By Caroline N. Wonokay
Director, Policy & Planning
“National development cannot outpace investment in food security and rural livelihoods.”
Monrovia, Liberia — The passage of Liberia’s Fiscal Year 2026 National Budget signals renewed momentum in advancing the country’s development priorities. Major investments in education, health, infrastructure, and energy reflect government’s commitment to strengthening human capital and rebuilding critical national systems.
Education received US$136.3 million, the largest sector allocation, followed by US$102 million for health. Public Works rose significantly to US$114.2 million, while energy financing expanded dramatically, with the Liberia Electricity Corporation receiving US$50 million.
These are bold and necessary investments.
But within this national financing framework lies a sector whose importance far outweighs its fiscal allocation — agriculture.
The Agriculture Sector received US$14.9 million in the approved FY2026 Budget.
While this demonstrates continued government support, the allocation remains modest when measured against the sector’s central role in Liberia’s economy and national stability.
Agriculture is not a peripheral sector. It is Liberia’s largest employer and the primary source of livelihood for the majority of the population. It feeds the nation, sustains rural economies, reduces poverty, and anchors food security.
Importantly, agriculture is positioned as the first pillar of the ARREST Agenda for Inclusive Development — the Government of Liberia’s flagship national development framework. This placement is not symbolic; it reflects the strategic recognition that national transformation must begin with food systems, rural productivity, and agricultural value chains.
As the first pillar, agriculture is expected to drive:
Food security and nutrition
Job creation, particularly for youth and rural populations
Import substitution, especially rice
Agro-industrial growth
Rural income expansion
If Liberia must achieve the objectives of the ARREST Agenda, agriculture financing must correspond with this level of policy prioritization.
Allocating US$14.9 million to the lead pillar of the national development agenda raises a critical planning question — whether fiscal commitments are sufficiently aligned with stated national priorities.
A substantial share of the agriculture allocation will inevitably finance recurrent expenditures such as salaries, fuel, administration, and operational coordination. While necessary, these costs limit fiscal space for transformational investments.
Mechanization expansion, irrigation infrastructure, seed systems, post-harvest facilities, and agro-processing require sustained capital financing. Without these investments, productivity growth will remain slow and national food import dependence will persist.
Liberia continues to spend heavily on rice imports annually — a structural imbalance that scaled domestic production could significantly reduce. Increasing agricultural financing is therefore not merely a sector request; it is a macroeconomic necessity.
Underinvestment in agriculture carries measurable national risks.
Food import bills will remain high, placing pressure on foreign exchange reserves. Rural unemployment will persist. Productivity gaps will widen. Climate vulnerability will intensify. Food price instability will continue to affect households nationwide.
Conversely, increased investment in agriculture generates high national returns.
Agricultural growth has one of the strongest poverty reduction effects globally. Investments in mechanization, irrigation, and value addition produce multiplier effects across employment, trade, manufacturing, and revenue generation.
If Liberia is to realize the ambitions of the ARREST Agenda, reduce import dependence, and achieve inclusive growth, agriculture financing must increase progressively in future national budgets.
Several policy actions are therefore imperative.
First, future budget frameworks should move toward aligning agricultural financing with continental commitments such as the CAADP benchmark of allocating at least 10 percent of national budgets to agriculture.
Second, public financing must prioritize capital investments that directly increase productivity and value addition.
Third, a multi-year agricultural investment roadmap should guide predictable transformation financing.
Fourth, public funding should be used strategically to crowd in private sector investment across priority value chains.
The FY2026 Budget reflects strong national ambition. But no development framework can succeed if its lead pillar is underfinanced.
Agriculture, as the first pillar of the ARREST Agenda, must be prioritized not only in policy rhetoric but in fiscal allocation.
The pathway to national development begins with food security, rural prosperity, and agricultural transformation. Strengthening agriculture financing is therefore not optional — it is foundational to achieving Liberia’s national development agenda.
