Finance and Development Planning Minister, Augustine Kpehe Ngafuan, has pledged that the Government of Liberia will settle nearly US$90 million in outstanding obligations to commercial banks, as part of deliberate efforts to rebuild confidence in the banking sector and strengthen private sector-led growth. The commitment was made at the 60th Anniversary celebration of the Liberian Bank for Development and Investment (LBDI), held at a local hotel in Monrovia.
The anniversary event brought together senior government officials, executives of commercial banks, private sector actors, and development partners to reflect on LBDI's six decades of contribution to Liberia's economic development and financial intermediation.
Delivering the keynote remarks, Minister Ngafuan said relations between the government and the banking sector are entering a new and improved phase, stressing that trust--once weakened by fiscal slippages--is steadily being restored through responsible financial management and clear budgetary priorities.
"Things are looking up for this country," Minister Ngafuan said. "The government does not intend to be a burden on the banking sector. We are taking deliberate actions to meet our obligations so that confidence can return and grow."
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He acknowledged that in previous years, strained public finances eroded confidence in government commitments, causing banks to limit their exposure and disengage from government transactions. However, he stressed that those days are ending.
"Years ago, when you heard about the government, you ran away. That is no longer the case," Ngafuan stated. "Now you are coming back, and we will cause more people to come back."
A central highlight of the Minister's address was the disclosure that debt servicing has become a major priority in the national budget, with almost US$90 million allocated in the upcoming fiscal year specifically to settle obligations owed to commercial banks.
"One of the key appropriations in this year's budget is debt servicing--very huge," Hon. Ngafuan emphasized. "We have almost ninety million dollars in next year's budget to pay commercial banks. We want to regain your confidence so you can do what you do best--power the private sector."
He said the government is determined to avoid defaulting on its responsibilities, noting that a stable and confident banking sector is indispensable to financing businesses, creating jobs, and sustaining economic recovery.
"We do not want to default," he said. "A strong banking sector is essential for private sector growth, and without the private sector, there can be no sustainable national development."
Minister Ngafuan also highlighted ongoing collaboration between the Ministry of Finance and Development Planning and the Central Bank of Liberia (CBL), pointing to policy and institutional reforms aimed at resuscitating the economy and addressing long-standing constraints to growth.
"We are taking big actions to deal with the constraints to growth," he noted. "When we unlock those constraints, the private sector is unlocked, the banking sector is enabled, and together we become the engine of economic growth."
He said these reforms are intended to create a more predictable macroeconomic environment that allows banks to lend with confidence and businesses to plan and expand.
Touching on financial innovation, the finance minister referenced upcoming initiatives on interoperability between mobile money platforms, describing them as critical to deepening financial inclusion, improving transaction efficiency, and stimulating economic activity across the country.
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"As the economy expands, we must ensure that those growing with us--our banks and our private sector--also improve and progress," Ngafuan added.
The 60th anniversary celebration of LBDI served not only as a moment to reflect on the bank's historical role in supporting national development, infrastructure, and private enterprise, but also as a platform for renewing the partnership between government and financial institutions.
Participants at the event underscored that restoring trust between the public sector and banks is essential to sustaining Liberia's economic recovery, with Minister Ngafuan's pledge signaling a clear policy direction anchored on fiscal discipline, debt repayment, and private sector empowerment.
