-To Sustain Liberia’s Development
Liberia’s Finance and Development Planning Minister, Augustine Kpehe Ngafuan, has called for the urgent reprogramming and redirection of underperforming projects in response to the recent reduction in USAID aid. Speaking at the launch of the Governance Reform and Accountability Transformation (GREAT) Project on Thursday, Minister Ngafuan emphasized the need for strategic adjustments to mitigate the impact of the aid cuts and ensure the continued progress of Liberia’s development agenda.
“We are facing a significant shock due to the USAID aid cut, and immediate measures are being taken to mitigate its impact,” Ngafuan stated at the event, held at the Ellen Johnson Sirleaf Ministerial Complex in Congo Town. He revealed that the government is engaging in “hard conversations” with partners to reallocate resources to critical sectors affected by the reduction in foreign assistance.
The reduction in USAID funding has had far-reaching consequences, including job losses and reduced interventions in vital sectors. Minister Ngafuan acknowledged the challenges, stating, “Many Liberians have lost their jobs, interventions to vital sectors have been reduced, and it is essential for us to implement critical measures.”
To address these emerging challenges, the government plans to convene a roundtable discussion with partners in April. The meeting will focus on identifying solutions to ensure the uninterrupted implementation of the ARREST Agenda for Inclusive Development, launched earlier this year.
“We remain committed to delivering on our agenda,” Ngafuan reassured Liberians, highlighting the government’s determination to navigate the current fiscal constraints while maintaining progress toward its development goals.
The launch of the GREAT Project, a $30 million initiative funded by the World Bank’s International Development Association (IDA), marks a significant step forward in Liberia’s efforts to modernize public administration and improve governance. The six-year project, approved on June 12, 2024, will run through November 30, 2030, and aims to leverage digital solutions and institutional reforms to enhance transparency, accountability, and efficiency.
Minister Ngafuan described the project as a “significant opportunity” for Liberia’s continued progress. Key focus areas include expanding digital public services, increasing tax revenues, strengthening accountability and transparency, and enhancing capacity building and implementation support.
Acting World Bank Country Manager Oyewole Afuye commended the Liberian government for launching the GREAT Project, noting its potential to address critical challenges in public administration and fiscal management.
“The GREAT Project will leverage digital solutions and deepen institutional reforms to modernize public administration and improve government efficiency, ultimately benefiting all Liberians,” Afuye said.
He outlined three key challenges the project aims to address:
1. **Weak Service Delivery Systems**: Limited state presence and infrastructure constraints across the country.
2. **Strained Fiscal Outlook**: Low domestic resource mobilization and limited accountability in managing public resources.
3. **Uneven Service Delivery**: Inconsistent results in public service delivery.
Afuye called on all ministries, agencies, commissions, and development partners to support the project’s implementation and sustain policy dialogue on reforms.
The GREAT Project will provide critical support to several government institutions, including:
– Ministry of Post and Telecommunications (MoPT)
– Ministry of Internal Affairs (MIA)
– Liberia Revenue Authority (LRA)
– National Identification Registry (NIR)
– General Auditing Commission (GAC)
– Public Procurement and Concessions Commission (PPCC)
– Liberia Anti-Corruption Commission (LACC)
