Is the Central Bank of Liberia Broke?

first_img35 employees of the Central Bank of Liberia have been brought under the jurisdiction of the court and prohibited from leaving the country until the investigation into the alleged missing L$16 billion is concluded.Is the Central Bank of Liberia broke? And is it so broke to the extent that public financial instruments held by individuals and institutions are purportedly being reportedly downgraded, is the million dollar question lingering on the kinds of the public.The answer is yes, according to a Liberian financial expert Yanqui Zaza who made the disclosure at a Governance Commission one-day policy forum on the state of the Liberian economy held over the weekend at the Lutheran compound in Sinkor.Mr. Zaza disclosed that the Government of Liberia (GOL) in 2016 owed commercial banks a total of US$ 42,435,165. He explained that an analysis of commercial banks’ loan portfolios shows that three sectors of the economy accounts for the stated amount remained outstanding at the close of the fiscal period. Those sectors, according to him are a) Trade; b) Construction and c) Services, while Manufacturing accounted for a mere 5 percent of the total.He furthered that GOL’s over-reliance on what he calls User taxes which include Excise, Value added, Payroll, Income, Real Estate, Property, Sales and other related taxes to finance its budget is unsustainable because such a practice usually leads to the accumulation of huge debts borrowed from international financial institutions such as the World Bank and IMF.Earlier, the President of the Liberian Bank for Development and Investment (LBDI) John Davies, from whom Mr. Zaza apparently took his cue, had disclosed during his presentation that the severity of this problem has created a situation wherein commercial banks have developed a tendency to display a rather knee-jerk reaction-NEXT- to those presenting GOL contracts and obligations as collateral for lending assistance.Given the growing public outcry against rising economic difficulties induced by the current liquidity crisis and given the importance that the Daily Observer attaches to this matter, several attempts made over the past few weeks to contact the Central Bank Governor or any of his functionaries for comment proved futile until late Sunday evening when this newspaper finally succeed in establishing contact with Mr. Cyrus Badio, Public Relations Manager at the Central Bank.When asked for comment on Mr. Zaza’s averments that the Central Bank of Liberia at the close of fiscal year 2016 owed commercial banks to the tone of US$42,435,165, Mr. Badio replied that he could not comment since such information was not availed to him, however promised to contact the relevant individuals clothed with the authority to speak on such matters. He did not say when, although requested the Daily Observer to hold on to its story until he had done so.Meanwhile the Daily Observer has confirmed its readiness to publish the Central Bank’s comments in reaction to Mr. Zaza’s comments.Share this:Click to share on Twitter (Opens in new window)Click to share on Facebook (Opens in new window)last_img read more

Liverpool in shock move for Newcastle reject, Rodgers set for Swansea return?

first_imgHere are the top transfer-related stories in Thursday’s newspapers and online…Manchester United and Chelsea are both interested in Antoine Griezmann this summer, although there are fears over his Premier League suitability. Griezmann has been the subject of intense Premier League interest over the past two years and at 25, he is now pondering a move away from Spain. (Daily Mail)Brendan Rodgers wants assurances about his budget before taking the Swansea job. Former Liverpool boss Rodgers is in line to make a sensational return to the Swans after being targeted as the Welsh club’s first choice to be their next boss. Rodgers is in pole position and the Swansea players believe he is likely to come back this summer, four years after leaving for Anfield. (Daily Mirror)Hatem Ben Arfa is set for a sensational return to the Premier League with Jurgen Klopp’s Liverpool. The German boss is set to hand French international Ben Arfa another shot in the English top flight after a torrid time at Newcastle and Hull. (The Sun)Liverpool will launch a £35million bid to sign Callum Wilson and Aaron Cresswell. Bournemouth striker Wilson would cost £20m and West Ham defender Cresswell £15m. (The Sun)Klopp has also personally instructed his scouts to monitor Borussia Dortmund teenager Christian Pulisic. The 17-year-old has broken into the Dortmund first team this season, making 10 appearances in total for the German club. And Klopp has put Pulisic on Liverpool’s long-term radar, viewing him as one of the premier talents in Europe. (Daily Mail)Tottenham are ready to offer Andre Schurrle a return to the Premier League. Winger Schurrle only joined Wolfsburg from Chelsea just over a year ago, but is already unsettled at the Bundesliga club. (Daily Mirror)Victor Wanyama is continuing to stall on a new deal at Southampton. The defensive midfielder is holding out for a move to title-chasing Tottenham this summer with just a year left on his contract. (Daily Mirror)Claudio Ranieri has made a last-ditch attempt to hijack Francesco Totti’s move to America. It looked as if Leicester were about to fail in their audacious bid to land the Italian icon — after it emerged that the star preferred a switch to the States to join New York Cosmos. But boss Ranieri has personally phoned the World Cup winner in a bid to convince him to head to Leicester instead. (The Sun)Stoke and Leicester scouts have been tracking Paris Saint-Germain youth midfielder Yakou Meite. (Stoke Sentinel)Eddie Howe was in Leeds watching teenager Lewis Cook on Tuesday as Bournemouth gear up to renew their interest in the midfielder this summer. (Daily Mail)And here are the latest talkSPORT.com headlines…??Exclusive – Invincible Lauren insists Arsene Wenger is still the ‘right man’ for ArsenalArsenal Invincible tells talkSPORT: ‘I don’t want to see Tottenham lifting that Premier League trophy!’ Arsenal FC: Funny clip – Ray Parlour forgot which country his Invincibles team-mate is fromAly Cissokho set to start Aston Villa exodus after relegation by making Besiktas switchManuel Neuer quashes Manchester City speculation by signing new long-term Bayern Munich contractLiverpool transfer report: Reds send scouts to watch Colombia ace Marlos Moreno at US tournamentBorussia Dortmund beat Liverpool to highly-rated French starlet Ousmane Dembele – reportsNewcastle to reignite interest in French midfielder Clement Grenier, but Lyon admit ‘he is not in a good place’Fenerbahce snubbed £8m deal for Riyad Mahrez last summer to sign Liverpool flop Lazar MarkovicTRANSFER FIGHT! Leicester, Liverpool AND Tottenham want Serie A star Josip Iliciclast_img read more