By Amos Harris
The Government of Liberia and the African Development Bank (AfDB) have officially signed a US$16.7 million loan agreement to boost fiscal sustainability and strengthen governance in Liberia’s mining sector. The strategic financing package, provided as direct budget support, is intended to maximize national revenues, improve public sector transparency, and enhance the state’s capacity to deliver essential public services to citizens across the country.
The agreement marks another milestone in the decades-long partnership between Liberia and the African Development Bank as the administration of President Joseph Nyuma Boakai intensifies its broader economic transformation agenda. Government officials noted that the funding arrives at a critical juncture, providing vital resources to sustain and accelerate ongoing structural reforms aimed at improving domestic resource mobilization and clamping down on systemic revenue leakages.
Speaking during the signing ceremony in Monrovia, AfDB Country Manager Rees Mwasambili described the agreement as the first phase of a programmatic reform approach designed to provide sustained institutional support to Liberia. Mwasambili explained that the phased arrangement demonstrates the African Development Bank’s confidence in Liberia’s current development trajectory and allows for continuous monitoring of reform milestones. He emphasized that the program will directly support practical, high-impact measures, including enhancing domestic revenue mobilization, strengthening public debt management, updating public procurement systems, reinforcing anti-corruption initiatives, and increasing rigorous state oversight in the mining sector.
Signing on behalf of the Liberian government, Finance and Development Planning Minister Augustine Kpehe Ngafuan welcomed the loan agreement, describing it as a timely intervention for the country’s economic management goals. Minister Ngafuan stated that the program comes at a vital time as the government seeks to maximize public earnings from its natural resources, noting that while the mining sector has historically driven gross domestic product growth, actual state revenues from multinational operations have remained disproportionately low.
The Finance Minister praised the African Development Bank for its enduring relationship with Liberia, highlighting that the institution has remained a pillar of support for the country’s post-war reconstruction, infrastructure development, and fiscal stability. He further highlighted related AfDB-backed initiatives, such as the Youth Entrepreneurship Investment Bank (YEIB), which is projected to support up to 30,000 youth-led businesses, and the Special Agricultural Processing Zones aimed at boosting agricultural value addition. Concluding his remarks, Ngafuan conveyed appreciation on behalf of President Boakai and reaffirmed the administration’s commitment to ensuring that the new funding translates into visible socio-economic benefits and long-term economic resilience for the Liberian people.