By Godgift Harris
The House of Representatives’ Ways, Means and Finance Committee, has warned that the government projected US$1.2 billion revenue target for Fiscal Year 2026,
may be difficult to achieve unless sweeping reforms, stronger enforcement and greater accountability measures are urgently implemented across key revenue-generating institutions.
The caution comes in the committee preliminary report on the revenue component of the Draft FY2026 National Budget, following weeks of scrutiny of revenue forecasts, appearances by major government agencies and reviews of financial submissions from State-Owned Enterprises (SOEs).
According to the draft budget, government expects FY2026 revenue to rise by 36 percent compared to the approved FY2025 budget.
Of the projected amount, US$1.11 billion is anticipated from domestic sources, while external partners are expected to contribute US$72 million.
As of November 17, 2025, government collections stood at US$719 million, leaving an outstanding US$160 million yet to be collected for the current fiscal period.
The Committee reported mixed revenue performances among ministries and SOEs.
The Ministry of Finance and the Liberia Revenue Authority (LRA), proposed new tax laws.
The two agencies recommended shifting revenue sources from underperforming SOEs to the LRA to improve collection efficiency.
The status of the Assets Recovery Fund, which is projected to yield US$10 million, remains unclear.
The report flagged significant inconsistencies in the financial submissions of the Liberia Petroleum Refining Company (LPRC), and ordered the entity to submit missing statements before further assessments can be made.
The Liberia Maritime Authority (LiMA), has reportedly met most of its obligations, and is on course to achieve its US$14 million revenue target.
However, lawmakers rejected proposals to increase its assessment due to global uncertainties in the shipping industry.
The National Port Authority (NPA), and several other SOEs submitted incomplete or inadequate financial documents.
They were instructed to refile correct information for proper evaluation.
The Committee’s report warns that FY2026 revenue projections for the LPRC, NPA, NAFAA, LTA, LiMA and the Road Fund, appear unrealistic based on their current performance trends.
It further noted that the National Lottery Authority (NLA), and the Liberia Immigration Service (LIS), have the potential to generate significantly more revenue than currently projected if proper compliance mechanisms are enforced.
Lawmakers also pointed out that several pending oil and energy agreements under review by the Legislature could provide unbudgeted revenue boosts during the next fiscal year if finalized.
To ensure the FY2026 revenue target is achievable, the committee recommended: Fast-tracking major tax legislation to strengthen collection, transferring appropriate SOE revenue streams to the LRA. Enforcing mandatory audits and penalties for inaccurate or late submissions, Improving national revenue forecasting methods.
Strengthening coordination through a functional Revenue Mobilization Council.
The Ways and Means Committee concluded that while the US$1.2 billion target is attainable, it will require stronger enforcement, improved compliance, better SOE performance, and realistic projections.
Without these measures, the committee warns, the government risks falling short of its ambitious revenue expectations for the upcoming fiscal year.