-Governor Tarlue calls for vibrant Agriculture, Manufacturing Productions
By Edwin M. Fayia, III,fayiaedwin@gmail.com
Central Bank of Liberia (CBL) Executive Governor, Aloysius Tarlue says the Liberian economy experienced only four percent growth in the first quarter of its operations, due to the “subdued global economic trend”.
In order to remedy the situation, Mr. Tarlue is recommending urgent need for sustained agriculture and manufacturing productions. He believes this could ensure a genuine growth in the Liberian economy.
He was addressing a major monetary policy press conference on Tuesday March 3, 2020 in Monrovia.
Flanked by members of the Board of Governors of the CBL, Mr. Tarlue said a key factor that undermined the country’s economic growth rate is the decline in the export base of the economy in the rubber and steel sectors and the global spread of the corona virus.
He however noted that the current monetary policy crafted by the Board of Governors, Research Department and the Technical Monetary Committee would help mitigate the current inflation and weak performance of the Liberian dollar against the all-powerful United States dollar.
Governor Tarlue has at the same time disclosed sustained plans to sensitize Liberians and the greater business community to consider the critical need to use the commercial banks in terms of genuine financial transactions in the country.
Eighty percent of the Liberian dollars are outside of the banking system, according to the CBL boss. He is urging Liberians to prioritize the effective use of the commercial banks in order to ensure the development and growth of the Liberian economy in the years to come.
Besides, Tarlue indicated that there are already plans in the making to digitize the CBL and cautioned Liberians and the business community to embrace the digital revolution which continues to make monetary transactions and financial instruments very easy to handle globally.
He further told the gathering of top banking officials and the media that the CBL has designed genuine mechanisms to ensure that commercial banks and other financial institutions in the country carry out their activities in a better business and financial environment.
Liberia is currently importing rice in the country at a cost of US$200,000,000.00, something that is indeed having impact on the economy, the CBL Executive Governor noted.
He warned that such a trend cannot enhance macro-economic development, growth and progress.
Governor Tarlue also blamed the current economic down trend in Liberia on the sporadic decline in market and merchandise trade and the overall decline in the export sector of the country.
He added that bank officials remain very optimistic that the current monetary policy released would stimulate economic growth during the operations of the current first quarter.
He also assured Liberians and the business community that the policy will improve socioeconomic conditions.
Asked why other countries in the West African region economies were performing better than Liberia, Governor Tarlue noted that there are different structures, policies and production capacities and variations in export earnings.