors and preventing the rebels from accessing banking resources for their operations [1][3]. The decision followed M23’s capture of the strategic city of Goma, further destabilising the financial infrastructure across North and South Kivu provinces [3]. This closure has created a humanitarian crisis that extends far beyond simple banking inconvenience, fundamentally disrupting the flow of aid to some of the continent’s most vulnerable populations.
Massive Aid Shortfall Emerges
According to the World Food Programme’s 2025 annual report, the banking closures have resulted in a dramatic shortfall in humanitarian cash transfers [1]. Of the $75 million in cash assistance scheduled for deployment in North and South Kivu provinces in 2025, less than $39 million has been delivered [1][3]. This represents a delivery rate of only 52% of planned assistance, leaving millions of conflict-affected civilians without critical financial support. Cash transfers, beyond traditional food distribution approaches, enable families to choose what they purchase, buy from local markets, and support local traders whilst reducing equipment costs for aid organisations [1].
Innovative ‘Food in Markets’ Programme Launches
In response to the banking crisis, WFP developed an alternative solution called ‘Food in Markets’ in the Masisi area of North Kivu province [1]. The system utilises biometric cards loaded with $15 per person, which can be used at 17 local traders equipped with electronic terminals [1]. Families can independently choose from rice, beans, maize flour, fish, and cooking oil, providing both dignity and choice in their food assistance [1]. The programme has reached 30,000 people, with 83% reporting satisfaction with the system [1]. Local businesses have also benefited significantly, with 75% of food basket items now available in shops, revitalising markets through this new cash circulation [1].
Regional Repatriation Efforts Gain Momentum
Parallel to the banking crisis, significant refugee repatriation movements are reshaping the regional humanitarian landscape. On 23 April 2026, the first major voluntary repatriation of Congolese refugees from Burundi commenced, with 470 people departing from Busuma camp in eastern Burundi [6]. UNHCR Representative Brigitte Mukanga Eno indicated that convoys will continue at approximately 1,000 people per trip, with returns initially directed to areas considered stable, particularly Uvira, before onward movement to places of origin [6]. Kinshasa authorities report that over 43,000 returnees have already reached South Kivu since the border reopened in March of the previous year [6]. The border had been closed after M23 captured Uvira in December 2015, withdrawing one month later [6].
Limited Scale Highlights Ongoing Challenges
Despite its success, the biometric card programme remains severely constrained in scope. Funded by the United Kingdom, Norway, Sweden, and Canada [1], the initiative currently covers only the Masisi area [1]. As long as banks remain closed, humanitarian assistance cannot reach all families requiring support across North and South Kivu provinces [1]. The programme’s limitations underscore the broader challenge facing humanitarian operations in conflict zones where traditional financial infrastructure has collapsed. The initiative represents both an innovative adaptation to crisis conditions and a stark reminder of the scale of need that remains unaddressed across the wider region. For the thousands of refugees and internally displaced persons across eastern DRC, access to both immediate assistance and long-term stability remains precarious as banking services remain suspended in rebel-controlled territories.