MONROVIA: Giving briefing to President Joseph Nyuma Boakai on the Millennium Challenge Corporation Compact Development Talks, the Compact Development Team leaders told the president that the proposed compact is expected to prioritize investment in transmission infrastructure, including the expansion, rehabilitation and construction of new transmission facilities.
According to the team leaders, the initiative is also expected to support reforms in the governance of the electricity sector to encourage greater private-sector participation in power generation and improve efficiency in electricity distribution.
An executive mansion statement indicated that presenting the report on the progress of the engagement, National Coordinator, Dr. Nyien, further disclosed that the exercise has enjoyed the strong support of the Ministry of Finance and Development Planning and relevant sector institutions, as the country works to advance the proposed compact.
He informed President Boakai that the process is now moving into a phase focused on identifying and designing projects for the two priority sectors, electricity infrastructure and mining sector reforms, with the goal of promoting economic expansion.
National Coordinator Nyien further noted that the decision to focus on the electricity sector was informed by the Team’s understanding that the MCC has tried to explore sectors that can promote economic growth in the country.
The recent briefing to President Boakai focused on electricity and mining reforms.
In the discussions that followed the briefings, it was noted that the government considers technical support to strengthen its capacity to evaluate investment proposals and negotiate agreements.
According to the executive mansion, this will ensure that contracts reflect Liberia’s interests and deliver greater benefits to the country.
As part of the next steps, an electricity options and readiness study was found to be as needed so as to identify potential investment options and determine the requirements for implementing the preferred approach.
This study is expected to provide recommendations by January 2027, giving the government a basis for deciding which electricity investment option to pursue with the MCC.
The MCC Development Team made it clear that its compact development model is based on cooperation with partner countries rather than imposing predetermined projects.
Under this approach, Liberia identifies its development challenges and priorities, while the MCC collaborates in the developing and implementing appropriate solutions.
The team stressed that the pace of progress will depend on continued coordination between the Liberian government and the MCC, with the government seeking to move the process forward as quickly as possible.
Climaxing the session, President Boakai lauded the Team for the development of the proposed compact and expressed confidence in the expectations set for the compact, which aim to support Liberia’s broader economic development objectives by addressing persistent electricity constraints and strengthening the legal and institutional framework governing the mining sector.
Towards Economic Empowerment And Reconciliation
