Economy In Liberia
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With unemployment rate of 70 percent, Liberia is a country facing many problems and fiscal deficit. Liberia is listed among some of the poorest countries of the world although its per capita income is that of Japan’s. Fourteen years of civil war has managed to destroy Liberia’s economy. Liberia needs peace and stability both economically and socially. |
The infrastructure around the county’s capital, Monrovia, has been destroyed. Many businessmen have fled the country taking with them their riches and expertise. Re-building the infrastructure and raising the income levels in this financially wrecked country will depend on technical and financial donations from other countries.
Surprisingly this country is filled with natural resources like gold, diamonds, and iron ore but civil war has wrecked the sector. Iron production has been stopped completely. The main crops grown in Liberia include rice, cassava, sugarcane, cocoa, coffee, and palm oil.
Embargos on timber and diamond exports have been lifted, and thereby, creating a new revenue source for the government of Liberia.
Living expense in Liberia is extremely high. Newspapers are so expensive that it is not affordable by 70 percent of Liberians. Due to high rates of transportation, and poor condition of the city roads, it is difficult to transport newspapers to every corner of the country. As a result, newspapers are only available in the capital. This makes radio the primary source of mass communication.
Liberia along with its poor economy also faces a huge amount of debt from many bilateral creditors, national creditors, and multilateral creditor. It owes a large debt of around 3.4 billion dollars. Many bilateral banks, including the United States, have promised debt relief and the IMF, the World Bank and the African Development Bank have approved a formal program to clear Liberia's arrears of $1.5 billion to international financial constitutions. With this relief, Liberian government hopes to make important economic reforms to attract foreign investments.
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