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By LAEJN Editorial Team
Despite a recent World Bank report highlighting agriculture as the main driver of Liberia’s 4.0% GDP growth in 2024—contributing an estimated 1.3 percentage points to overall expansion—the sector has once again received a minimal allocation in the government’s 2026 draft national budget. The proposed USD 13.6 million for agriculture represents just 1% of the total USD 1.2 billion budget.
The World Bank attributes the rebound in growth to robust outputs in rubber and rice—two of Liberia’s most critical commodities—supported by favorable global prices, improved infrastructure, and targeted public investments. The report further suggests that sustained agricultural growth could anchor Liberia’s transition from stabilization to inclusive development, provided that value addition and rural infrastructure investments continue to accelerate.
According to the draft budget, the Ministry of Agriculture receives USD 9.54 million, followed by the Central Agricultural Research Institute (CARI) with USD 2.25 million. The Liberia Agriculture Commodity Regulatory Authority (LACRA) is allotted USD 892,118, while the Cooperative Development Agency (CDA) gets USD 848,019. The Rubber Development Fund Incorporated (RDFI) receives the smallest allocation—just USD 132,152.
Agriculture employs over 60% of Liberia’s population, yet its allocation remains far below the Comprehensive Africa Agriculture Development Programme (CAADP) benchmark, which calls for at least 10% of national budgets to be devoted to agriculture to achieve 6% annual growth.
Earlier this year, Liberia reaffirmed its commitment to the CAADP Declaration, which seeks to revolutionize Africa’s agri-food systems by 2035. Vice President Jeremiah Kpan Koung pledged at the African Union Extra-Ordinary Summit on CAADP in Kampala, Uganda.
“The CAADP Declaration provides a bold and strategic framework for sustainable agricultural transformation across Africa. Liberia is proud to stand behind this vision as we work towards enhancing food security, increasing productivity, and fostering rural development,” Vice President Koung stated.
He emphasized Liberia’s efforts to align national agricultural strategies with CAADP principles. “Our government is prioritizing investments in smallholder farming, value chain development, and climate-resilient agricultural practices. These steps are critical to transforming Liberia’s agricultural sector and boosting its contribution to economic growth.”
Koung also praised the role of partnerships with regional and international institutions. “Through collaboration with stakeholders, including the AU, ECOWAS, development partners, and local communities, Liberia is building a future where agriculture becomes a sustainable driver of progress,” he said.
Implications for Liberia’s $900 Million Legacy Investment Program
In September 2025, at the Africa Food Systems Forum in Dakar, Senegal, Liberia unveiled an ambitious USD 900 million Legacy Investment Program aimed at transforming food systems, boosting rural livelihoods, and accelerating economic growth over the next five years.
Agriculture Minister Alexander Nuetah described the initiative as central to Liberia’s drive for food self-sufficiency, improved nutrition, and job creation. The program focuses on five key value chains: rice, cassava, maize, coffee, and oil palm.
“The Legacy Investment Program is intentional about evidence-based provision of inputs, infrastructure, technology, and services that will drive productivity across agricultural value chains—from production to processing, transport, and marketing,” Minister Nuetah explained.
According to him at the time, the strategy aligns with Liberia’s broader goal of achieving lower-middle-income status by 2030, reducing unemployment, especially among youth and women, and increasing GDP per capita from USD 866 in 2024 to USD 1,115 by 2030.
However, experts warn that the 1% budget allocation undermines the ambition of such programs, reflecting limited domestic commitment to agricultural transformation. Without substantial investment, Liberia risks continued dependence on food imports, vulnerability to external shocks, and weak rural economic growth.
Donor Dependency Dominates Agriculture Financing
A large share of Liberia’s agriculture financing comes from external donors, particularly multilateral and bilateral partners. The World Bank, African Development Bank (AfDB), and International Fund for Agricultural Development (IFAD) are among the main financiers of major programs such as the Rural Economic Transformation Project (RETRAP) and the Smallholder Agricultural Transformation and Agribusiness Revitalization Project (STAR-P).
While these projects have injected critical resources into improving rural roads, agribusiness capacity, and market access, they expose Liberia’s agriculture sector to fiscal vulnerability and sustainability risks. Experts caution that when donor projects end, there is often limited national capacity or domestic funding to sustain the results.
“The country cannot continue to rely on donors for core agriculture functions like extension, mechanization, and research,” said Jonathan Steward, a sustainable development professional. “National ownership requires budgetary commitment, not just policy declarations.”
As the 2026 draft budget has now been submitted to the Legislature for debate, stakeholders are urging lawmakers to revisit allocations to the agriculture sector in line with the National Agriculture Investment Plan (NAIP) and CAADP commitments. A budget that prioritizes agricultural productivity, rural infrastructure, and farmer empowerment, they argue, could serve as a strong foundation for sustained and inclusive economic growth.
