River Cess County Senator Twehway has introduced legislation that would anchor the nation’s currency to its gold reserves, marking a bold attempt to stabilize the Liberian dollar and curb inflation.
The proposed Gold Reserve and Currency Stabilization Act of 2026 seek to ensure Liberia’s mineral wealth directly supports monetary stability. Presenting the bill, Twehway argued that gold must serve as a “shield for the economy and a pillar for monetary stability.”
At the heart of the proposal is a National Gold Purchase Program, granting the Central Bank of Liberia the Right of First Refusal to buy a portion of all domestically produced gold before export. The aim is to build tangible reserves capable of backing the Liberian dollar.
“We are empowering the Central Bank to build real reserves, not just paper figures,” Twehway said, stressing that gold would act as a buffer against inflation and depreciation.
The legislation outlines several major reforms: Gold Royalty: A one percent in-kind royalty on medium- and large-scale mining operations, payable in physical gold, national refinery: Establishment of a refinery to encourage domestic processing.
Within 36 months, all raw gold exports must be refined locally to at least 95 percent purity or face a surcharge, currency support: Authorization for accumulated reserves to back the Liberian dollar, ease inflationary pressures, and improve Liberia’s international credit profile and, anti-smuggling penalties: Strict sanctions for gold smuggling and falsification of production records to curb illicit trade.
To ensure accountability, the bill mandates a Gold Reserve Oversight Committee comprising representatives from the Ministry of Finance, Central Bank, Ministry of Mines and Energy, and the Liberia Chamber of Commerce. The committee would publish quarterly reports on reserve levels and their impact on currency stability.
“This process must be transparent,” Twehway emphasized. “Liberians deserve to know how much gold we have and how it is strengthening their currency.”
The Act would take effect immediately upon passage. Twehway framed the measure not merely as mining policy but as a “currency survival policy,” arguing that a strong Liberian dollar must be backed by real value.
If enacted, the bill would represent a significant shift in Liberia’s monetary framework, placing gold reserves at the center of efforts to stabilize the currency, manage inflation, and shield the economy from external shocks.
