- Sen. Karnga Lawrence wants $11 million Rice subsidy audited
By Jerromie S. Walters
The 7th of December, 2022, on Capitol Hill in Monrovia, Liberia: At the same time that the Ministry of Commerce announced an increase in the price of rice on the Liberian market, Senator Nyonblee Karnga Lawrence, the Political Leader of the opposition Liberty Party (LP), appeared to have concerns about the decision made by the ministry as well as the impact of the recent $11 million rice subsidy exercise.
Even though efforts have been made in recent months through the allocation of $11 million in the supplementary budget to ensure that it is affordable for public consumption, the price of the country’s staple food seems to be rapidly increasing. The senator from Grand Bassa County appears to be curious about this, and it appears that her curiosity is influenced by this.
She asked, “How did we benefit from the subsidy to keep the price of rice at $13.50 and $14.00, wholesale and retail, and have never been able to keep it under $17.50 since the money was paid?” We have never been able to keep the price of rice below $17.50 since the money was paid.
The Liberian government, acting through the Ministry of Commerce, made the decision to raise the price of rice at the end of the day on Sunday, December 3, 2022. The new prices for retail and wholesale rice are $USD 17.00 and $17.50, respectively, up from the previous retail and wholesale prices of $USD 13.50 and $14.00.
According to Senator Nyonblee Karnga Lawrence, the circumstances surrounding the disbursement of the $11 million subsidy were riddled with controversy. “The Commerce Ministry made payments to three rice importers without any agreements and no documents to show how much each of the three importers received, how these transactions would benefit the country, and for how long,” Senator Lawrence said.
She cites the recent decision by the government to increase the price of rice despite the recent subsidy exercise as one of the many reasons why she did not vote for the passage of the national budget. She also cites the failure of the legislature to critically critique the government’s spending as another reason why she did not vote for the budget’s passage.
Since the senator for Grand Bassa County stated that the credibility of the Commerce Minister is being called into question, she vowed to make it her mission to demand an audit into the matter in question, both for the record and for any future actions.
In order to forestall an increase in the price of rice on the Liberian market, the Legislative Branch of government recently allotted US$11 million in the current fiscal budget for the 2022 fiscal year as a subsidy to the Ministry of Commerce for rice importers. This is something that can be recalled.
Prior to the allotment of the subsidy, the importers were expressing their dissatisfaction with the rise in the average price of rice around the world.
During the month of October of this year, the Senate, represented by Senator Jonathan Kaipay of Grand Bassa County, expressed concern regarding the accountability surrounding the subsidy.
The Senate urged the Ministers of Commerce and Industry, Finance and Development Planning to provide clarity on the eleven million United States dollars allocated in the 2022 National Budget as a subsidy for rice; however, to this day, the various ministries have failed to provide a documented expenditure to authenticate how the eleven million was distributed. This is despite the fact that the Senate urged them to do so.
