Burundi government reform deepens ruling party divisions with spotlight on black market interests

At the beginning of September, an audio recording emerged in Burundi allegedly featuring president Évariste Ndayishimiye accusing unnamed political figures of plotting against him. Soon after, he sacked prime minister Alain-Guillaume Bunyoni in the country’s first major political reshuffle since the president came to power in 2020. 

There were also rumours of a possible coup and tensions in the country’s ruling party, the National Council for the Defense of Democracy — Forces for the Defense of Democracy (CNDD-FDD). 

These political ructions were apparently instigated by disagreements in the ruling party over foreign and domestic policy reforms implemented by Ndayishimiye over the past two years. They aim to restore Burundi’s international reputation and bring domestic stability, which deteriorated in 2015 when the late former president Pierre Nkurunziza declared his intention to run for a third term. 

The political crisis triggered by Nkurunziza’s announcement and the subsequent sanctions issued by the United States (US) and European Union (EU) wreaked havoc on Burundi’s economy. It also worsened longstanding domestic political and socio-economic problems. 

Ndayishimiye’s policy reforms have put Burundi on a new political and economic path, and facilitated the country’s return to the international fold. But some changes have adversely affected the party elites’ interests, widening the rifts between the president and his rivals in the CNDD-FDD. 

Burundi has made great strides on the foreign policy front, including re-engaging its neighbours and signing infrastructure agreements in the East African Community. ‘Democratic reforms’ adopted to facilitate the removal of sanctions include loosening media restrictions, reinstating the British Broadcasting Corporation’s operating licence and releasing human rights activists. The EU and US welcomed the policy shifts and rewarded the president’s efforts by easing restrictions and restoring aid to Burundi. 

Back home, the government is trying to tackle political and socio-economic challenges. The president has promised to crack down on monopolies held by party elites over various economic sectors. So it was unsurprising that the trade minister announced in September that the country would ease imports of basic commodities including cement, sugar, maize and maize flour. The central bank lifted restrictions on foreign currency exchange, allowing forex bureaus to operate after a two-year ban. 

The foreign currency shortage encouraged a black-market currency trade and contributed to the devaluation of the Burundian franc. Earlier this year, the government stepped in to import fuel because private suppliers were struggling to secure foreign currency to do so. Fuel shortages exacerbated the scarcity of essential commodities and increased inflation.