The House of Representatives has instructed its Joint Committee on Ways, Means and Finance and Judiciary to review two loan agreements intended to finance part of the 2026 budget deficit.
Plenary took the decision due to a communication President Joseph Nyuma Boakai submitted on Tuesday, July 7, during the lawmakers 17th day sitting.
Upon reading of the communication, the committees were mandated to report their findings before July 17, to allow the plenary proceed with ratification in a timely manner.
Pres. Boakai said the loan agreements involve the African Development Fund, and the African Development Bank, acting jointly with the Fund as administrators of the Transition Support Facility.
He named the initiative as the Fiscal Sustainability and Mining Sector Governance Support Program, which he described as central to the economic recovery agenda.
The program is designed to strengthen fiscal sustainability, improve mineral governance, promote gender inclusion and enhance climate resilience.
According to Boakai, the Fund has agreed to extend a loan not exceeding 12,110,000 Units of Account to Liberia.
The loan is composed of two components, with 10,108, 000 Units of Account coming from the African Development Fund.
The remaining 1,930,000 Units of Account will come through the Transition Support Facility Loan Agreement.
Pres. Boakai explained that a Commitment Charge of 0.75 percent per annum will apply to any undisbursed portion of the loan balance.
He said, the Commitment Charge will begin accruing 120 days after the signing of the Loan Agreement, with payments due on May 15 and November 15 annually.
In a related communication, Pre. Boakai also submitted a Financing Agreement between Liberia and the International Development Association for legislative ratification.
The agreement, titled: the Liberia Second Resilient and Inclusive Growth Development Policy Financing, was referred to the same committees under an identical decision.
