An International Monetary Fund (IMF) staff team, led by Mr. Daehaeng Kim, Mission Chief for Liberia, has completed a visit in Monrovia to discuss with Liberian authorities a new Extended Credit Facility (ECF) arrangement to support the new administration’s implementation of an ambitious reform agenda.
The IMF in an End-of-Mission press release, which included statements of IMF staff teams, conveyed preliminary findings after a visit to Liberia.
According to the IMF press release over the weekend, it expresses the views of the IMF staff and does not necessarily represent the views of the IMF’s Executive Board.
The IMF staff team, led by Mr. Daehaeng Kim, Mission Chief for Liberia, at the conclusion of the mission from June 24 – July 5, 2024, issued the following statement:
“The authorities’ efforts to tackle immediate policy challenges and restore policy credibility are proceeding well. They have streamlined recurrent public spending and enhanced revenue management, which have significantly reduced the fiscal deficit in the first five months of 2024.
“Additionally, the current prudent monetary policy stance has contributed to a gradual decrease in inflation to single digits and a stable exchange rate.
“The IMF team welcomes the authorities’ focus on policy priorities aimed at restoring fiscal sustainability, rebuilding external reserves, and revitalizing a reform agenda to tackle issues related to governance and corruption.
“The authorities and IMF team had constructive discussions on the key objectives of the new administration’s economic reforms. They achieved consensus on the primary goals of a new IMF-supported program and most of the key policies to underpin the program. However, there remain a few policy issues that require additional discussions before finalizing a staff-level agreement on the new ECF arrangement.
“Discussions will continue in the coming days to finalize the staff-level agreement, aiming to bring Liberia’s request for the new IMF-supported program to the IMF’s Executive Board in September 2024.
“The IMF team thanks the authorities for their hospitality and constructive discussions.”
“The team met with President Joseph N. Boakai, leadership of the National Legislature, Minister of Finance and Development Planning Boima Kamara, Executive Governor of the Central Bank J. Aloysius Tarlue, senior government officials, and development partners.
