Gbarpolu County Senator Amara Konneh has formally written to the plenary of the Liberian Senate, raising alarms over the poor performance of the National Bureau of Concessions (NBC), which he says has contributed to significant economic shortfalls.
In his letter dated June 25 and addressed to Senate President Pro Tempore Nyonblee Karnga-Lawrence, Senator Konneh emphasized that despite the NBC’s mandate to enforce compliance, transparency, and accountability in concession agreements, the institution has failed to conduct timely reviews and enforce obligations. These lapses, he said, have led to oversight gaps and economic losses that threaten Liberia’s fiscal sustainability and long-term development goals.
“Following Liberia’s prolonged civil conflict—which devastated the economy more than two decades ago and triggered one of the largest economic collapses since World War II—successive governments adopted various investment incentive schemes to attract foreign direct investment and support post-war recovery,” Konneh noted in the communication.
These incentives, including tax holidays, royalty reductions, and special concessions, have played a crucial role in stimulating investment, creating jobs, and revitalizing key sectors such as mining, agriculture, forestry, and energy. However, Konneh stressed that a critical reassessment is needed.
“As we continue our national development journey, emerging concerns over the indefinite extension of these incentives require us to evaluate their effectiveness, fiscal impact, and developmental outcomes. Although they have facilitated capital inflows, ongoing challenges with revenue mobilization limit the government’s capacity to fund critical public investments and improve the welfare of the Liberian people,” he wrote.
Senator Konneh also raised concerns about widespread non-compliance by companies benefitting from these incentives, suggesting that many tax exemptions may not be delivering their promised economic benefits.
“To address these concerns proactively, I propose that the Senate Plenary convene a formal review session to evaluate Liberia’s investment incentive framework and assess its economic and fiscal impacts—comparing present-day outcomes with those from over two decades ago,” he said.
He proposed that the session be led by a special Senate committee, supported by technical consultants, and include participation from key Executive Branch institutions. These include:
Ministry of Finance and Development Planning (MFDP) – To present detailed fiscal analyses and budgetary implications of current incentive structures.
Liberia Revenue Authority (LRA) – To share the most recent Tax Expenditure Report, detailing the revenue impact of concessions and tax exemptions.
National Investment Commission (NIC) – To assess the effectiveness of investment incentives in attracting and retaining investors.
National Bureau of Concessions (NBC) – To present a completed concession compliance report, outlining oversight efforts and performance metrics.
Ministries of Mines & Energy and Agriculture, and the Forestry Development Agency (FDA) – To provide insights on active and inactive concessions and the economic value of sector-specific agreements.
Konneh also underscored the importance of this review in the context of a volatile global economy, marked by shifting trade dynamics, fluctuating aid flows, and uncertainty among bilateral and multilateral financial institutions.
“As a small, developing country, Liberia must take deliberate steps to secure its economic future by leveraging its natural resources and ensuring that fiscal policies and investment incentives are sustainable, well-targeted, and adaptable to global trends,” he stated.
With the 55th Legislature set to debate the renewal of expiring incentive agreements and consider new investment proposals, Konneh said the timing is ideal for a comprehensive review.
“This exercise will help identify policy gaps, strengthen compliance mechanisms, and enhance domestic revenue generation—crucial for national development, especially in light of declining external aid. Strengthening oversight at the NBC will be key to ensuring that concession agreements align with Liberia’s long-term fiscal and developmental priorities,” the communication concluded.
