African Development Bank Grants $400,000 to Expand Liberia's Pension Coverage
Ahmed Attout, African Development Bank Director for Financial Sector Development, highlighted the project's potential impact.
ABIDJAN, Ivory Coast— The African Development Bank Group has approved a $400,000 grant to support the expansion of pension coverage in Liberia, aiming to reform and develop the country's pension sector, writes Winston Mwale.
The funding, sourced from the Capital Markets Development Trust Fund (CMDTF), will support the Liberia Pension Sector Intervention Project.
Currently, Liberia's National Social Security and Welfare Corporation (NASSCORP) primarily covers formal sector public service employees, leaving a gap in private sector and informal business coverage.
Henry F. Saamoi, Acting Executive Governor of the Central Bank of Liberia, expressed appreciation for the support.
"The Liberia Pension Sector Intervention Project should enhance Liberia's readiness for the development of its capital market by institutionalizing the investor base, and improving the pension sector's legal and regulatory environment," Saamoi said.
The project aims to assess the current pension system, develop a national strategy, and build capacity within the pension sector ecosystem. It will be implemented by the Central Bank of Liberia.
Ahmed Attout, African Development Bank Director for Financial Sector Development, highlighted the project's potential impact.
"We are excited to partner with the Central Bank of Liberia on this operation that is expected to facilitate a reformed pension system capable of mobilizing domestic savings," Attout said.
The grant is expected to enhance the enabling environment for pension services and support the emergence of a domestic institutional investor base, potentially broadening pension coverage and mobilizing additional savings for investment through domestic financial markets.