The International Monetary Fund (IMF) has completed the first and second reviews of Sierra Leone’s Extended Credit Facility (ECF) arrangement, enabling an immediate disbursement of about US$79.8 million. This brings total ECF disbursements to US$127.8 million.
The first review had been delayed last year due to fiscal overruns, reserve depletion, and reform delays, but authorities have since corrected course. The IMF noted that Sierra Leone’s economy is stabilizing, with projected growth of 4.4% in 2025 and inflation down to 4.4% as of October.
Despite improvements, the IMF highlighted high debt risk and low reserves, urging continued fiscal tightening, enhanced debt management, and protection of social spending. Authorities are also encouraged to rebuild reserves, strengthen financial oversight, and implement governance reforms to sustain economic recovery.
Mr. Bo Li, IMF Acting Chair, stated, “The authorities have brought the ECF back on track. Rebuilding reserves and maintaining debt sustainability remain urgent priorities, alongside steadfast implementation of fiscal and structural reforms.”
