Favorable Economic Rating -World Bank Releases Report, Urging Fiscal Discipline Strengthening

The World Bank on September 12 released the 5th Edition of its annual Liberia Economic Update, titled “Powering Growth with Reliable, Affordable, and Sustainable Energy Access”.

The report offered a comprehensive analysis of recent economic developments in Liberia, underscoring the crucial role of reliable energy in fostering sustainable growth.

The World Bank update highlighted key advancements in Liberia’s energy sector, including notable progress in power generation and the expansion of energy access.

Despite the reported gains, the Bank said the country is faced with significant power shortages and called for substantial investments to achieve reliable, affordable, and sustainable energy access for all Liberians.

A release from the Bank is quoted as saying that the National Electrification Strategy of Liberia, developed by the Government with support from development partners, sets out bold plans to achieve universal energy access by 2030 through a combination of grid expansion, densification, utility revenue protection programs, and off-grid solutions.

Ms. Georgia Wallen, World Bank Liberia Country Manager, said: “The World Bank is actively backing these initiatives, with strong focus on increasing generation capacity to reach Liberians nationwide and promote Liberia’s transition toward sustainable growth and development.”

The report also underscored the importance of strengthening fiscal discipline to ensure macroeconomic stability, a critical factor in attracting foreign and domestic investments.

This stability – essential for improving the business climate – requires a comprehensive approach, combining legal, regulatory, and practical reforms to foster private sector growth.

“Ambitious reforms are essential to foster private sector participation in both the economy and the energy sector,” said Gweh Gaye Tarwo, Liberia Country Economist and lead author of the report. “Without transformative reforms to enhance the business environment and competitiveness, increased private sector involvement cannot be achieved,” he added.

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