The financing includes approximately $26.2 million under the Extended Credit Facility (ECF) and $23.96 million through the Resilience and Sustainability Facility (RSF).
Liberia’s economy grew by 5.1% in 2025 and is projected to expand by 5.5% in 2026, supported by mining, construction and manufacturing. “The authorities have continued to implement sound policies, allowing them to make significant progress under the Extended Credit Facility and the Resilience and Sustainability Facility arrangements,” IMF Acting Chair and Deputy Managing Director Bo Li said.
“Despite heightened global risks, primarily stemming from elevated and volatile oil prices, Liberia’s economic performance has remained satisfactory.”
The IMF said strong government revenue had supported fiscal consolidation and helped reduce debt vulnerabilities. Capital spending had also accelerated.
However, Liberia should reduce unproductive expenditure to create additional funding for priority infrastructure while maintaining fiscal discipline.
The government plans to introduce value-added tax in 2027, reform mining taxation and rationalise tax exemptions. “A successful rollout of the VAT will generate steady revenues to finance priority investments,” Li said.
The IMF supported plans to spread the use of a one-off mining concession payment across 2026 and 2027 because of constraints affecting the government’s ability to implement projects.
Liberia must also improve the selection, implementation and monitoring of capital projects to strengthen public spending and economic growth.
The Central Bank of Liberia is prepared to tighten monetary policy if higher global oil prices increase inflation.
Bank recapitalisation is progressing more slowly than planned, while non-performing loans continue constraining balance sheets and private-sector credit. “Accelerating the reduction of non-performing loans would strengthen bank balance sheets and support private-sector credit growth,” Li said.
Issuing new banknotes is also an immediate priority because of continuing shortages.
The IMF called for publication of Liberia’s governance diagnostic report and implementation of an action plan addressing corruption and institutional weaknesses.
Removing legal barriers preventing publication of public officials’ asset declarations would strengthen accountability and transparency.
Total ECF disbursements have reached about $131.67 million. The RSF provides access to approximately $265 million for reforms strengthening Liberia’s resilience to climate-related shocks.
–IMF/ChannelAfrica–
