Sierra Leone Government and IMF Strike US$20.4 Million Deal

In a landmark development, IMF officials and Sierra Leonean authorities have sealed a staff-level agreement on crucial economic policies, marking the successful conclusion of the eighth and final review of the 60-month ECF financed program.

The agreement paves the way for the release of approximately US$20.4 million in financing upon formal approval by the IMF Executive Board.

Recent external shocks and policy lapses have played a role in exacerbating macroeconomic imbalances, leading to high inflation, mounting debt, and dwindling international reserves.

The nation grapples with a cost-of-living crisis that has taken a severe toll on its citizens. While steps have been taken to tighten the macroeconomic policy stance, further efforts are deemed necessary.

The ECF-supported program has laid a robust foundation for economic recovery, addressing macroeconomic instability, mitigating debt vulnerabilities, and providing safeguards for the most vulnerable segments of the population.

Noteworthy reforms supported by the ECF encompass strengthened tax administration, enhanced public financial management, and fortified oversight of the financial sector.