The European Union transferred a non-reimbursable grant amounting to EUR 6.25 million (nearly USD 6.9 million) to the Government of Liberia in the second half of May. The grant arrived on May 29, 2020 in the revenue account of the Government to support the budget of the Republic of Liberia.
This was the third payment under the EU's budget support programme called "Moving Liberia forward – Improving service delivery and public investment". Disbursement of this payment comes after a fast-track approval by the European Commission's Directorate-General for International Cooperation and Development.
Ambassador Hélène Cavé, Head of the European Union Delegation to Liberia, said: "Our central services in Brussels approved the disbursement of EUR 6.25 million in record speed in the light of urgent needs caused by the COVID pandemic. This is indeed very good news for Liberians. We hope that this budget support will help the Government deal with the health and economic challenges and reduce the hardship of Liberians during the current state of emergency." She continued "Last year the government took two courageous and necessary steps reforming the Government's wage system and signing up to a program with the International Monetary Fund. I am very happy that the Liberia Anti-Corruption Agency checked that public officials correctly declared their assets and that the Liberia Revenue Authority raised outstanding money from forestry." She added "I would like express my heartfelt thanks the Liberian Government for the close cooperation with the European Union which allowed for the rapid processing."
Frequently asked questions
What is the EU?
EU stands for the European Union. Today the EU is made up of 27European countries that aim to promote common interests of its member states.
With whom does the EU work?
The EU does not work with its member states alone. It also works with other friendly countries around the world. The EU is a friend of Liberia.
How does the EU work with Liberia?
The EU helps Liberia through budget support to the government. It also gives money for development projects across the country for example for farming, learning, roads and current.
What is budget support?
Budget support is money the EU gives to the Liberian government to add up to the national budget.
What is the national budget?
The national budget is the financial plan for a country’s government. The budget states how much money the government intends to spend during a year, what it plans to spend it on, and where it believes to get the money from to pay for that spending.
How does the EU give budget support to Liberia?
The EU asks the Liberian government to take certain positive steps before it gives any budget support. These steps are called the general and specific conditions. The EU checks carefully that the conditions have been met and then sends the money to the bank account of the government.
What are the general conditions?
The general conditions for EU budget support are always the same. Government needs to
What are the specific conditions and has Liberia met them?
The government work for the EU budget support on specific conditions in these areas of focus from 2018 to 2020
How much money will Liberia get if the Conditions are met?
At most € 24 million
Budget Support explained in 1 minute & 18 seconds
Watch the video: https://europa.eu/capacity4dev/macro-eco_pub-fin/discussions/budget-support-explained-1-minute-18-seconds-0 (1 minute and 18 seconds)