Monrovia – Liberia’s Finance and Development Planning Minister, Augustine Ngafuan, has praised the European Union (EU) for a “generous and timely” €62 million (approximately US$67 million) grant agreement, calling it a major vote of confidence in the Boakai-Koung administration’s reform agenda.
By Jaheim T. Tumu | [email protected]
The agreement, signed on Thursday with EU Ambassador Nona Deprez, includes €56 million in direct budget support to the national treasury and an additional €7 million for complementary measures focused on public financial management, accountability, and natural resource governance.
“We extend profound thanks to the EU Ambassador and the entire EU community for this generous support. Importantly, this is a grant—not a loan,” Minister Ngafuan emphasized during the signing ceremony. “This is a crucial step toward our long-term goal of financial independence.”
The complementary €7 million component, to be managed by the Swedish International Development Cooperation Agency (SIDA), aims to strengthen Liberia’s audit capacity, increase civil society oversight, and improve domestic revenue mobilization—particularly in the natural resource sector.
Ngafuan highlighted Liberia’s recent strides in revenue generation, noting that over 90 percent of the 2024 national budget—US$698 million out of US$738 million—was raised domestically. He attributed this progress to ongoing digitization and efficiency improvements at the Liberia Revenue Authority (LRA).
“This is a clear vote of confidence in the reforms we have initiated,” Ngafuan said. “Ultimately, we want to reach a point where we rely almost entirely on our own resources.”
He also commended the General Auditing Commission and Auditor General for their performance under challenging conditions and reaffirmed the government’s and partners’ support to strengthen their role in public oversight.
“We are committed to meeting all agreed policy indicators and ensuring that these resources are used efficiently to benefit citizens in all 15 counties,” the Finance Minister assured.
He further acknowledged that while some development partners have retreated from prior commitments, the EU remains steadfast: “You are doing for us, so we can do for ourselves,” he said.
Speaking earlier, EU Ambassador Nona Deprez reaffirmed the EU’s strong confidence in Liberia’s reform trajectory.
“We are delighted to finally sign this financing agreement,” she said. “It reflects our trust in the government’s commitment to ambitious reforms, enhanced accountability, and sound financial governance.”
Ambassador Deprez said the complementary funds will target three key areas: boosting domestic revenue—especially in natural resources, strengthening Liberia’s audit institutions, and enhancing accountability through civil society engagement.
“This agreement is the result of many months of discussions, consultations, and negotiations. We commend all ministries, agencies, and commissions for their transparency in outlining both their challenges and reform priorities,” she noted.
With the agreement finalized, Ambassador Deprez said it is now up to the government to request disbursement, adding that a first tranche of €22 million could be released in 2025, once all conditions are met.
“Now the real work begins. We hope the first disbursement request will be submitted soon,” she said.
Also speaking at the event, Deputy Minister for Budget and Development Planning, Tenneh G. Brunson, applauded the EU for its flexible and responsive partnership amid Liberia’s ongoing fiscal constraints.
“This occasion is more than ceremonial—it reaffirms our shared commitment to democratic governance, development, and the well-being of the Liberian people,” she said.
Minister Brunson emphasized that the financing aligns with the government’s ARREST Agenda, which prioritizes Agriculture, Roads, Rule of Law, Education, Sanitation, and Tourism.
“The predictability of this support enables us to plan more strategically and align spending with national priorities,” she added.
She concluded with a pledge to uphold reform commitments and fiscal discipline, saying: “Together, we can make steady progress toward building a more resilient, inclusive, and prosperous Liberia.”