The Finance Minister of Liberia, Augustine K Ngafuan has stated that Liberia budget 2011-12 will be significantly higher than the 1970s and 80s. Ngafuan has stated that continued investments have helped in the budget s growth.
The African Development Bank has provided Liberia with 50 million US dollars and the European Union has assisted with US$8 million. All these financial aids, along with various concession deals, have contributed significantly to Liberia s budget for the 2011-12 fiscal.
Highlights of Liberia Budget 2011-12:
In 2011-12 fiscal, government officials will receive a minimum salary of 100 US dollars. Ellen Johnson-Sirleaf, the President of Liberia, had earlier proposed that civil servants in Liberia be paid a minimum monthly remuneration of 110 US dollars.
The increase is a substantial one but Johnson-Sirleaf had stated that it was important as these workers were important for Liberia s economic recovery and development as well as continued peace.
Civil servants who have bachelor s degrees will receive an extra sum of US$ 225. In case of government servants with master s degrees the addition will amount to 370 US dollars.
Remuneration of doctors has been increased by US$340 as part of the 2011-12 Liberia budget.
2 million US dollars have been earmarked for repairing the Executive Mansion.
US$16.9 million will be provided to the National Elections Commission. 1.6 million US dollars have already been provided as emergency funding.
In 2011-12 pensioners will receive an addition of 300 Liberian dollars on their existing incomes. This will be provided on a monthly basis.
The Ministry of Public Works has been allocated 39.8 million and the Ministry of Education is set to receive 61.8 million. 64 million will be spent in national security and the Ministry of Health and Social Welfare will receive 46.2 million.
It is estimated that in 2011-12 Liberia will earn tax revenues amounting to 273,817,000 US dollars and US$ 89,919,000 from non-tax revenues. This includes a grant of 39,070,000 US dollars.
The projected cogent revenue in 2011-12 fiscal is US$ 92,635,000 and this includes 5 million US dollars from IDA credits.
In 2011-12 the bank balance of Liberia has been estimated at US$ 2,536,000.
The allotment to the health sector will increase by 30 percent in 2011-12 and in case of education there will be an addition of 16.5%.
The sector for Security and Rule of Law will comprise 12.3 percent of the Liberia budget 2011-12. The money spent in this domain will include the Judiciary, the Liberian National Police, the Armed Forces of Liberia and Bureau of Immigration and Naturalization.
In 2011-12 the Social Development Fund will see an increase. The concessions paid to the County Development Fund will go up to 17.4 million US dollars from US$7.6 million. Sirleaf has also stated that additional resources will be provided once the sources are determined.
The budgetary allotment to the Transparency and Accountability sector will be increased by 35.4 percent, going up to 27.5 million US dollars from US$20.3 million.
In 2011-12 fiscal the Public Administration sector will receive 75.8 million US dollars compared to US$67.7 million in 2010-11. This represents an increase of 11.9 percent.
The Liberia budget 2011-12 has earmarked a maximum amount of 12 million US dollars for debt servicing. US$25 million has been set apart as part of the debt resolution plans of the national government.
Majority of the funds allocated to the educational sector will be used for increasing the facilities available at the schools. The overall quality of services and infrastructure will be improved as well.
Liberia Budget 2011-12 Information:
The process of drafting the 2011-12 Liberia budget started in July but it got delayed as it was not passed earlier by the National Legislature. The civil officers are also yet to receive the announced increments but the national government has announced that the extra money will be provided on retroactive basis from September onwards.
Regarding the proposed increase in salaries of Liberian civil servants Johnson-Sirleaf had stated that they receive US$15, which is one of the lowest remunerations in the Western African sub region and is inclusive of the taxes. But now, the Liberian President stated, that they are performing better than their colleagues in other countries with better economic conditions and hence need to be compensated accordingly.
According to Sirleaf the national budget has been created in order to help Liberia reach its PRS policy goals. He feels that the budgetary allocations are practical and have been done keeping in mind the factor of unexpected loss of revenue.
The Director-General of the Cabinet in Liberia, Dr. Momo Rogers has said that the Liberia budget 2011-12 will focus on critical areas of national economy that presently require more financial assistance for developmental purposes: