Following Completion of Article IV Consultation and Completion of Successful Second Review of Liberia’s ECF Arrangement.
Monrovia, Liberia – On Wednesday, October 1, 2025, the International Monetary Fund’s (IMF) Executive Board reportedly authorized the Special Drawing Rights (SDR) payment of US$26.5 million, or roughly 19.3 million, to Liberia.
The conclusion of Article IV Consultation and the second review of the Extended Credit Facility (ECF) arrangement for Liberia preceded the IMF Board’s decision. The IMF Board authorized the ECF arrangement on September 25, 2024, and it is a 40-month program.
The primary purpose of ECF program disbursements is to increase the reserves held by the Central Bank of Liberia in order to support macroeconomic stability in general. With the most recent payment, the total amount disbursed under the ECF arrangement to date is US$79.4 million, or SDR 57.9 million.
Mr. Bo Li, Acting Chair and Deputy Managing Director, said the following after the Executive Board discussion:
“In the first year of their Fund-supported program, the authorities made significant strides in putting into practice important structural changes and prudent macroeconomic policies. Efforts to improve foreign currency reserves, alleviate debt risks, and reduce the significant budget deficit have had positive outcomes. Critical social programs that were formerly funded by USAID have also been protected by prompt policy reactions to the abrupt withdrawal of major grant support, which have involved reducing low-priority spending and raising additional domestic income.”
The administration was also praised by IMF Executive Directors for keeping a responsible budgetary posture, especially in view of the decline in foreign help. The forward-looking fiscal plan, which aims to reduce debt vulnerabilities, restore fiscal space, and raise tax revenues even more to meet social and development demands, gave them hope.
The directors also emphasized the significance of continuing fiscal reforms, particularly by enhancing public financial and investment management and raising the standard of public spending.
They emphasised how crucial it is to raise money and encourage donor support, particularly through grants and concessional financing, in order to close the significant infrastructure gap and ensure the sustainability of the debt.
Directors emphasized the necessity of keeping a strong debt management policy in place in order to stop the growth of fresh external arrears.
In response to the news from the IMF, Augustine Kpehe Ngafuan, Liberia’s Minister of Finance and Development Planning, praised the IMF Board for the decision, which he views as a vote of confidence in the country’s ability to manage its economy, particularly in this difficult time of diminishing ODA.
“Liberia is now well-positioned to potentially receive substantial additional support in 2026 under the IMF’s Resilience Sustainability Facility (RSF), which provides funding to qualifying countries to improve their resilience and adaptation to climate-related vulnerabilities,” he said, referring to the IMF Board’s successful review of Liberia’s performance under the ECF arrangement on Wednesday, October 1, 2025.
The Central Bank of Liberia (CBL) Governor Henry F. Saamoi and his staff were also praised by Minister Ngafuan for their outstanding coordination and collaboration with the fiscal authorities, which was overseen by President Joseph Nyuma Boakai.
In order to help meet the lofty goals outlined in the ARREST Agenda for Inclusive Development (AAID), he reaffirmed the government’s commitment to staying on course, taking the appropriate steps to grow the economy, and raising the necessary funds.
According to the ECF arrangement, on September 25, 2024, the IMF Executive Board authorized the disbursement of approximately US$223 million, or SDR 155 million (60 percent of the quota), to Liberia in tranches over the program’s 40-month duration following successful regular performance reviews.
