….Outlines Monetary Policy Measure
By: G Bennie Bravo Johnson I
Hon. Henry E Saamoi Executive Governor of the Central Bank of Liberia has committed his leadership at the National Treasury – the Central Bank to rebrand Liberia’s Economy and foster a stable economic environment through policy reforms.
“Under your leadership, Your Excellency, we are committed to rebranding the Central Bank as the cornerstone for resetting Liberia’s economy on a viable trajectory. This economic reset is about macroeconomic stability and addressing key issues such as inflationary and exchange rate pressures while fostering a stable economic environment through policy reforms.”
Speaking at his commissioning ceremony on Tuesday, March 4, 2025, in the parlor of the Executive Mansion, Governor Saamoi pledged to implement policy measures that not only strengthen monetary policy but also build strong international for preserving the value of the Liberian dollar.
“As we officially assume these roles, we want to reaffirm our commitment to serving our country with diligence, transparency, accountability, and integrity in the discharge of our respective duties.
We pledge to implement policy measures that not only strengthen monetary policy, but to also build strong international reserves which are crucial for preserving the value of the Liberian dollar” the CBL Governor stated
The Bank Governor who was initially appointed as acting bank governor, provided that since assuming the leadership of the CBL in August 2024, the Board of Governors, the Executive, and the Senior Management Team have worked to implement urgent reforms to address issues raised by the General Auditing Commission (GAC) and other external audit reports.
And have developed a new Strategic Plan (expected to be launched soon) that defines the new direction for the Central Bank. A five-year stratigraphic plan that aligned with the ARREST Agenda.
The Executive Governor of the Central Bank of Liberia revealed that the strategic plan includes the modernization of Liberia’s Payment Infrastructure.
Stating that the bank will deploy a National Electronic Payment Switch by the end of 2026, with the capability of linking commercial banks, mobile money operators, and the fintech operating within Liberia’s financial sector.
He revealed that the bank has engaged with the two largest MNOs for a bilateral integration that will allow economic agents in the country to transact via mobile money seamlessly, just as calls are made between the two telecommunication companies seamlessly. Asserting that the new strategy will lower transaction costs and remove the burden of carrying two mobile phones for mobile money transactions.
The CBL Governor continued by averting that Liberia is witnessing a shift to a new kind of retail banking system where a large segment of the population, previously un-banked, is being absorbed into the financial services sector, via, mobile money.
Adding that the evolution c presents a huge opportunity to bring most of these economically active people into the formal economy; and it also presents a huge potential for domestic revenue mobilization, in support of the ARREST Agenda.
Governor Saamoi added that “the goal is to achieve full interoperability when the NEPS is fully deployed, further deepening financial inclusion, advancing Liberia’s cash-lite agenda, and most importantly, serve as a viable vehicle for financial intermediation. Our goal is to achieve a cashless economy, which will bring significant benefits to our country, in terms of financial transparency, savings on the high cost of printing banknotes promoting an inclusive financial system, and fostering economic growth.”
The CBL continued by averting that the monetary policy will enhance regulatory environments that focus on realigning Liberia’s regulatory mandate to promote greater levels of financial intermediation to support economic growth.
Asserting that the banking system requires targeted reforms to address legacy challenges while ensuring the continued resilience of the banking system. A policy the governor vowed to endeavor to enforce strict prudential regulations while fostering an enabling environment for responsible lending and innovation in the banking sector.
“We shall tackle the problem of high non-performing loans (NPLs), working with your Office, the National Legislature, the Judiciary, and all other stakeholders, while at the same time addressing the weak risk management practices in the industry.
Work closely with banks to improve cyber security preparedness as we advance towards the digital financial and payments phase of Liberia’s payments system evolution.
Strengthen our prudential standards and ensure that the banking system is strong, resilient, and viable.”
With the anticipated passage of the Bank Financial Institutions Act, Saamoi pledged that “we will work towards establishing a deposit insurance scheme with the creation of a deposit insurance fund to protect small depositors and to develop a bank resolution framework, to ensure that distressed financial institutions are effectively managed while maintaining financial stability.
Work with all stakeholders – including banks, financial institutions, technology partners, businesses, and regulators – to build a modern, inclusive, and resilient financial system for the promotion of trade and investment.
Financial Inclusion: Mr. President, our third area of priority is expanding financial inclusion to promote inclusive economic growth, reduce poverty, empower our citizens, and ensure the stability of the financial system. To this end, “
The CBL Governor continued by committing that the Central Bank under his leadership will carry out duties guided by no other interests other than the interests of Liberians.
Stating that the CBL leadership is committed to rebuilding confidence, restoring public trust, and ensuring that Liberia’s economy is stable and ready for the future.
Saamoi stated that the CBL will continue to support initiatives that expand access to financial services, leveraging fintech and mobile banking solutions to broaden the scope of access, especially in underserved communities by working with banks, fintech, and international partners to build a stronger digital finance ecosystem that supports secured transactions, faster cross border payments and financial accessibility.
Meanwhile, the Executive Governor of the CBL intimated that the Bank will further improve operational efficiency at the Bank by ensuring an efficient and productive value-for-money in procurement practices to maintain financial stability, credibility, and public trust.
“Your Excellency, beyond these priorities, we will take further steps to improve operational efficiency at the Bank by ensuring efficient and productive personnel, prudent financial management, and transparent and value-for-money in our procurement practices to maintain financial stability, credibility, and public trust. In achieving this objective, we have begun examining the Bank’s non-core operations where savings can be made and used for the broader goals and objectives of the Bank.”
