The Speaker of the House of Representatives, Cllr. J. Fonati Koffa, has announced a proposed legislation aimed at reshaping Liberia’s trade landscape with the introduction of the Liberia Import-Export Bank (LIBEXIM).
Speaking at the 50th Anniversary and Inauguration of the Union of Liberian Associations in the Americas (ULAA) in Atlantic City, New Jersey, Koffa outlined the House’s efforts to create LIBEXIM as a crucial engine for boosting Liberia’s export capacity.
Addressing a gathering of the Liberian diaspora in Atlantic City, Speaker Koffa emphasized the significance of the proposed legislation, describing it as a transformative step in the country’s export strategy. “We are working in the House on a landmark piece of legislation that will create the Liberia Import Export Bank as a signature piece of Liberian trade engine in the 55th Legislature,” Koffa stated.
LIBEXIM, once established, will focus on enhancing the country’s ability to export finished goods, specifically in key sectors like rubber, wood products, and agricultural commodities such as fruits and vegetables.
Speaker Koffa highlighted that transitioning from raw material exports to finished products would stimulate job creation and fuel Liberia’s economic growth. “Finished products, rather than raw materials, are essential for job creation and sustainable economic development,” he added.
A central goal of the Liberia Import Export Bank is to drive investment in value-added sectors, a strategy that aligns with the country’s broader ambitions to move beyond its reliance on exporting raw goods.
Cllr. Koffa stressed that LIBEXIM would serve as a vital tool in Liberia’s economic transformation, particularly as it seeks to expand its global trade footprint.
During his address, the Speaker also expressed disappointment in Liberia’s limited participation in the African Growth and Opportunity Act (AGOA), a U.S. trade initiative that provides duty-free access to the American market for thousands of products. AGOA, launched in 2000 to foster trade between sub-Saharan African countries and the United States, has remained largely untapped by Liberia.
“Sadly, Liberians are not participants in the Obama-created AGOA program designed to trade with Africa and not just flush with aid to Africa,” Koffa lamented. He underscored that with the establishment of LIBEXIM, Liberia could finally position itself to take full advantage of AGOA and unlock new trade opportunities with the U.S.
AGOA has been a critical component of U.S.-Africa trade relations, offering duty-free access to over 1,800 products. Its objective is to encourage economic growth, reduce poverty, and strengthen trade ties between African nations and the U.S. Speaker Koffa urged Liberian businesses to engage more proactively with the program, noting that stronger AGOA participation could significantly benefit the country’s economic development.
Koffa also called upon the Liberian diaspora to leverage its influence and advocacy towards promoting Liberia’s economic development. He acknowledged the diaspora’s pivotal role in advocating for democracy and human rights during Liberia’s difficult periods and emphasized that now is the time to focus on the country’s economic progress, particularly by tapping into opportunities like AGOA.
The unveiling of the Liberia Import Export Bank legislation marks a new chapter in Liberia’s trade policy, with hopes that it will provide the necessary financial support for businesses and increase the country’s participation in global markets. As the bill progresses through the legislative process, it promises to play a key role in Liberia’s economic future.
In the case of the U.S., the Export-Import Bank is a government agency that provides a variety of tools intended to aid the export of American goods and services. The mission of the Bank is to create and sustain U.S. jobs by financing sales of U.S. exports to international buyers.
