Since the ascendency of Madam Ellen Jonson Sirleaf in 2006 and up to 2013, her government has been facing some challenges, especially in the financial sector. She is however aware of some of these challenges and has, from time to time, been seeking ways to sole them. Of late, the Liberian dollars has been deprecating against the United States dollars. Some financial experts say some of the reasons are due to the country's inability to export. That a there is more import than export.
The high rate of the US Dollar on the foreign exchange market fluctuates between L$80.00 to L$81.00 for US$1.00 while business people are buying the US Dollar at much higher rate. For example, in some instances, they purchase at L$82.5 to L$83.00 for a single US Dollar on the exchange market.
A number of Liberians have expressed their views on the fluctuation.
View point looks at them.
Mr. Jacob Wannah, II:
"Anyway Jacob Wannah II, thank you for bringing your microphone to me. Well, with respect to your question, I believe all is not well with the Liberian people, because the US rate is just going up, up, up and up. But there are many factors I think I could attribute this to; one could be the natural resources are not going out; normally, the agriculture product, the Coco, coffee and other products used to leave the country to other markets. Those products like iron ore are not going out. These were some of the things that used to bring the US rate down. Now, because of one or two of these factors, we are seeing these things today. Government needs to look at improving the Liberia Produce Marketing Corporation LPMC. Probably, it could reduce the US."
"Well, my name is Akoi Dakala. Firstly, let me make this clear that the increasing wave of the US rate is very much alarming and that no one can argue that.
One could attribute the hiking in the rate as a result of the lack of exportation, but I think the President and the government have some responsibility in stabilizing the economy, because economic issues can cause instability in a country.
The growing rate on the foreign exchange market has a negative impact on the life of the people because whenever you spend US$5.00, which is almost $400.00 Liberian Dollar on the market, it is not healthy for the US rate to now be at almost LD$80.00 to a US$1,00.
The reason is set stages for price increase on the market and could increase the massive hardship. On the Liberian market, you find huge rise of price in goods and commodities. This, I think government needs some experts to bring this under control. Because when the government fails to arrest this sharp increase in the US rate, I foresee serious political tension in Liberia".
Samuel T. Kun:
"The issue of the US rate being very high on the market is because of the currency; when you have a country where the government or the people do not prioritize their local currency, you find an increase in the US Dollar against the Liberian Dollar. On the market, in stores you have people demanding the US Dollars from buyers, thus putting the US Dollar in more demand over the Liberian Dollar.
The US Dollar is not enough on the market so you see a shortage and demand for the US Dollar that is what causing the problem in the country. Years back, LD$5.00 was less then LD$250.00, but now, the value is at LD400.00 for US$5.00 and in a shortest future, the rate was above this point; thus setting the condition for economy hardship in Liberia".
"My take on the increase of the US rate is very much discouraging my brother. I don't think there is a need to encourage dual currency in Liberia. I think what the government needs to do now is to see how best the government can control this problem; even if you went to pay tuition for children, the school administrators were demanding or were charging that you pay in US Dollars.
This situation is troubling the economy of Liberia. Basically, I want the government to see reason and take control the situation". Mustapha Sherman
"We think that Central Bank of Liberia CBL has the oversight responsibilities to put into place monetary policy; we think that CBL has lost that function, thus causing it to lose control over the inflation problem that the country is faced with today.
Everything on the market is so high, even in the Supermarket, there is nothing that you can buy in Liberian Dollar. We think this is wrong and the CBL needs to awake to the reality".