Cuts Agriculture, Other Sectors Allocations

By Jerromie S. Walters

MONROVIA – The Government of Liberia has presented a 2026 draft budget that delivers massive funding increases to infrastructure, security, and energy while imposing steep cuts on the agriculture sector and key governance bodies. The historic US$1.2 billion spending plan was formally submitted to the National Legislature on Friday, November 7, 2025. 

This comes as Liberia’s infrastructure is being rebuilt and reformed after being severely damaged by civil war, with current projects focusing on improving the road network, expanding electricity access, and rehabilitating key facilities.

A review of the expenditure lines reveals the Ministry of Public Works emerging as the biggest winner. Its allocation has skyrocketed from US$41.3 million in 2025 to a staggering US$114.3 million in 2026, a 177% increase intended to accelerate road construction and national rehabilitation projects.

Similarly, the Liberia Electricity Corporation (LEC) received a monumental boost, with its budget leaping from US$4.8 million to US$50 million, a more than tenfold increase that signals a major push to resolve the nation’s perennial power crisis. The security sector is another major beneficiary. 

The Ministry of Justice saw its budget jump to US$62.2 million from US$43.3 million, while the National Security Agency was allocated US$22.2 million, up from US$13.9 million. The Liberia National Police and the Liberia Drug Enforcement Agency also received significant bumps, with the LDEA’s budget more than doubling to US$7.7 million. The Judiciary received an increased allocation of US$32.7 million, up from US$24.9 million, reinforcing the third branch of government.

Conversely, several critical institutions face severe budget reductions. The most dramatic cut is to the Civil Service Agency (CSA), which saw its allocation slashed by over two-thirds, from US$8.9 million to just US$2.9 million. The Ministry of Agriculture also faced a surprising reduction, with its budget falling from US$10.6 million to US$9.5 million.

However, this appears at odds with national food security goals and the government’s stated support for smallholder farmers. The National Elections Commission (NEC), a pillar of democracy, saw its funding reduced to US$4.5 million from US$5.3 million, a cut that may draw concern ahead of future electoral cycles.

Legislature, Anti-Corruption Bodies Get More:

The National Legislature budget also increase from US$41.4 million to US$51.7 million. Meanwhile, key anti-corruption and governance institutions received notable boosts. The Liberia Anti-Corruption Commission (LACC) was allocated US$4.4 million, up from US$3 million. 

The the Financial Intelligence Agency (FIA) more than doubled its budget to US$4.7 million. The General Auditing Commission (GAC) and the Internal Audit Agency also received increases. The social sectors saw a mixed picture. The Ministry of Health received a substantial increase to US$77.1 million, and the Ministry of Education remains the largest ministerial allocation at US$133 million. 

The Ministry of Gender, Children, and Social Protection received a modest increase to US$3.4 million.

However, the National Commission on Disabilities saw only a minor increase to US$576,384, and the National Disaster Management Agency was allocated less than US$1 million despite increasing climate vulnerabilities.

More of the budget:

The proposed budget allocates $145.8 million for Public Administration to cover core government operations, including employee compensation and debt servicing. A total of $66.9 million is designated for Municipal Government to fund decentralization efforts, sanitation services, and county-level development projects. For Security and Rule of Law, $151.8 million is geared toward enhancing justice services, national safety, and prison improvements.

In the social sectors, Health receives $101.7 million, focusing on drug supplies, mental health, rural health infrastructure, and expanding essential medical services. The Education sector is allocated $124 million to support tuition-free policies, school renovations, feeding programs, and institutional upgrades. Furthermore, $16.1 million is dedicated to Social Development Services for youth empowerment and support for vulnerable populations.

For infrastructure and economic development, $133.2 million is directed to Infrastructure and Basic Services to drive road construction, equipment procurement, and regional connectivity. The Energy and Environment sector is set to receive $78.2 million for climate resilience projects and ensuring a stable electricity supply. Agriculture receives $13.7 million to increase domestic food production and reduce import reliance, while Industry and Commerce is allocated $16.2 million to support small businesses and revenue growth initiatives.

Budget Composition and Priorities

The FY2026 budget is divided between recurrent expenditures (76.7% or $929.6 million) sustaining government and public services, and a significantly expanded PSIP (23.2% or $281.5 million) focusing on infrastructure and long-term development projects.

Policy reforms include increasing the Goods and Services Tax (GST) from 12% to 13%, introducing a 2% corporate income tax on large concessions, and enhanced digital economy taxation—measures to broaden the tax base and ensure equitable contributions.

Gender Responsive Planning and Budgeting (GRPB) remains a strategic focus, with targeted investments to close gender gaps, expand scholarships for girls in STEM, and strengthen gender-based violence response services. Liberia maintains a prudent fiscal stance with a public debt portfolio of $2.7 billion and an allocated debt servicing budget of $230 million for 2026. 

The government plans ongoing debt restructuring to create fiscal space for critical development expenditures. Official Development Assistance (ODA) is projected at $313 million, complementing domestic resources with grants and concessional loans supporting economic transformation, climate resilience, human capital, infrastructure, and governance.

What’s next

The draft budget now moves to the legislature for review. The legislature has until the end of the fiscal year to debate, amend, and pass the budget into law.

The presentation ceremony took place at the Capitol Building, where the Minister of Finance and Development Planning, Hon. Augustine Kpehe Ngafuan, presented the draft budget to House Speaker Hon. Richard Nagbe Koon on behalf of President Joseph Nyuma Boakai. 

Presenting the document, Minister Ngafuan noted that the draft budget was informed by the fiscal performance of the current year and reflects the government’s priorities to strengthen revenue generation and address key national expenditure needs. “It is my distinguished honor to present the draft budget for FY 2026. This submission is informed by the budget’s performance over the first six months of the fiscal year, addressing revenue outcomes and prioritizing critical expenditures for the country,” Minister Ngafuan stated. 

Receiving the draft budget, Speaker Richard Nagbe Koon commended the Ministry of Finance and Development Planning for the timely submission and assured that the Legislature will commence immediate scrutiny through its Committee on Ways, Means, and Finance. “We appreciate the tune of US$1.2 billion and hope the revenue projections are realistic to avoid shortfalls,” Speaker Koon said. The Speaker further disclosed that the review process will begin early this week and requested additional copies of the draft budget to be distributed to all members for effective deliberation.

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