Senators have summoned Finance Minister Augustine Kpehe Ngafuan to testify about the lack of printed copies of the approved 2025 national budget and its non-distribution, nearly two months after enactment.
Enacted on January 6, the budget has not yet been uploaded to the Ministry of Finance and Development Planning’s website, becoming a focal point of debate, highlighting critical issues in open governance.
Minister Ngafuan is expected to address lawmakers during the plenary session on Tuesday. The delayed release of the budget raises questions about the administration’s commitment to transparency in its fiscal processes.
The approved budget for the 2025 spending period totals $880.7 million, a figure negotiated in January between President Joseph Boakai and legislators. However, the implications of a pending freeze on U.S. aid further complicate the situation, as Liberia stands to lose approximately $200 million in anticipated USAID disbursements this year. Critical sectors such as health, education, and agriculture are poised to bear the brunt of these funding cuts.
In light of these challenges, a ranking lawmaker has hinted at the possibility of a budget recast to address the funding gap caused by the loss of aid. The urgency of the situation has prompted the Ministry of Finance to issue directives urging all government ministries and agencies to adopt the scale of preference concept – “prioritize their priorities” amidst the evident scarcity of resources.
“The scarcity of resources is a reality, and all Heads or Senior Management of Spending Entities must not lose sight of this reality,” the Ministry’s memo states. It further emphasizes the necessity for fiscal prudence, instructing that approved budgets for Fiscal Year 2025 be adhered to strictly and cautioning against the mismanagement of resources.
While the $880 million budget reflects a 19.2% increase over the previous year’s figures, it falls significantly short of the $2 billion in funding requests submitted by government entities during the budget formulation process, the ministry said in a recent statement. This substantial gap highlights the ongoing challenges the government faces in meeting its fiscal obligations.
The Ministry of Finance also noted that only a contingency reserve of $3.26 million was allocated within the Fiscal Year 2025 budget to deal with unforeseen demands, a stark contrast to the potential financial pressures that may arise throughout the year.
As lawmakers await clarity from Minister Ngafuan, the broader implications of the unavailability of budget documents remain under scrutiny. The call for transparency, responsible fiscal management, and effective communication from the government has never been more urgent, as the nation grapples with the consequences of limited funding and the need for accountability in public spending.
