View Full Version : IMF: Liberia economy 'to grow by 11%' a year on average over the next five years


Matthias Offodile
April 18th, 2007, 10:52 AM
I know that this is nothing to rejoice considering from where the country comes, but it is a truly brisk start and sheds light on a better "tomorrow". Moreover, I am a great fan of Ellen Johnson-Sirleaf (she is also Africa“s first female president), she seems to be very capable. Rebuilding Liberia is truly not an easy task at all!
This news surprised me so much so I wanted to open a single thread for it!:)



Liberia economy 'to grow by 11%'

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Tuesday, 17 April 2007, 17:44 GMT 18:44 UK

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Workers at a rubber plantation in Liberia's capital Monrovia
Liberia was once home to the world's largest rubber plantation

Liberia's economy is projected to grow 11% a year on average over the next five years, according to the International Monetary Fund (IMF).

Reconstruction projects and foreign investment are seen boosting growth through 2012, as will a revival in mining, forestry, and agriculture.

The West African nation was hurt by years of civil war, and running water and electricity are still scarce but improving.

To aid recovery Liberia must cut debts of almost $4bn (£1.9bn), the IMF said.

"Liberia's economic recovery continues to strengthen, and medium-term prospects have improved," the IMF said after a team visited Liberia earlier this month.

Revival

The IMF has estimated that Liberia's gross domestic product (GDP) growth grew by an estimated 7.8% last year with a similar growth rate expected for 2007.

That pace of expansion will pick up because of an expected revival of agriculture, mining and forestry, and push growth up to an average of 11% between 2008 and 2012.

A key part of this recovery will foreign investment by firms such as steel giant Arcelor Mittal, which is building a $1bn iron ore mine and is also investing in a new railway and the helping to upgrade port facilities in the country.

President Ellen Johnson-Sirleaf is a former World Bank economist who took over the task of rebuilding Liberia, which was once the world's fifth biggest iron ore exporter, a year ago.

One of the biggest tasks for President Sirleaf will be to reduce the amount of foreign debt weighing on Liberia's fragile economy, the IMF said.

Liberia was founded by black slaves who were freed from the US in 1847 and Washington has supported the nation's efforts to clear the $1.5bn it owes to the IMF and the World Bank.

Once it has managed to reduce the money it owes, it can make further inroads by qualifying for international debt relief, analysts said.

9yja
April 18th, 2007, 11:33 PM
this is her time to shine.

popa1980
April 19th, 2007, 12:11 AM
Thats nothing special. Just catch-up growth. Will have to see how things turn out in 10 yrs time when catch up growth should be much slower.

viewer_arg
February 14th, 2008, 03:45 AM
That is not bad news but you should take into account growth is not the same as development. So that Liberia leaves its structural problemas behind it has to turn its current growth into a solid, durable development and reverse its dependence on internacional financing and foreign powers. Anyway, Mrs. Johnson-Sirleaf's work is a very good one.

oshon
February 14th, 2008, 10:24 PM
good news

Guaro Llanero
February 14th, 2008, 11:27 PM
Not a big deal If you consider the population growth rate (almost 5% per year)...

popa1980
February 15th, 2008, 11:18 AM
Liberians should be careful. When their economy was at its peak, and people from all over Africa were working there, it had one of the highest GDP per head on the continent. But the entire economy was dominated by these foriegn companies who repatriated all their profits from the country. They should be more wary of allowing foreign hegemony of their economy this time round.

skipperBill
February 16th, 2008, 04:14 AM
Man that is beautiful news! I can only imagine what some post-conflict
nations will look like in terms of growth...

for example the DRC, Sudan, Somalia...
we really must get to work in Africa if we want to make up
for lost time.

good work Liberia.