2017 Q1 Report CONTENTS

1. Results & Overall Progress

2. Sectors

3. Provinces

4. Gender Equality and Social Inclusion (GESI) RESULTS & OVERALL PROGRESS SUMMARY HIGHLIGHTS

ELAN RDC launched several new partnerships and reached key milestones for existing partnerships in quarter one, while completing the annual review of 2016 activities.

Technical Achievements: ✓ Mimosa, an agribusiness in Katanga, is expanding thanks to a new received from a commercial ✓ Copak, a cocoa cooperative, received quality certifications expected to raise farmer income ✓ Human Network International prepared the launch of financial education messages through the 155 platform ✓ FINCA, a microfinance institution, announced its first rural agent in Ex-Katanga region, as an extension to the pilot in

Other Achievements: ✓ Completed Annual Review of 2016 activities ✓ Reviewed A/R recommendations and developed action plan ✓ Progress made implementing financial improvement plan ✓ Increased collaboration with Essor ✓ Increased resourcing in preparation for additional programme ramp during next fiscal year SELECT RESULTS

Out of a total of 70 pilots (completed, on-going or just started) across ELAN RDC, 19 have been field monitored in Q1. Data has identified the following:

Over 93,000 new poor people have demonstrated improved business practices of which, 16,802 poor women

Of the new beneficiaries in in Q1 demonstrating improved business practices, 94% are poor producers vs. 6% consumers.

89% Ag-Perennial 90 % in East 47% Coffee 7 % in South 53% Cocoa 2 % in West 5% Renewable Energy 1 % in North 77% Pico 23% ICS 4% Ag-Non Perennial 1% Access to Finance SELECT RESULTS

Results from the selected 19 interventions:

Business Enabling Environment with ASSECAF Cocoa production quality improvement As a result of a successful advocacy campaign in 2015, A total of 2,748 poor producers, of which 488 poor export tax of cocoa and coffee have been respectively women, have demonstrated improved business reduced by 2.66 and 3.16% in late 2016. Overall, the tax practices. In the North with CTM, 44 cocoa producers reduction has benefited a net total of 78,905 SHFs in received technical assistance for fermentation aiming to the East, of which 15,785 poor women. There is a 46- improve production quality. In the East with COPAK, 54% split between coffee producers (36,434 SHFs) and 2,704 new cocoa producers got certified IMO, on top of cocoa producers (42,471 SHFs) impacted in the region. the 5,296 certified last year.

Renewable energy Rural-agents banking with FINCA A total of 5,668 poor consumers changed their In Kongo Central, 1,063 poor people, of which 319 business practices through the effective use of a cost- women, opened accounts following the expansion of the saving equipment. In the East, the first 100 new users of rural agents’ network. To date, there are 24 rural agents solar lamps from GoShop through a credit from Procredit in the province who are working to get first time FINCA were registered. In the South, 3,683 users of solar accounts users. lamps from DevSolaire and 1,122 users of ICS from HaltBank have begun using renewable energy. In the North, 763 poor consumers adopted solar lamps sold by Inputs distribution EcoMwinda. A total of 4,935 SHFs, of which 1,901 poor women, have demonstrated improved business practices through the purchase and use of improved seeds across the country, particularly soya in the East, maize in the North and South, and other seeds in the West with access to technical assistance in the use of seeds. BENEFICIARY PROJECTIONS

Based on current information, estimates are that the programme will raise the income of approximately one million Congolese by at least £30 by the year 2020.

1,000,000 946 118

800,000 715 931

587 584 Agriculture (non-perennials) 600,000 Transport Renewable energy products Agriculture (perennials) A2F: SMEs 400,000 A2F - BB

200,000

0 2017 2018 2019 2020 MARKET SYSTEM CHANGES

As part of completing the 2017 business plan, ELAN RDC reviewed and refined its target Market System Changes (1/2)

MARKET MARKET SYSTEM CHANGES PURSUED GROUPINGS

In this sector, the first 4 MSCs were revised to provide further clarity such as to include mobile payment schemes in the case of access to finance (1.3)

MSC 1.1 Traders, Exporters and/or Processors Set-up Outgrower Schemes and Provide Extension Service to Smallholder Perennial Farmers Agriculture MSC 1.2 Traders, Exporters and/or Processors Support the Installation of Processing Equipment, Supporting Infrastructure, and Value Adding Tools for Producers MSC 1.3 Financial Institutions Commercialize Credit Products Adapted to the Needs of Exporters, Traders, Cooperatives MSC 1.4 Industry Actors Organize to Develop/Promote Strategies to Stimulate Tax Decrease MSC 1.5 Exporters/traders ensure Congolese coffee/cocoa marketing

MSC 2.1 Inputs suppliers provide quality inputs and advisory services to SHFs MSC 2.2 Agribusinesses and mines provide access to pre-financed inputs and services to SHFs Non-perennial MSC 2.3 Agribusinesses provide access to secured markets to SHFs Agriculture MSC 2.4 Agribusinesses access finance MSC 2.5 Agribusinesses develop industry-wide awareness and advocate for a more favourable tax regime

In this sector, the MSCs were revised to broaden the scope of financial education and address specific constraints related to supply chain digitalization

Branchless MSC 3.1 MNOs and Financial institutions develop financial education programs and other tools to increase confidence in Banking mobile money and other digital fiancial services MSC 3.2 MNOs and financial institutions offer appropriate products/services to poor consumers and entrepreneurs MSC 3.3 MNOs and financial institutions improve agents’ quality of service and expand agents network to serve poor consumers and ensure supply chain digitalization MARKET SYSTEM CHANGES

As part of completing the 2017 business plan, ELAN RDC reviewed and refined its target Market System Changes (2/2)

MARKET GROUPINGS MARKET SYSTEM CHANGES PURSUED

SME Access MSC 4.1 Financial institutions market adapted and innovative financial products to Finance MSC 4.2 Consulting companies provide technical assistance in business management to SME owners.

In this sector, MSCs were revised to cover market constraints in road transport

Transport MSC 6.1 Transporters and traders advocate for a lower tax regime for river and lake transport MSC 6.2 provide boat operators and traders with adequate financial products MSC 6.3 Focal points improve smallholder agricultural product aggregation

In this sector, MSCs were revised to include the type of actors providing the most adequate financial products to poor consumers willing to access cost-saving products Renewable MSC 7.1 SMEs produce or import highly efficient energy technologies Energy MSC 7.2 SMEs implement innovative communication, marketing and distribution models to reach BoP households MSC 7.3 Banks provide SMEs & consumers with adequate financial products MSC 7.4 SMEs advocate for more favorable tax regime COORDINATION WITH ESSOR ELAN RDC and Essor, the complimentary DFID-funded PSD poject focused on improving the business climate in DRC, have been collaborating since programme inception. The two programmes have collaborated during Q1 at both the strategic and operational levels.

Key Strategic Operational Quarter 2 Achievements Engagement Progress Objectives

• Finalised a joint study on the • Reviewed collaboration to • Following a workshop in • Hold multiple sector strategy insurance sector to gauge date, highlighting strengths , built ELAN RDC meetings to align new potential demand and identify and challenges with the joint stakeholders into Essor field research initiatives (Access to Finance, critical regulatory and efforts on cross-border trade / tax issues. Coffee) operational issues that must Based on the outcome, an be addressed as the sector is • Considered a framework for intervention will be developed using privatised. future collaboration the framework discussed.

• The Access to Finance teams met to discuss opportunities for collaboration on financial education, facilitation of mobile payments, and next steps on leasing and insurance. QUARTER TWO PRIORITIES

In the second quarter of 2017, ELAN RDC will continue developing a series of partnerships designed to contribute to the scale up strategy. This will be accompanied by several

Intervention Development: - Perennial Agriculture: Saveur de Kivus coffee tasting event to further raise profile of Congolese coffee and launch coffee sector mapping - Non-perennial Agriculture: Prepare access to market partnerships with Katanga harvest approaching and plan response to fall army worm - Branchless Banking: Finalise several large partnerships including to extend financial inclusion, and launch message platform - SME Finance: Conduct evaluation and disseminate lessons from latest collateral management agreement pilot and develop new interventions in leasing - Renewable Energy: Launch several partnerships including Altech and research study on the impact of renewable energy products on households and businesses - River Transport: Extend pilot with transitaires to leverage the impact of the focal point model and finalise partnership for river transport information system

Programme Management: - Respond to annual review recommendations including confirming changes to logframe indicators - Based on revised logframe indicators, confirm any changes to targets SECTORS PERENNIAL AGRICULTURE Quarter one saw the continuation of a number of activities that balance production- and process-level training with the introduction of value adding equipment, systems and tools—a design that supports progress towards consistency and quality.

Cocoa certification expected to boost revenue for nearly 8,000 farmers – COPAK, one DRC’s major cocoa market actors received its final audit from IMO in February 2017 following a rigorous period of training and testing supported by ELAN RDC. As a result of this $12k investment, the farmers involved are expected to receive 20 more cents per kg for their coffee, leading to anticipated additional income of $400,000 during the next crops harvested (June-August and November-April). ELAN RDC's MRM team will measure and validate results in the coming months.

Quarter 2 Key Activities - Saveur du Kivu Coffee Supply Chain and Cupping Event - Launch of Coffee Mapping Dashboard - Workshop on Harmonized Extension/Cooperative Management Curriculum (w/ ASSECCAF, Café Africa, ECI) - Launch of 2 Coffee Processing Equipment and Producer Training Activities w/ Leading Exporters PERENNIAL AGRICULTURE: ACTIVE PARTNERSHIPS ELAN RDC has 4 active partnerships across the country. Bolded lines indicate partnerships launched during this period.

Region Partner Current Stage Budget Elan Partner

East Masasi Micro washing station under construction $37,223 $13,111 $24,111

Utz + organic certification obtained for 7,900+ East COPAK $130,810 $12,000 $118,810 cocoa producers in Lume

North CTM Cocoa processing and credit line ongoing $20,405 $14,410 $14,410

1,700 SHF benefitting from collection centers & South SCAK $126,885 $36,388 $90,498 fermentation boxes PERENNIAL AGRICULTURE: PIPELINE

Potential Region Description Partner

Virunga dry East Virunga will test coffee drying station as an alternative to micro washing stations stations

East Copak Management support and fermentation intervention

East Muvunga Cocoa fermentation, GAP and certification for over 2,000 farmers

WWWF/ ECI/ East Coffee processing stations in the East of DRC SCHLUTER NON-PERENNIAL AGRICULTURE Activities in quarter one focused on inputs distribution in both the North and East regions. In the North, several seed distributors worked with ELAN RDC for a second season, expanding their distribution network. A2F registered several wins including a successful CMA operation and to Mimosa and Bon Berger

In January, ELAN RDC finalized a partnership with a regional seed distributor, NASECO. The Uganda-based company began its expansion into Eastern DRC, receiving technical assistance from ELAN. During the first quarter, over 5 tons of seed were sold to farmers, while 2,700 demonstration plots were set up. During these first months of operations, NASECO has been building demand for its seeds, Quarter 2 Key Activities but has also experienced the - Finalise Access-to-Market interventions challenges of accessing farmers - Develop response to fall army worm in remote, difficult-to-reach - Work with large partners to develop buying stations to areas. increase % of local product purchased by large millers. NON-PERENNIAL AGRICULTURE: ACTIVE PARTNERSHIPS ELAN RDC has 15 active partnerships across the country. Bolded lines indicate partnerships launched during this period.

Region Partner Current Stage Budget Elan Partner

Harvesting for this rice outgrower scheme is South Mulagricom 2 $69,500 $12,000 $57,500 planned for the month of May

East NASECO SEEDS Maize seeds sales and distribution underway $118,361 $78,878 $39,483

Rice seed multiplication finalized, distribution East ETS MUNGA $73,395 $33,030 $39,964 underway

Maize seed marketing has ended in Feb and Seedco South Seedco 2 $140,994 $ 108,214 $ 32,779 is focusing on demo plots

South Zamseed Zamseed's seed distribution network $42,390 $24,990 $17,400

Bon Berger provides technical support to 210 South Bon Berger 3 - $110,250 - farmers that have used their inputs on credit

Mimosa provides support to their Seed multiplier South Mimosa 4 $135,684 $27,878 $107,806 group

South AgriForce Input credit to be repaid after harvest in Q2 $7,380 $6,390 $990 NON-PERENNIAL AGRICULTURE: ACTIVE PARTNERSHIPS ELAN RDC has 15 active partnerships across the country. Bolded lines indicate partnerships launched during this period.

Region Partner Current Stage Budget Elan Partner

North AGROPY Maize and groundnut seed marketing underway $12,630.00 $9,750.00 $2,880.00

North ANP Maize and groundnut seed marketing underway $28,462.00 $13,776.00 $14,686.00

West Ceprosem Horticulture seed marketing being $21,680.00 $10,750.00 $10,930.00

North COPAPI Maize and groundnut seed marketing underway $18,143.00 $13,490.00 $4,653.00

North CTM 2 Maize seed marketing underway $12,760.00 $9,930.00 $2,830.00

North GARGVU (phase 2) Maize and groundnut seed marketing underway $26,362.00 $11,676.00 $14,686.00

North PROSAVIDE Maize and groundnut seed marketing underway $12,630.00 $9,750.00 $2,880.00 NON-PERENNIAL AGRICULTURE: PIPELINE

Potential Region Description Partner

Ceprosem Increasing of Ceprosem’s local seed production and improving its marketing and West (Phase 2) distribution in the West

Development of a wider distribution network with a technical back up - production South Seedco (Phase 4) relocation in the South

South Zamseed Development of a wider distribution network with a technical back up in the South

Replication - commercial seeds production South Bon Berger Local seed production and distribution in the South Scale up of distribution network of local seeds South MIMOSA production and distribution in the South SCAK South Provision of extension services to producers (AFGRI + scale up of OGS)

East Regina Mundi Local Seed production + A2M for SHFs in Moba and Kalémie

South Gocongo Organise supply chain for maize in remote production zones in the South

South AMC Organise supply chain for maize in remote production zones in the South

South IFS Organise supply chain for local produce for mines catering in the South RENEWABLE ENERGY During the first quarter, two distribution models, the Banking agent model and the Distribution partner model were discussed with initial partners, respectively Dlight design and Altech. Altech to scale up direct credit sales model – Altech resumed buying in March 2017, and decided to entirely switch to the ambassador model, tested in the framework of the challenge fund. ELAN supported Altech in negotiating with a new supplier, Omnivoltaic, as well as Angaza, a technology partner, to bring DRC its first Pay as you Go solution. The new partnership will allow Altech to avoid inventory shortages by ensuring continuous supply and to set-up management tools and strengthen its team to sell at least 25,000 devices in 2017.

Quarter 2 Key Activities - d.light plans to begin sales - Altech partnership finalized - Green Light Planet signs new distribution agreements in West and South regions - Burn tests market with latest cookstove technology - Following the mkopa board meeting, support the company with planning its DRC market entry RENEWABLE ENERGY: ACTIVE PARTNERSHIPS

ELAN RDC has 7 active partnerships across the country.

Region Partner Current Stage Budget Elan Partner

Go Shop – PCB has been extending consumer credit for solar East $3,500 $1,200 $2,300 Procredit Bank lamps in

Eco Mwinda North Eco Mwinda has established its network in $45,275 $16,250 $ 29,025 Energie 2

The country director has negotiated distribution National Dlight $1,000,000 $500,000 $500,000 agreements and ordered stock (for sale in May)

West Biso Na Bino 2 BnB hired a new manager $160,220 $68,850 $91,370

Dev ensured continuous supply and explored Pay South Dev Solaire 2 $55,790 $28,600 $27,190 Go with ELAN

South Halt Bank 2 Halt bank has tightened credit sales criterias $48,280 $26,638 $ 21,642

South FLOW Flow trained its marketing team $166,454 $23,888 $142,566 RENEWABLE ENERGY: PIPELINE

Potential Region Description Partner

National Altech Introduce Pay Go through ambitious direct sales scheme

West & South Greenlight Support marketing through new major distribution channels

Improve the distribution strategy of PICO lamps PV through the Mwinda na biso West Eco-Mwinda campaign in

South Dev Solaire Expand distribution of PICO lamps & test pay as you go in the South

National Burn Organise distribution network for imported ICS in East, North and South

South FLOW Expand production and distribution network for ICS in the South SME FINANCE In Q1, ELAN has focused its efforts towards access to finance in Agriculture. The replication of CMA at scale has proved a success and loans have been disbursed to local seed multipliers. PCB has disbursed a $25k loan to Mimosa. Mimosa has used this loan to double its seed production from 20 to 40ha and finance the last stages of production including harvesting ang post harvesting, processing and packaging. She has contracted 4 partners in Haut-Katanga and 1 Lualaba to produce 100 tons of seeds. Access to finance is a key milestone for Mimosa and other local seed stakeholders as it ensures both the scalability and sustainability of the industry.

Quarter 2 Key Activities

- Sign PA to develop leasing products with PCB and Rawbank - Recruit consultant to explore BDS - Replicate and scale up CMA (BCDC) - Explore insurance interventions ahead of ARCA granting licenses SME FINANCE: ACTIVE PARTNERSHIPS

ELAN RDC has 6 active partnerships across the country.

Region Partner Current Stage Budget Elan Partner

West, Groupement d'Interet Economique (GIE) loan Procredit Bank 4 - - - North support

West, Bank of Africa 2 Guarantee fund - - - North

East, Collateral management agreement with Go Congo Comexas 2 $320,000 $130,000 $190,000 South (maize)

National Rawbank Leasing study finalized $23,616 $11,808 $11,808

West, Procredit Bank 2 Guarantee fund - - - North

North BTC Cocoa trade financing product - - - SME FINANCE: PIPELINE

Region Potential Partner Description

Development of the agriculture portfolio and expansion of the Advans Banque West Advans Banque network in the West

South PCB/Comexas/ Gocongo Expansion for 3,500 tons of maize (credit of USD 1,200,000) in the South

BCDC/Comexas/ Nouvelle South Replication with 3,500 tons of maize in the South Minoterie de Likasi

South PCB/ Mulimaj /DEM Leasing on tractor in the South

Rawbank/ Nouvelle South Minoterie de Likasi/ Leasing on truck in the South IVECO

South PCB Direct finance of producers for production in the South BRANCHLESS BANKING During the first quarter, several branchless banking interventions reached key milestones, as FINCA further expanding its agent network. In addition, ELAN RDC presented its market system development approach to a regional cash transfer working group in and at a digital finance conference in Nairobi. FINCA expand its outreach in rural areas - In order to increase financial inclusion in rural areas, ELAN RDC partners with FINCA DRC to extend the microfinance institution’s geographic reach and demonstrate a successful business model for rural agent banking. During the first quarter, FINCA added an additional 16 rural agents and opened over 1,000 new accounts. These new agents include 1 new agent in southern DRC. Quarter 2 Key Activities - Disseminate financial education messages through HNI, financed by financial institutions - Launch partnership with Trust Merchant Bank to extend light branches to rural areas of DRC - Finalise plans for new pilots with Vodacash - Review OXUS partnership in light of Microcred acquisition BRANCHLESS BANKING: ACTIVE PARTNERSHIPS ELAN RDC has 4 active partnerships across the country. Bolded lines indicate partnerships launched during this period.

Region Partner Current Stage Budget Elan Partner

West Oxus Restructuring after Microcred acquisition $233,000 $61,000 $172,000

Central, Rural agents network has expanded into Katanga FINCA 2 $900,000 $180,000 $720,000 South and new accounts have been signed

Central, Kick-off of the mobile banking (e-wallet + credit FINCA 3 $1,343,896 $270,000 $ 1,073,896 South scoring) project

National HNI Access to finance messages finalized $155,758 $52,320 $103,528 BRANCHLESS BANKING: PIPELINE

Potential Region Description Partner

Development of the innovative network of transfer with young Congolese entrepreneurs West & South Zoona in the West and South

South FINCA Development of branchless banking in rural areas in the South

Distribution network development in rural areas for Mpesa & financial inclusion in the South Mpesa (Vodacom) South

National TMB Light branches development in 11 rural areas

South TMB Develop distribution network for Pepele mobile & financial inclusion in the South

East Airtel Distribution network development for Airtel money in consumers products (bakery) TRANSPORT

While ELAN RDC focused much of its efforts on traders operating on the , studies were conducted on two heavily-used road transport corridors: the – Kinshasa route and the Kasumbalesa – route.

Freight forwarders explore 10 main ports in Equateur - During the first quarter, ELAN RDC worked to extend the reach of transitaires by conducting a joint study tour reviewing activity around 10 different ports. Freight forwarders have selected partners to launch their business in ports.

Quarter 2 Key Activities - Introduce new transport equipment - Develop leasing for vehicles - Test MIS for river transport - Explore new interventions in road transport TRANSPORT: ACTIVE PARTNERSHIPS ELAN RDC’s current transport interventions focus almost entirely on information dissemination and training.

Region Partner Current Stage Budget Elan Partner

North Action Plus Freight forwarding - - -

North Les Centristes Freight forwarding - - -

Alliance des North River transport tax advocacy - - - Armateurs

Association de Road transport public-private dialogue (Gemena- North transporteurs de - - - Akula road) Gemena

West, Baleinieres CEGs Whaleboat credits and savings groups / GIE loan - - - North GIEs support

North Pocal points Aggregation (focal points) - - - TRANSPORT: PIPELINE

Potential Region Description Partner

North Mulykap Introduce new types of vehicles for the transport of agriculture products

West Paywebphone Develop an MIS to facilitate the exchange of information for river transport

South Classic Coach Expand transport networks in the South through vehicle leasing REGIONS NORTH REGION

The first quarter of the calendar year is a critical sales period for inputs heading into the main season for non-perennial agriculture crops targeted by ELAN RDC, including maize and ground nuts.

Starting in March, ELAN RDC partners began their first major season (second overall) selling inputs without the subsidies previously provided by NGO projects. Sales were encouraging given the context, but challenges remain to build capacity in the distribution network.

Quarter 2 Key Activities - Finish current sales season for inputs, evaluate, and prepare partnerships for next season - Develop partnerships for access to finance through agency banking expansion with Trust Merchant Bank and Pro Credit Bank, (as well as financial inclusion with Mobile Money development with Vodacom) - Launch next phase of partnerships with traders in river transport, and finalise plans for information system in river transport NORTH REGION KEY ACTIVITIES Focus on economic actor in the supply chain of both locally produced food and solar product to increase the scale up on the program using access to finance Sector Update RIVER • Scoping of 10 additional small ports with transitaires to increase access to markets to additional TRANSPORT farmers

AG NON- • Facilitated sales of inputs through several partners setting up an additional 100+ sales points. PERENNIALS • Facilitated the first sales of certified seeds in South-Equateur (-Bikoro area).

PERENNIAL • Evaluated results of the first collaboration with Coco exporter CTM to increase access to AGRICULTURE markets to smallholder farmers • Engaged with importers to determine willingness to engage in upgrading supply chains in Cocoa and in the sprouting Coffee sector

RENEWABLE • Registered modest sales with partner Eco Mwinda. Due to low purchasing power and capacity ENERGY issues, partner experienced some challenges recovering repayments on credit sales

SME FINANCE • Engaged with partners to determine willingness to open branches in former Equateur (particularly Gemena) • Monitored loans currently disbursed under loan guarantee fund

BRANCHLESS • Made progress in discussions towards a partnership with Mpesa to facilitate salary payments BANKING for Feronia through mobile money. SOUTH REGION

In quarter one, the team monitored and strengthened current partnerships in all sectors. Rising world copper prices signal that the mining sector will likely pick up pace, improving the outlook for the overall DRC economy but particularly in the south. Farmers are facing a new challenge of late with the outbreak of the fall army worm in Southern DRC. ELAN RDC is working with stakeholders including private sector partners to develop an approach to effectively combat the insect infestation through the private sector.

Quarter 2 Key Activities - Launch access to market partnerships with GoCongo and possibly African Milling and AFGRI - Launch mobile money partnership with Vodacash and Mulimaji Mwema - Develop intervention concepts from road transport scoping study. - Review opportunities with mines to source locally. - Facilitate the replication of CMA and the launch of at least one leasing agreement SOUTH REGION KEY ACTIVITIES Following the planting season at the end of Q4 2016, this quarter saw a major focus on preparing access to market interventions.

Sector Update RENEWABLE • Continued partnerships with local partners Halt Bank, Dev Solaire and FLOW ENERGY

AG NON- • Hosted a workshop for national non-perennial agriculture team to prioritize interventions PERENNIALS for 2017 • Signed MOU with GoCongo to increase the miller’s sourcing from local production in other parts of the region

SME FINANCE • Made progress on the facilitation of lending in the agriculture sector including the disbursement of a loan to a two new agribusinesses • Continued the collateral management agreement • Engaged discussion on leasing with equipment providers and potential clients

BRANCHLESS • Developed concept for using mobile money in the agriculture inputs supply chain, to be BANKING finalised and piloted in Q2

TRANSPORT • Conducted a scoping study to identify opportunities for road transport particularly between Kolwezi and Lubumbashi, with the goal of increasing access to markets for agriculture producers EAST REGION North and South Kivu represent resilient economies bordering several other countries in the Great Lakes Region. Insecurity and porous borders undermine a potentially productive economic region. During the first quarter, ELAN RDC consolidated its offices in Goma to improve operational efficiency and team collaboration.

As part of ELAN’s ongoing effort to improve the role of women in market systems, several new agriculture pilots specifically incorporate opportunities for women to take on new roles, for example as sales agents / product placement officers. These different models will be compared to determine the most effective approach.

Quarter 2 Key Activities - Saveur de Kivu coffee event May 23-26 - Expansion of NASECO input supply pilot - Expected arrival of first d.light solar lamps for distribution in the region and throughout the country EAST REGION KEY ACTIVITIES

Quarter one was heavily focused on agriculture, with both encouraging results and new partnerships negotiated for both perennial and non-perennial agriculture.

Sector Update

PERENNIAL • Participated in AFCA coffee forum in Addis Ababa with key DRC coffee actors AGRICULTURE • Preparations began for Saveur du Kivu, including progress on coffee sector mapping • Certification achieved for cocoa producers through COPAK

AG NON- • Launched major partnership with input supplier NASECO PERENNIALS • Developed series of non-perennial agriculture partnerships with specific gender focus • Developed activity with East Africa Exchange (EAX) to build off taker market

RENEWABLE • Negotiated next partnership with Altech to introduce Pay As You Go technology ENERGY • Continued sales of solar lamps on credit through GoShop and Pro Credit Bank

BRANCHLESS • Presented ELAN RDC’s progress on branchless banking and mobile money solutions at BANKING a cash transfer conference for humanitarian actors. Co-presented with private sector actor (TMB). WEST REGION During quarter one, Kinshasa markets felt increased pressure as the Congolese Franc continued to slightly devalue against the U.S. Dollar. Tensions in Kongo Central and significant weather events temporarily slowed the movement of goods into Kinshasa.

As a result of ELAN RDC support, local seed producer CEPROSEM was able provide quality inputs to 924 SHFs (compared to target of 750). Following the successful first phase of the pilot, the partnership’s second phase will incorporate support to CEPROSEM to test the provision of advisory services to SHF's in Kongo Central in Q2.

Quarter 2 Key Activities - Launch of financial education messages with HNI - Renewable energy partnerships developed with Green Light Planet, Eco Mwinda, and beginning of sales by d.Light - Develop partnership on agriculture product distribution in a major Kinshasa market WEST REGION KEY ACTIVITIES Focus on economic actor in the supply chain of both locally produced food and solar product to increase the scale up on the program using access to finance Sector Update SME FINANCE • ELAN RDC continues to work with Rawbank and Pro Credit Bank to develop leasing products, including to rollout a bakery equipment leasing product with PCB and Midema. • ELAN RDC also signed an MOU with Advans Banque and is looking to kick start intervention in AGNP, RE,BB and leasing. BRANCHLESS • Elan RDC collaborated with 3 banks, Vodacom and GIZ to finalise one communication BANKING campaign to the public announcing the financial education messages sponsored by all partners. • A study with La Pepiniere and Umoja is being finalised, while the team is working on a new intervention with Orange and Advans Banque. RENEWABLE • Several partners, including Eco-Mwinda and Biso Na Bino, are experiencing capacity issues ENERGY that will limit ELAN RDC’s ability to go to scale. • Given the above, the RE team held promising discussions with a number of new partners like ZFJ an GARS who have a focus on the Kinshasa market with over 20 points of sales each. NON-PERENNIAL • ELAN RDC collaborated with eMart.cd and Trust Merchant Bank to support the campaign AGRICULTURE “ProduisonsCongolais”, which planned to build demand for locally produced agriculture products. • A review of primary consumer markets in Kinshasa for agriculture goods produced in the west region revealed a number of constraints including access to finance for depot owners and distributors. TRANSPORT • Following a scoping study completed in Q1, the team is considering interventions around improving product aggregation and improving transport time and cost through an information system. CROSS-CUTTING SECTORS OPERATIONS & MANAGEMENT GESI

During the first quarter of 2017, ÉLAN RDC achieved the following:

• Conceptualised (and developed commercial cases underpinning) new interventions either: o focussed on facilitating changes to women’s roles e.g. Zoona, or o with strong other benefits for women, e.g. TMB Bank rural banking • Ran workshop in Kivus focused on understanding ‘role change’ and trained team to identify the business case for gender- responsive business practices. • Supported Leadership Team think through how to drive greater diversity and inclusion within programme staff • Published WEE Case Studies 1 & 2 - available here and here; but it will shortly also be available on SEEP, BEAM, ELAN RDC and La “The savings that we’ve made from Pep’s websites. Translated versions of these documents using less fuel [in general], also help us to get through the more difficult forthcoming. times in the year, for example the • Conducted primary research for WEE Case Study 3 which will rainy season where we used to use focus on Muungano / TWIN. 3 or 4 sacks [of fuel]”. (From Improved Cook stove Study) Conceptualised alternative ‘as is > to be’ approach to role change, by sector. One page sector-focused role change outlines to be developed this coming quarter (requires field research).