A Week After CBL Governor Appeared Before House
PHOTO: Rep. Sebo (CDC)
By Mark N Mengonfia- mmenginfia@gmail.com
A week after the Central Bank of Liberia (CBL) called for the printing of nearly 28 billion Liberian dollars banknotes, a ranking member of the House Banking and finance Committee, Representative Dixon Sebo of the ruling CDC is calling on the CBL “to take control of the monetary sector more efficiently and more effectively.”
“The monetary people must take control of the monetary regime.” CBL must take full control,” Rep. Sebo (CDC) Montserrado County District #16 Representative said on Monday morning (January 25, 2021) edition of the Freedom Fm 87.9 radio talk show.
The CBL’s management has in recent times said it has put a number of forward-looking policy measures in place to improve Liberia’s monetary sector.
Disagreeing that there is lack of trust in the banking system, Rep. Sebo said some people or businesses are hoarding money with sinister intent.
The Montserrado County District #16 Representative urged CBL to take another look of the interest rates in the country.
Last Tuesday, CBL Executive Governor proposed the printing of 27.5 Billion Liberian dollars banknotes to restore the Liberia’s struggling economy.
The CBL Governor appearing before the House
Mr. Alloyrious Tarlue, who appeared before the House of Representatives, the CBL Governor was speaking recently, when he appeared before the House of Representatives, said based on the need and the shock in the economy of the Country.
He said the CBL has communicated with the President of Liberia to on words inform the Liberian legislature for the printing of the 27.5 billion dollars; a proposal expected to be implemented within three years.
Governor Tarlue indicated that in the CBL’s proposal for the printing of said amount, they will need the total of years period 21.7 million to print the required money.
Speaking further, the CBL boss said they at that government institution see the need for Liberia to transition to cashless economy wherein Liberians will transact business exchanges there mobile money transaction or Visa card. He went on to say money printed since 2009 has 40% degradation thus dropping the values of the money.
Giving his justification for seeking for transitioning to cashless society, the CBL boss said around December, 2020, the total money in in bank was 25.3 billion with the 22.5 billion being outside of the bank as of the end of December.
The CBL Governor also informed members of the legislature that 10.4 billion of the Liberian currency have turned to mutilated money which he also said is one of the factors to the declined economic.
Another point the CBL boss raised is the concomitant use of the two sets of banknotes on the Liberian market, something he said is a serious problem to the country. When the issue of the printing of 4 billion, which was recently printed was raised, the CBL boss indicated that 88.5% of the recently printed 4 billion banknotes have been infused in the economy; yet the country’s economy is still at its ebb.
The CBL boss was accompanied by his Deputy and advisor before the House of Representatives. Lawmakers raised critical issues such as the possibility of having the money printed, means of raising the needed money for the proposal money.
The lawmakers resolved to executive session to have deeper deliberations on the issue of possibilities of printing of new banknotes or maintaining the current banknotes.