Liberia: Sen. Amara Konneh Urges Thorough Review of Proposed Toll Road Concession Before Ratification, Says Deal Is...

Monrovia — Senator Amara Konneh of Gbarpolu County has cautioned the Liberian Senate against rushing to ratify the proposed toll road concession agreement between the Government of Liberia (GoL) and Pavifort AL Associates Ltd., warning that while the project is "directionally sound," it is "procedurally premature" and could expose the country to significant fiscal and legal risks if not properly reviewed.

In a detailed policy memo to Senator Albert Chie, Chair of the Joint Committee on Road Concession and Public Works, dated August 24, 2025, Senator Konneh -- who also chairs the Senate Committee on Public Accounts and Audits (PAC) and is a former Minister of Finance and Development Planning -- emphasized that the proposed deal, though well-intentioned, lacks the necessary legal, institutional, and fiscal foundations to ensure its success.

"This concession is a complex arrangement that cannot be rushed," Konneh wrote. "While the agreement attempts to address Liberia's vexing bad road infrastructure challenge, the government must carefully scrutinize its financial model, assumptions, potential exposure, and its impact on debt sustainability since our current overall debt distress is rated as 'High."'

The Pavifort Toll Road Project

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The proposed toll road concession between the Government of Liberia (GoL) and Pavifort AL Associates Ltd., a private infrastructure development firm, represents one of the country's most ambitious public-private partnership initiatives aimed at modernizing Liberia's transport infrastructure.

The concept originated from the government's plan to improve road connectivity between Monrovia and other major corridors, particularly those linking economic hubs and border regions. Under the proposed arrangement, Pavifort AL Associates, a Sierra Leonean company, would finance, construct, operate, and maintain a major highway corridor under a Build-Operate-Transfer (BOT) model. In return, the company would recover its investment through toll collections over a concession period.

Negotiations between the GoL and Pavifort AL Associates intensified in recent years, culminating in the signing of a draft concession agreement that was submitted to the Liberian Legislature for ratification. However, the proposal has drawn scrutiny from lawmakers, civil society actors, and infrastructure experts who have called for greater transparency and due diligence before approval.

Supporters of the deal argue that it offers a sustainable financing solution to address Liberia's poor road network, while critics contend that the agreement may have procedural and technical gaps that need to be addressed before ratification.

As of now, the concession remains under legislative review, with key stakeholders emphasizing the need for a thorough evaluation of the project's economic, environmental, and social implications before proceeding.

The proposed Pavifort AL Associates Toll Road Concession seeks to finance, construct, operate, and maintain a 255 kilometers of selected main primary roads in four counties: St. Paul's Bridge - Klay (38 km), Klay to Bo Waterside (79 km), Klay to Tubmanburg (22 km), Madina to Robertsport (30 km), and Voinjama to Kolahun to Mendikorma (86 km) road corridors.

These are strategic routes long regarded as some of Liberia's most critical but neglected transport arteries.

Valued at US$363.9 million, the project aims to significantly reduce travel time, boost cross-border trade with Sierra Leone and Guinea, and improve access to markets, schools, and health facilities in Liberia's northwest corridor.

Under the proposed financing structure, the GoL would contribute 40% of the total cost (approximately US$145.6 million), while Pavifort AL Associates would finance the remaining 60% (around US$218.3 million) through loans. The concession period is projected at 25 years, during which the concessionaire would operate toll booths to recover its investment and earn a return.

However, critics, including Senator Konneh, have questioned the project's economic viability, legal foundation, and potential fiscal risks, citing the absence of a Public-Private Partnership (PPP) framework, feasibility studies, and detailed financial projections.

Legal and Institutional Gaps

In his memo, Konneh stressed that the proposed agreement appears to bypass key provisions of the Public Procurement and Concessions Commission (PPCC) Act, and comes at a time when Liberia still lacks a formal PPP law or operational PPP Unit.

He warned that proceeding with the deal in the absence of these safeguards could violate Liberia's IMF-supported economic reform program, under which the establishment of a PPP policy and institutional framework is a key performance benchmark.

"No concession above US$400,000 should be signed until our PPP laws are enacted and institutionalized," Konneh said, adding that the World Bank is already supporting the government in developing such a framework under its ongoing budget support operation.

Fiscal Risk and Debt Sustainability

Konneh cautioned that the proposed financing model could expose the government to hidden liabilities, including minimum revenue guarantees, termination payments, and debt repayment obligations if traffic or toll revenues fall short of projections.

His analysis showed that the concession would require annual toll revenues of between US$43 million and US$54 million during the first 15 years just to break even -- figures he described as "optimistic" given Liberia's low vehicle traffic volumes.

Over the 25-year concession term, total breakeven revenues are projected to fall between US$845 million and US$1.17 billion.

"Breakeven requires sustained high traffic and toll growth, which may be unrealistic given our economic base," Konneh warned. "Fiscal risks are material and must be quantified before proceeding."

He also reminded policymakers that Liberia's debt distress remains high, and any additional off-balance-sheet commitments could undermine fiscal sustainability and future borrowing capacity.

Technical and Financial Due Diligence

The memo, addressed to Senator Albert Chie, Chairman of the Joint Committee on road Concession Agreement and Public Works Committee, called on the Senate to demand full access to the project's feasibility study, including details of the financial model, traffic forecasts, toll pricing structure, and construction and maintenance costs.

Konneh also urged the Ministry of Finance and Development Planning (MFDP) and the proposed PPP Office to independently vet all project assumptions and ensure that the Road Fund's contributions and debt repayment terms are financially sustainable.

"Liberia must lead with institutions, not improvisation," he said. "A well-structured PPP can unlock growth, but only if it is grounded in law, driven by data, and shielded by fiscal discipline."

Equity, Transparency, and Governance Concerns

The Gbarpolu Senator also raised equity concerns, questioning the social and economic impacts of placing toll booths in Bomi and Gbarpolu, two of Liberia's most economically disadvantaged counties.

He asked whether any socioeconomic impact assessments had been conducted to ensure the project does not disproportionately burden low-income residents.

Additionally, he suggested exploring alternative revenue options, such as modest increases in the Road Fund levy or excise taxes on alcohol and tobacco, to finance road infrastructure without imposing direct tolls on poor communities.

Konneh also called for greater transparency in the management of the National Road Fund, warning that unequal allocation of resources could lead to regional disparities and public distrust.

Strategic Recommendations

Before the Senate considers ratification, Konneh called on the Liberian Government to ensure legal readiness - enact the PPP Act and enforce PPCC compliance, and conduct technical validation, which requires full feasibility and financial model vetting by MFDP and development partners.

He called for the assessment of contingent liabilities, including guarantees and termination costs, seeking guidance from the IMF and World Bank to ensure compliance with macroeconomic reforms and run Scenario and Stress Tests - simulate various traffic and revenue scenarios to measure fiscal exposure.

Senator Konneh concluded that the Pavifort Toll Road Concession presents a valuable opportunity to address Liberia's infrastructure challenges but must not be rushed.

"This project is directionally sound but procedurally premature," he stated. "Liberia must resist the temptation to build national infrastructure through ad hoc deals and instead embed such initiatives within a durable legal, fiscal, and institutional framework."

The Boakai administration has made road construction a top priority. Under its flagship development plan, the ARREST Agenda for Inclusive Development (AAID), roads are highlighted as a key focus. The government believes that, if ratified, the proposed deal would significantly address road infrastructure challenges in western and northern Liberia.

While details of the agreement had not been publicly released until Senator Konneh's appraisal, senior UP officials say the project, if approved, could become one of the most consequential development initiatives of the Boakai-Koung administration, improving transportation and raising living standards for local communities.

Now, all eyes are on the Legislature to see whether it will ratify the deal or heed the advice of one of its influential members, Senator Amara Konneh.

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