Monrovia, Liberia – Liberia’s economy continued its upward trajectory in the second quarter of 2026, posting a 5.2 percent year-on-year growth rate as the Central Bank of Liberia (CBL) announced a reduction in its benchmark interest rate to support sustained economic expansion.
The latest figures, released Monday by CBL Executive Governor Henry F. Saamoi, show an improvement from the 4.6 percent growth recorded in the first quarter, reflecting stronger domestic demand and increased output from export-oriented industries, particularly the mining sector.
Presenting the Monetary Policy Committee (MPC) Communiqué at the Bank’s headquarters in Monrovia, Governor Saamoi said Liberia’s economy has remained resilient despite global economic uncertainties. He noted that the country’s real Gross Domestic Product (GDP) is now projected to grow by 5.5 percent by the end of 2026.
As part of efforts to sustain the positive momentum, the MPC voted during its July 15 meeting to lower the Monetary Policy Rate (MPR) by 25 basis points, reducing it from 16.25 percent to 16.0 percent.
According to the Central Bank, the policy adjustment was driven by easing inflationary pressures, improved exchange rate stability, stronger foreign reserve buffers, and continued soundness within Liberia’s financial sector.
The MPC also decided to maintain the reserve requirement ratio at 25 percent for Liberian dollar deposits and 10 percent for U.S. dollar deposits, indicating confidence in the current banking environment.
Governor Saamoi disclosed that inflation rose to 5.4 percent during the second quarter, primarily due to higher international food and fuel prices linked to ongoing geopolitical tensions in the Middle East. Despite the increase, the CBL projects inflation will moderate to around 4.4 percent in the third quarter of 2026.
The Central Bank reaffirmed its commitment to maintaining price and exchange rate stability, strengthening the financial sector, and implementing policies that encourage sustainable economic growth.
The Monetary Policy Committee is scheduled to reconvene on October 8, 2026, to assess economic developments and determine the country’s next monetary policy direction
Liberia’s Economy Records Stronger Growth as Central Bank Cuts Interest Rate
