IMF Praises Liberia's Economic Performance, Projects Strong Growth in 2026

Monrovia– The International Monetary Fund (IMF) has commended Liberia's progress in maintaining macroeconomic stability and implementing key economic reforms, projecting strong economic growth and a positive medium-term outlook for the country.

The mission conducted the Fourth Review under Liberia's Extended Credit Facility (ECF) Arrangement and the First Review under the Resilience and Sustainability Facility (RSF) Arrangement.

 

According to the IMF, Liberia has made "solid progress in macroeconomic stability," with program performance against quantitative targets remaining robust. The Fund projects real GDP growth of 5.5 percent in 2026, supported by continued expansion in mining activities, particularly iron ore production, as well as growth in manufacturing and construction.

 

The IMF also noted that inflation has remained relatively contained despite rising global fuel prices. Inflation increased modestly to 5.3 percent in May 2026 from 4 percent at the end of 2025, reflecting the stability of the exchange rate and limited spillover effects from higher fuel costs.

 

In its statement, the IMF welcomed the Liberian authorities' commitment to safeguarding fiscal and financial stability while advancing priority capital investments and targeted social spending. The Fund highlighted ongoing efforts to strengthen domestic revenue mobilization and noted that fiscal performance is expected to remain in line with program objectives.

 

The IMF further acknowledged the Government's focus on investments in health, education, and support for vulnerable populations. These initiatives, according to the Fund, are being supported by strong domestic revenue performance and a one-off bonus payment of US$200 million, equivalent to approximately 3.5 percent of GDP.

 

While the current account deficit is projected to widen in 2026 due to increased fuel imports and capital goods imports associated with mining expansion and construction activities, the IMF emphasized that Liberia's medium-term economic outlook remains positive.

 

Mr. Kim stated that IMF staff and Liberian authorities held constructive discussions and reached an understanding on policies underpinning the fourth review of the ECF-supported program, with discussions expected to continue in the coming days.

 

During the mission, the IMF delegation met with President Joseph N. Boakai, Finance and Development Planning Minister Augustine Kpehe Ngafuan, Central Bank of Liberia Executive Governor Henry F. Saamoi, senior government officials, and development partners. The Fund expressed appreciation for the hospitality and constructive engagement extended by Liberian authorities and stakeholders throughout the mission.