Liberia Advances, Yet Challenges Remain

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Liberia Advances, Yet Challenges Remain

Liberia Advances, Yet Challenges Remain

Liberia has achieved its best showing in almost ten years on the Millennium Challenge Corporation (MCC) Scorecard for Fiscal Year 2026, meeting 12 of the 22 criteria — an increase from the previous year's 10 out of 20. The findings, announced by the U.S. government's MCC, represent a consistent progress in the nation's governance and financial management reforms during President Joseph Nyuma Boakai's leadership.

The Minister of Finance and Development Planning, Augustine Kpehe Ngafuan, praised the progress, sharing on social media: "Congratulations to President Boakai, the government, and the people of Liberia. We are getting closer."

His positive outlook highlights both advancement and perseverance — a feeling that Liberia is nearing the point of qualifying for an MCC compact, despite ongoing institutional and societal issues still needing resolution.

The Millennium Challenge Corporation, a U.S. government organization founded in 2004, evaluates developing countries using over 20 indicators related to governance, economic liberty, and human resources. Nations that show strong performance may be eligible for "compacts" — extensive grant initiatives that support infrastructure, energy, and institutional improvements designed to alleviate poverty and encourage economic development.

Liberia's final compact, worth $257 million (2016-2021), centered on increasing electricity availability and enhancing road infrastructure, such as assistance to the Liberia Electricity Corporation (LEC) and the Mount Coffee Hydro Power Plant. This funding contributed to expanding access to cost-effective energy and upgrading major road systems — a clear example of MCC's measurable influence on Liberia's recovery after the war.

The 2026 Report Card: A Detailed Examination

As per MCC data, Liberia has met 12 out of 22 criteria — a significant improvement that places it among the leading low-income nations in West Africa.

Key success areas include Fiscal Policy, which was approved for the first time since 2007, showing enhanced public financial management and deficit control; Inflation, which has dropped to 7.6% from 29% in 2020, indicating price stability and better monetary supervision, and Control of Corruption (59%), highlighting advancements in accountability and transparency. Other areas include Freedom of Information (93%), reflecting ongoing openness and media freedom, as well as Gender in the Economy (84%), Land Rights (78%), and Access to Credit (73%), showing improvement in economic inclusion, property rights, and financial accessibility.

These improvements indicate that the Boakai administration's initial focus on financial responsibility and openness is starting to show outcomes. Liberia's overall economic situation seems more secure, and its governance metrics still demonstrate steady progress in building stronger institutions.

Although there have been improvements, the report points out significant weaknesses in social and institutional performance. Liberia did not meet 10 indicators, such as Civil Liberties, Government Effectiveness, Primary Education Expenditures, and Child Health. Additional areas include Business Start-Up, Employment Opportunities, Regulatory Quality, Girls' Primary Education Completion, Natural Resource Protection, and Access to Justice.

These regions highlight the nation's ongoing structural vulnerabilities — restricted job growth, inadequate service provision, ineffective regulatory oversight, and minimal funding for education and healthcare.

A social observer and policy expert, Wantoe Teah Wantoe, provided a serious analysis on his social media account on Wednesday, "The MCC Scorecard is not a chart of colors; it is a reflection of how well a state is performing and the consistency of its policies. Every failed indicator signifies an unfulfilled promise to the people. This isn't about red or green; it's about the ability to govern effectively."

He pointed out that Liberia's gradual advancement in metrics — increasing from 10 to 12 criteria met — has not yet led to a significant qualitative change. "In governance, remaining static is not considered progress. The issue is not the lack of plans, but the lack of institutional momentum," he stated.

Five-Year Performance Trend

In the last five years, Liberia's path with the MCC has involved steady recovery and transformation:

Year Indicators Passed Compact Eligibility Status Remarks
2021 8 of 20 Failed Poor in financial management, corruption, and schooling
2022 9 of 20 Failed Minimal advancements in openness and commerce
2023 9 of 20 Failed Improved inflation management
2025 10 of 20 Failed Improvements in combating corruption, yet poor social results
2026 12 of 22 Progressing Fiscal policy is approved for the first time since 2007; enhanced macroeconomic stability

This movement shows consistent, though gradual, growth. The Boakai administration's focus on financial responsibility, anti-corruption measures, and fair governance seems to be yielding results — yet Liberia has not reached the compact threshold, usually set for countries meeting at least half of their indicators along with crucial corruption control and democracy benchmarks.

Liberia's involvement with the MCC started in 2012 under the leadership of former President Ellen Johnson Sirleaf, when the nation initially began utilizing the MCC Scorecard as a standard for improving governance.

The initial MCC agreement (2016-2021) greatly improved energy and road infrastructure, aiding in the restoration of the Mount Coffee Hydro Plant, the building of transmission lines, and the strengthening of institutions at the Liberia Electricity Regulatory Commission (LERC).

Nevertheless, due to delays in implementing reforms and worries regarding long-term viability, Liberia was not chosen for a second compact in 2021. The administration has been striving to regain trust and enhance governance indicators to become eligible again.

What This Year's Enhancement Signifies

Experts think the 2026 outcomes bring Liberia nearer than ever to qualifying for a new MCC compact — possibly releasing hundreds of millions of dollars in grant funding for infrastructure, education, and institutional growth.

In a nation still struggling with poverty and weak institutions, this advancement reflects growing global trust.

As Minister Ngafuan stated, "We are getting nearer."

However, for Liberia to meet the criteria, the Boakai administration needs to focus on human capital development, reform of the justice system, and improving the efficiency of the public sector — areas where it still struggles.

The MCC Scorecard is not a form of punishment; it is an evaluation of trustworthiness," Wantoe stated. "A government's success relies on consistency, not just words.

Nevertheless, Liberia's 2026 MCC Scorecard outcome reflects a sense of guarded hope. The nation's advancements in financial management and institutional reforms are evident, yet the ongoing challenges in education, judicial systems, and social progress highlight the extensive journey that remains.

The recent advancement signifies more than just statistical achievement — it reflects a trial of political determination. If maintained, Liberia's path could lead to a new MCC agreement, reviving one of the most impactful collaborations in its development journey since the war.

For Wantoe and others, the scorecard serves as both an acknowledgment and a test—a reflection showing not only Liberia's current position, but also the distance it still needs to cover.

Copyright 2025 Liberian Observer. All rights reserved. Shared by AllAfrica Global Media (okay1).

Tagged: Liberia, West Africa

Provided by SyndiGate Media Inc. (Syndigate.info).


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