By Staff Writer | Smart News Liberia
MONROVIA – Executive Governor Henry F. Saamoi of the Central Bank of Liberia on Tuesday, April 21, 2026, warned that Liberia could face serious currency shortages if urgent approval is not granted for the printing of additional banknotes, as he defended a major monetary proposal before the Liberian Senate on Tuesday.
Governor Saamoi made the remarks during a public hearing convened by the joint committees on Banking and Currency, Ways, Means, Finance and Budget, and Public Accounts and Audits at the Senate. The hearing focused on a proposed plan to print new currency and introduce a higher denomination note.
Addressing lawmakers, Saamoi disclosed that the Central Bank intends to print L$79 billion in new banknotes between 2026 and 2030, with L$14.7 billion scheduled for production in 2026 alone and the remaining L$64.3 billion to be issued over subsequent years.
He told Senators that the initiative is not merely about expanding money supply, but about replacing damaged currency, responding to rising demand for cash, and strengthening overall monetary stability in the economy.
“The plan is not just to add more money into the economy,” Saamoi stated, explaining that approximately 7 percent of the existing L$48 billion in circulation is lost annually due to damaged notes, creating pressure on cash availability.
He further noted that the proposal is part of broader efforts to reinforce the Liberian dollar and enhance the effectiveness of monetary policy operations, especially in managing liquidity challenges in the financial system.
Governor Saamoi also clarified that the proposed L$79 billion figure represents a revised estimate, explaining that initial projections were significantly higher before being adjusted downward following internal reviews and economic assessments.
He added that future currency needs could increase depending on macroeconomic policy directions, particularly if Liberia moves further toward a “de-dollarization” framework, which would require additional demand for Liberian dollar liquidity.
“If we move to the de-dollarization regime, there will be a need for additional banknotes beyond L$79 billion,” Saamoi cautioned lawmakers.
A key feature of the proposal is the introduction of a new L$2,000 banknote, which would become the highest denomination in circulation if approved. The current highest note is L$1,000.
Saamoi, however, did not disclose the full cost required to execute the printing and currency replacement program, noting that detailed financial projections would be provided as part of the approval process.
The Governor emphasized that both the proposed printing exercise and the introduction of a new denomination require legislative approval before implementation, in line with statutory procedures governing national currency issuance.
The last major currency printing and replacement exercise was authorized in 2021, making the current proposal one of the most significant monetary policy requests in recent years as lawmakers continue d eliberations.
