Monrovia — Liberia's Minister of Finance and Development Planning, Samuel D. Tweah, on Thursday expressed the country's gratitude to the out-going World Bank Country Manager for Liberia, Dr. Khwima Nthara, describing him as a worthy partner of the country.
"No country manager of the World Bank has left an imprint as outsized, as large and as indelible as those of Dr. Nthara, as we affectionately call him. A Cambridge trained economist, he supplants his neo-classical theoretical economic grounding for a more practical and pragmatic development approach, using this approach to embed flexibility and adaptability in his over-arching governing philosophy of raising country context as a priority," Minister Tweah said.
Minister Tweah said upon his arrival in 2019, Dr. Nthara understood the fragility of Liberia's transition from an UNMIL supported economy, dependent on inflows unlinked to domestic possibilities, toward the foundations of what President George Weah described in his 2023 state of the nation address as 'macroeconomic fundamentalism'.
"Dr. Nthara fully understood that development partners had to seriously accompany the Government on this transition, fraught with political sensitivities, but a transition that had to occur if Liberia were to turn a transformative corner," he said.
"It was this particular understanding that endeared him to the policies and programs of the Pro Poor Agenda for Prosperity and Development and to availing the full panoply of world bank expertise, resources and capabilities to enable Liberia navigate this difficult transition, especially amid the onset of COVID-19. So today we honor more than a country manager of the World Bank."
"We honor an individual who has shared in the philosophy of our development, who has empathized with the unique contexts of our fragility and vulnerability but more importantly who sees the light at the end of the tunnel provided the right policy frameworks are established, the right actions are taken and the desired coordination among partners is forged. Dr. Nthara, we honor you today because during your tenure, we have seen the World Bank's financial support to Liberia increase significantly."
He said while Liberia's annual IDA allocation is small, Dr. Nthara was so committed to Liberia that he took advantage of every opportunity available within the Bank to mobilize additional resources for Liberia.
"As a result, between 2019 and 2023, the Bank's net commitment to Liberia almost doubled and now stands at $1.4 billion.Second, during his tenure, we have seen a significant shift in the World Bank's portfolio towards addressing Liberia's critical needs," he said.
Continuing, he added: "For example, when other development partners stopped providing direct budgetary support, the Bank doubled its annual direct budgetary support from $20 million to $40 million. Last year, we actually received $55 million in direct budgetary support from the Bank, with an additional $15 million coming from a window that no other country in the world has so far utilized for budgetary support. Similarly, we have seen the Bank's support to key sectors increase significantly under his tenure."
"For example, when he arrived, the Bank had a $25 million IDA funded project in agriculture, the STAR-P. However, after President Weah indicated that agriculture was now a priority sector for Liberia, the Bank's total commitment to the sector was tripled and now stands at $80 million through the provision of additional financing under the Rural Economic Transformation Project (RETRAP). The Bank has also helped us mobilize a total of $52 million from the International Fund for Agriculture and Development(IFAD)."
Minister Tweah said another key sector that has benefitted immensely from the Bank during Dr. Nthara's tenure is the fisheries sector. He said: "When he arrived, we were already discussing with the Bank a financing facility for this key sector, in the amount of $20 million. However, this too was doubled to $40 and recently, the Bank helped mobilize an additional $20 million from the OPEC fund. Under Dr Nthara's tenure, we have also seen the Bank break new grounds by supporting us in areas where the Bank was never previously involved."
In his remarks, Dr. Nthara said all the achievements highlighted during my time in Liberia have been due to collaboration and teamwork involving World Bank colleagues, Government officials, and other development partners.
"Mr President, after three years and seven months, it has been such a rewarding experience, and it was a great pleasure and honor to have been of service to this very special country. I fell in love with this country before I even set foot on it," he said.
"It is a very unique country because it is endowed with abundant natural resources and has been blessed with many firsts, including being the first republic on the African continent, the only country in Africa to have produced a winner of the FIFA World Player of the Year and winner of the Ballon d'Or, who later became President of this special country, and Liberia was also the first African country to elect a female President."
"But I have to say, as soon as arrived and had my first interaction with you, Mr President, the Minister of Finance, Hon. Samuel D. Tweah Jr, and other key members of your administration, I was so energized and inspired. I was encouraged by the clarify of your vision and the commitment you showed to turning things around."
Recounting his stay in Liberia, Dr. Nthara said President Weah lived up to his word and after he presided over a retreat between the World Bank and his Cabinet, on December 15, 2019, under the theme "Maximizing World Bank Group Support to Liberia."
According to him, that retreat set the stage for what has been a truly rewarding and productive partnership between the World Bank and Liberia.
"Indeed, the results of that partnership are there for all to see. Your Government turned the macro-situation around, that saw inflation decline from around 37% in 2019 to single digit. I recall when I arrived, the exchange rate was around 200 Liberian Dollars to 1 US dollar, but the Liberian dollar has gained strength and is now at around 154 Liberian Dollars to 1 US dollar," he said.
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"Liberia stands out in the region as a beacon of sound macroeconomic management. It is for this reason, that in 2020, Liberia also reached the threshold for graduation from the World Bank's list of Fragile and Conflict-affected states. All these achievements were possible because your Government followed through your commitment to do the right things and turn the situation around. Some of the steps you took, such as wage harmonization, were not popular, but you did not waiver. Indeed, it was because of your Government's determination to do the right thing that we were also able to make a case with our Senior Management and our Board to double budgetary support to Liberia from $20 million per year to $40 million."
Dr. Nthara said last year, the amount was even increased to $55 million, adding "this is because your Government implemented some key reforms that attracted additional resources from one of the special windows. Liberia was the first country to in the whole World Bank to receive budgetary resources under that window."
"Mr President, beyond stabilizing the macroeconomic situation, we have over the past four years broken many new records in our partnership. The Bank's net commitments to national projects doubled from around $500 million to $1 billion. Today, the World Bank's portfolio in Liberia stands at $1.4 billion. Within this portfolio, we have seen World Bank financing to agriculture triple from $25 million in 2018 to $80 million today."
