As the exchange rate between the United States Dollar and the Liberia Dollar currencies continues to skyrocket, the Government of Liberia has attributed the sharp rise in the exchange rate to the post festive season demand of US Dollars in the foreign exchange market, describing it as temporary.
Speaking Tuesday, January 21, 2025, at the Ministry of Information regular press briefing, Information Minister Jerolinmek Matthew Piah said the government is aware that Liberians have been concerned about the instability of the exchange rates in the country.
He said when the festive seasons are gone, the demand for United State Dollars is on an increase and it brings pressure on the business sector. “The CBL is saying it is not permanent; they are going to adjust the exchange rate,”he said.
According to him, this is a constant historical trend with foreign exchange market patterns between post December and the festive seasons of christma and New Year and does not reflect any structural weakness on the Liberian foreign exchange market.
He said the CBL has reassured the public that the current exchange rate is expected to drop down soon as there is low amount of Liberian Dollars on the market, saying that the United States Dollars in remittances as of the end of November 2024 is about 661.8 million
He said the volume of Liberian Dollars in circulation is extremely low and called on Liberians holding huge sums of Liberian Dollars not to panic about the current rate but see it as an opportunity to invest.
Therefore, the Information Minister said the CBL has vowed to remain committed to collaborating with authorities to ensure a stable micro economic environment and will continue to monitor the foreign exchange market.
By Lucky M. McGee
