Monrovia — Liberia recorded strong gains in fiscal discipline, debt sustainability, external reserves, and banking sector stability in 2025, positioning the country among the top-performing ECOWAS Member States on key macroeconomic convergence indicators.
Speaking at the Joint Opening Ceremony of the 67th Ordinary Meeting of the Committee of Governors of Central Banks of ECOWAS Member States, Executive Governor of the Central Bank of Liberia (CBL), Henry F. Saamoi, highlighted what he described as significant progress in strengthening Liberia's macroeconomic fundamentals.
The event, held at the Farmington Hotel in Margibi County, brought together central bank governors and senior policymakers from across the region to assess macroeconomic performance and advance regional monetary integration under the Economic Community of West African States (ECOWAS).
Fiscal Discipline and Debt Sustainability
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Governor Saamoi disclosed that total government revenue and grants rose by 18.6 percent in the first half of 2025, driven by improved revenue mobilization and disciplined expenditure management.
"Total government revenue and grants rose by 18.6 percent in the first half of 2025, enabling Liberia to achieve a balanced budget -- well within the three percent ECOWAS threshold," he said.
Public debt declined to an estimated 54.2 percent of GDP, strengthening Liberia's compliance with ECOWAS convergence benchmarks.
"These ratios -- deficit-to-GDP and debt-to-GDP -- place Liberia among the best-performing countries in budget deficit control and debt sustainability under the convergence criteria," Saamoi emphasized.
Strong External Sector Performance
Liberia's external sector also recorded notable gains in 2025.
Exports increased by more than 30 percent, while gross external reserves rose by US$101 million to US$575.5 million. Net international reserves exceeded the IMF-agreed target by nearly US$16 million at end-December 2025, rising from US$234 million in 2024 to over US$282 million.
The Liberian dollar remained broadly stable, depreciating by only 0.9 percent against the US dollar -- well within the ECOWAS secondary convergence criterion of plus or minus 10 percent -- and appreciating by 3.2 percent on an end-period basis compared to December 2024.
Regional Outlook Improves
Governor Saamoi reported that ECOWAS economies grew by 4.5 percent in 2025, with growth projected to reach 5.0 percent in 2026, supported by coordinated monetary policies and sustained reforms.
Regional inflation fell sharply from 23.3 percent in 2024 to 16.8 percent in 2025, with further moderation expected.
"These gains are not mere statistics," Saamoi noted, citing improved resilience despite global uncertainties, including weakening commodity prices, tightening financial conditions, and geopolitical tensions.
He announced that four ECOWAS member states are expected to meet all four primary convergence criteria in 2025 -- double the number recorded in 2024 -- while several others made progress toward meeting inflation, fiscal deficit, and debt sustainability targets.
Challenges Remain
Despite the improvements, Saamoi acknowledged that many member states continue to face inflationary pressures, fiscal deficits above convergence thresholds, and heavy debt servicing burdens.
He stressed the need to diversify economies beyond unprocessed commodities, strengthen domestic revenue systems, and maintain expenditure discipline to reduce vulnerability to external shocks.
Convergence Score Improves
Meanwhile, Abudul Salam Abideyemi, Director General of the West Africa Monetary Institute (WAMI), reported that the composite convergence score for the West African Monetary Zone (WAMZ) rose to 58.3 percent from 50 percent at end-June 2024.
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"These outcomes suggest gradual adjustment and policy coordination across the zone, although performance gaps remain, particularly in areas affected by persistent inflation, fiscal constraints, and structural vulnerabilities," he said.
The convergence score measures how well member states meet agreed macroeconomic stability criteria -- including inflation control, fiscal discipline, debt sustainability, and external stability -- required for deeper regional integration and the eventual adoption of a single currency.
With Liberia meeting four of the six convergence criteria in 2025, policymakers say the country is strengthening its position within the regional push toward monetary union, even as broader reforms remain necessary to sustain momentum.
