By: Samuel B. Johnson
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In a significant development for Liberia's economic growth, the Ministry of Commerce and Industry (MOCI) and the Central Bank of Liberia (CBL) have signed agreements with participating financial institutions to roll out Phase II of the Micro, Small, and Medium Enterprises (MSME) Line of Credit (LOC) under the Liberia Finance Investment and Trade Project (LIFT-P).
The signing ceremony, held at the Central Bank of Liberia, was led by Minister of Commerce and Industry, Hon. Magdalene Ellen Dagoseh, and Executive Governor of the Central Bank of Liberia, Hon. Henry F. Saamoi. This initiative aims to provide low-cost, long-term loans to MSMEs, enabling them to drive private sector development and support sustainable economic growth across Liberia.
The LOC will launch its second phase with a total facility of US$6 million, building on the success of Phase I, which disbursed US$2.5 million in November and December 2024. The project prioritizes Liberian-owned businesses, particularly women-owned and women-led enterprises, and encourages applications from SMEs engaged in light manufacturing, processing, and innovative sectors.
Seven participating financial institutions will provide financing to eligible MSMEs, including Afriland First Bank Liberia Limited, Citi Trust Microfinance Company, Liberian Enterprise Development Finance Company, Fearless Women Microfinance, Diaconia Microfinance Deposit-Taking Institution, Business Link Microfinance, and Right Bank Partners. These institutions have been approved by the National Project Steering Committee of the LIFT Project with the endorsement of the World Bank.
Key details for MSMEs under the LOC include a maximum loan amount of US$100,000 per sub-borrower for banks and 7% of capital for non-bank financial institutions. The facility prioritizes Liberian-owned businesses and requires timely repayment to ensure program continuity.
The LIFT Project aims to improve the investment climate, expand sustainable access to finance, and increase trade efficiency in Liberia. By channeling long-term capital through competitively selected private financial institutions, the project seeks to strengthen Liberia's private and financial sectors, fostering trade, investment, and broad-based economic growth.
MSMEs interested in accessing financing through the LOC are encouraged to contact the participating financial institutions directly for further inquiries on the application process. With this initiative, Liberia's MSMEs are poised to drive economic growth and development, contributing to the country's prosperity.
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