House Moves to Review Boakai’s Request for New Banknote Printing Amid Liquidity Pressure

Monrovia, Liberia: The House of Representatives has formally begun reviewing a request from President Joseph Nyuma Boakai seeking approval for the printing of additional Liberian dollar banknotes for the period 2026 to 2030, in a move aimed at addressing mounting liquidity pressures within the national economy.

‎The proposal has been forwarded to the House Committee on Banking and Currency for detailed scrutiny following its reading on the floor during plenary on Thursday, April 9, 2026, marking the start of legislative examination of one of the government’s most significant recent monetary requests.

‎In his communication to lawmakers, President Boakai underscored the urgency behind the request, stating, “This measure is necessary to ensure that the Central Bank maintains adequate liquidity to meet the growing demands of our economy,” grounding the proposal in statutory authority under the amended Act establishing the Central Bank of Liberia, particularly Section 6(b) and (c), which empowers the institution to issue and regulate national currency.

‎He further provided historical context, reminding the Legislature that “since 1999, Liberia has undertaken three major currency replacement exercises,” including the most recent between 2021 and 2024, during which more than L$48 billion was printed to address both currency replacement needs and rising demand in circulation.

‎Despite those interventions, the President warned that structural challenges persist within the cash system, stating, “The rise in mutilated banknotes, reduced reserves, and the continued dependence on cash transactions have placed significant pressure on our currency system,” highlighting ongoing vulnerabilities in liquidity management.

‎President Boakai further disclosed concerning reserve levels, noting that “as of December 31, 2025, only 7.06 percent of banknotes remain in reserve, which is insufficient to sustain projected liquidity needs,” signaling what he described as a tightening monetary environment that requires urgent policy response.

‎The President argued that approving the request would deliver broad economic benefits, emphasizing that “This initiative will help stabilize transactions, support both public and private sector activities, and strengthen our foreign exchange position,” while also linking the measure to national financial reform objectives.

‎He also positioned the proposal within Liberia’s regional economic ambitions, stating, “It will advance Liberia’s de-dollarization strategy and enhance our readiness for monetary integration within the ECOWAS framework,” reinforcing its alignment with broader West African monetary goals.

‎At the same time, President Boakai assured lawmakers of full transparency in implementation, stating, “The Central Bank will provide regular reports to the Legislature to ensure full accountability throughout the implementation process,” as part of oversight guarantees attached to the request.

‎Meanwhile, the House Committee on Banking and Currency is expected to conduct a comprehensive review of the proposal and submit its findings and recommendations to plenary within the statutory period of the ongoing special session.