MONROVIA – The Executive Board of the International Monetary Fund (IMF) has approved the immediate disbursement of US$26.5 million, equivalent to about 19.3 million in Special Drawing Rights (SDR), to Liberia. The decision, announced on Wednesday, October 1, 2025, followed the completion of the Article IV Consultation and the second review of the country’s Extended Credit Facility (ECF) arrangement.
According to a release from the Ministry of Finance on Thursday, October 2, the ECF program, which spans 40 months, was first approved by the IMF Board on September 25, 2024. Funds provided under the arrangement are intended primarily to strengthen the Central Bank of Liberia’s reserves and support macroeconomic stability. With this latest disbursement, Liberia has now received a total of US$79.4 million, or SDR 57.9 million, since the program’s inception.
Following the Board’s deliberations, Mr. Bo Li, Acting Chair and Deputy Managing Director of the IMF, praised Liberia for significant progress in managing the economy. “The authorities have made notable progress in implementing sound macroeconomic policies and key structural reforms in the first year of their Fund-supported program. Measures to reduce the large fiscal deficit, mitigate debt vulnerabilities, and strengthen foreign exchange reserves have yielded encouraging results,” he stated.
He also highlighted Liberia’s swift policy adjustments in response to the sudden withdrawal of large donor grants, noting that reallocating low-priority spending and increasing domestic revenue collections helped safeguard critical social programs previously financed by USAID.
IMF Directors further commended the Liberian government for maintaining a prudent fiscal stance despite reduced aid flows. They encouraged authorities to continue pursuing a forward-looking fiscal strategy, with emphasis on increasing tax revenues, improving the quality of public spending, strengthening investment management, and maintaining robust debt sustainability measures. Directors also underscored the importance of mobilizing additional donor support and concessional financing to bridge the country’s infrastructure gap while avoiding the build-up of new external arrears.
Reacting to the decision, Finance and Development Planning Minister Augustine Kpehe Ngafuan described the IMF Board’s approval as a vote of confidence in Liberia’s economic management during a period of declining Overseas Development Assistance (ODA). He noted that the successful review keeps Liberia on track to potentially qualify for additional financing under the IMF’s Resilience Sustainability Facility (RSF) in 2026. The RSF provides support to countries working to strengthen resilience against climate-related risks.
Minister Ngafuan also praised Central Bank Governor Henry F. Saamoi and his team for their close coordination with fiscal authorities under the leadership of President Joseph Nyuma Boakai. He reaffirmed the government’s commitment to expanding the economy and mobilizing resources to meet the ambitious targets of the ARREST Agenda for Inclusive Development (AAID).
Under the ECF arrangement, Liberia is expected to receive a total of approximately US$223 million, or SDR 155 million, equivalent to 60 percent of the country’s IMF quota, over the 40-month period, subject to successful periodic reviews.
