THE ROAD BACK: IMF PRAISES SIERRA LEONE’S GAINS, DEMANDS DEEPER REVENUE REFORMS

The International Monetary Fund has given Sierra Leone a vote of confidence on its economic direction, even as it pressed the Government to move faster on revenue reforms and build stronger buffers against global shocks.

The commendation was made by the newly appointed Director of the IMF’s African Department, Dr. Zeine Zeidane, during discussions on Sierra Leone’s economic reform programme. He highlighted notable improvements recorded in 2025, including declining inflation, a more stable exchange rate, the achievement of international reserve targets, and continued progress toward debt sustainability.

According to Dr. Zeidane, the gains reflect disciplined macroeconomic policies and effective implementation of the Government’s reform agenda. But stability alone, he warned, will not guarantee long-term growth. The Fund urged authorities to strengthen domestic revenue mobilisation and enhance the country’s capacity to withstand future economic shocks.

Responding to the IMF’s observations, Minister of Finance Sheku Ahmed Fantamadi Bangura acknowledged that there is still room to improve domestic revenue collection despite progress under the Medium-Term Revenue Strategy (MTRS) 2023–2027. He noted that the strategy has increased domestic revenue by approximately one percentage point of Gross Domestic Product annually, but said further reforms are required to sustain that momentum.

The Finance Minister disclosed that the Government has requested additional technical assistance from the IMF to review and strengthen the MTRS. The support, he said, would help improve tax administration, broaden the tax base, and enhance the formalisation of economic activities to increase sustainable domestic revenue.

The IMF also welcomed the Government’s commitment to safeguarding social spending while maintaining fiscal discipline. Dr. Zeidane stressed that protecting investments in education, healthcare and other social services during fiscal consolidation would be essential for preserving social stability. He also called for greater efficiency and transparency in public expenditure.

On global risks, the IMF official warned that ongoing geopolitical tensions, including the conflict in the Middle East, continue to pose significant challenges for small open economies like Sierra Leone. He encouraged the Government to continue strengthening foreign exchange reserves and maintaining prudent fiscal policies to cushion the economy against external shocks, commodity price fluctuations and disruptions in global trade.

Dr. Zeidane further emphasized that sustained progress will depend on stronger institutions, improved public financial management, enhanced debt transparency and continued reforms in tax administration. He reaffirmed that the IMF remains committed to supporting Sierra Leone through technical assistance and policy advice.

Minister Bangura reaffirmed the Government’s commitment to implementing the IMF-supported programme, stating that continued political support and sound economic management will be critical to expanding domestic revenue, improving public finances and sustaining economic growth.

The Fund’s assessment reinforces confidence in Sierra Leone’s recent reforms while making one thing clear: the next phase must be about turning macroeconomic gains into jobs, services, and resilience that ordinary citizens can feel.