CBL Launches Financial Sector Development Plan

MONROVIA – November 19, 2016:  The Liberia Financial Sector Development Implementation Plan (FSDIP) has officially been launched, with a call on development partners, government ministries and agencies, as well as private sector institutions to contribute meaningfully to the initiative.

 

Delivering the keynote address Friday, November 18, 2016, at the Monrovia City Hall at a program marking the official launch of the FSDIP, the Vice President, Ambassador Joseph N. Boakai said Liberia has made noticeable strides in the sphere of regulation and supervision when compared to other countries in the Mano River Basin, especially in the areas of financial sector stability and access to finance. The Vice President, however, noted that despite the progress, much remains to be done to put in place key legislations that would provide financial safety net to limit losses in the value of assets in the event of a financial crisis. On pension funds, the Vice President observed that there exists a number of legal issues which require attention, such as the absence of regulation and supervision of the funds in Liberia. Vice President Boakai also spoke of progress in the insurance sector, which he said, has benefited greatly from increased supervision and technical assistance in recent years, adding, “there are still areas of concern in the regulation and supervision of the banking and insurance sectors.” He noted that much needs to be done in the areas of payments and solvency, macro prudential surveillance function, financial resolutions, as well as a financial crisis prevention and management regime.

 

For his part, the Executive Governor of the Central Bank of Liberia (CBL), Mr. Milton A. Weeks, pointed out that the Financial Sector Development Implementation Plan (FSDIP) provides a prioritized roadmap of reforms in the banking and insurance sectors, banking and insurance supervision, credit information systems, payments and digital financial services, social security, financial inclusion and enterprise access to finance, as well as anti-money laundering and countering the financing of terrorism. As a ‘roadmap’, Governor Weeks said, FSDIP is a useful tool, but achieving the vision of a strong, stable financial sector will require more than a roadmap. “It will require the deep collective commitment, willingness to work together, and adequate resources from all,” the Governor maintained.

 

Governor Weeks disclosed that to operationalize the FSDIP, a governance structure that is comprised of a Steering Committee, a Secretariat, and three working groups – Financial Stability, Financial Inclusion, and Financial Infrastructure – will be established and supported with World Bank Technical Assistance.  The Plan, he said, will also be accompanied by a robust monitoring and evaluation framework that will enable stakeholders to gauge the progress of the FSDIP reforms.

 

The occasion was also addressed by the representative of the Country Manager of the World Bank, Ms. Larisa Leshchenko; the Resident Representative of the International Monetary Fund (IMF), Mr. Charles Amo-Yartey and the Minister of Finance & Development Planning, Mr. Boima S. Kamara. They promised their continued cooperation in ensuring the successful implementation of the FSDIP.

 

For further details contact:

 

Cyrus Wleh Badio

Head of Communications

Central Bank of Liberia

Email: cwbadio@cbl.org.lr/wlevan1000@yahoo.com