World Bank Hails Liberia’s Enhanced Collateral Registry as Game-Changer for Business Financing

Monrovia – The World Bank Group has welcomed the launch of Liberia’s Enhanced Collateral Registry, describing the initiative as a major step toward expanding access to finance for businesses, particularly micro, small and medium-sized enterprises (MSMEs).

Speaking at the official launch on August 27, 2026, World Bank Group Country Manager for Liberia, Georgia Wallen, said the upgraded system could help entrepreneurs secure loans using productive assets beyond traditional collateral such as land and buildings.

“Today is about expanding opportunity for Liberian businesses and helping more entrepreneurs gain vital access to the financing they need to grow,” Wallen said, congratulating the government and stakeholders for what she described as a breakthrough.

According to Wallen, access to finance remains one of the biggest obstacles confronting businesses in Liberia, with many promising entrepreneurs unable to obtain credit because they lack real estate that banks traditionally require as collateral.

She noted that businesses often possess other valuable assets—including inventory, equipment, livestock and accounts receivable—that can be used to secure financing.

The Enhanced Collateral Registry, she said, is designed to bridge that gap by giving lenders greater confidence to accept a broader range of assets as collateral while enabling borrowers to unlock the financial value of assets they already possess.

Old Registry Facilitated US$237M in Financing

Wallen said the initiative builds on Liberia’s experience with the original Collateral Registry, launched in 2014 by the Central Bank of Liberia (CBL), with support from the International Finance Corporation (IFC) and funding from the Swedish International Development Cooperation Agency (SIDA).

She disclosed that the original registry facilitated more than US$237 million in financing within its first two years, with women accounting for more than half of the borrowers.

She described the achievement as particularly significant because it occurred during a period when Liberia’s economy and business activity were severely affected by the Ebola epidemic.

However, Wallen acknowledged that the registry’s effectiveness declined over time due to technical, operational and market-related constraints.

She said the newly enhanced system is intended to revive the original vision while addressing some of the challenges that limited the previous system.

System Covers Movable and Immovable Assets

The upgraded registry was deployed through the World Bank-supported Liberia Investment Finance and Trade (LIFT) Project, with capabilities to facilitate lending against both movable and immovable assets.

Wallen said the system also features improved technology designed to strengthen reliability and availability while enabling connections with other registries and databases to provide lenders with seamless access to official and reliable information.

Beyond technology, she said the CBL is implementing legal and regulatory reforms with technical assistance from IFC to strengthen Liberia’s secured transactions framework.

Among the reforms is the Amended Regulations for Secured Transactions and Collateral Registry (2026), which establishes requirements governing the registration, amendment and discharge of financing statements, as well as the obligations of borrowers and lenders.

World Bank Warns Technology Alone Is Not Enough

Wallen stressed that the success of the enhanced system would ultimately depend on how widely it is adopted by financial institutions, businesses and other market participants.

“Lessons learned from the past show that technology and regulations alone are not enough,” she said, emphasizing the need for widespread use and greater familiarity with movable-asset financing and the registry.

To support adoption, the CBL, Banking Institute of Liberia and IFC are preparing specialized training on Movable and Immovable Assets Financing, expected to begin in the first week of September.

A nationwide public awareness campaign on secured transactions and the collateral registry is also planned to help businesses, lenders and other stakeholders understand how the system can be used to expand access to finance.

Wallen further disclosed that the government and CBL are investing in the deployment of a credit reporting system with support from the LIFT Project.

She said the combination of the Enhanced Collateral Registry, credit reporting system and accompanying legal, regulatory and institutional reforms could help lenders make better-informed decisions, manage risk and increase lending to businesses.

Call for Broad Stakeholder Participation

The World Bank official said financial institutions, businesses, regulators, courts and other supporting institutions all have a role to play in ensuring that the enhanced registry delivers its intended benefits.

Financial institutions, she said, must incorporate the system into their lending practices, while businesses need to understand how the registry can help them access credit.

Regulators, courts and other institutions, meanwhile, must ensure that the system remains trusted, transparent and effective.

Wallen said the initiative goes beyond simply creating a database, describing it as part of a broader effort to promote economic opportunity, entrepreneurship, job creation and private-sector growth.

She linked the reform to Liberia’s Vision 2030 and the government’s ARREST Agenda for Inclusive Development, saying the World Bank Group’s support is aimed at helping establish foundations for more and better-paying jobs across the country.

“Today marks the beginning of a new chapter in financial inclusion and private sector development in Liberia,” Wallen said.

She urged stakeholders to work collectively to ensure that the launch translates into greater access to finance, stronger businesses and more jobs for Liberians.