Bill Seeks To Levy Remittance Transactions

Bill-Seeks-To-Levy-Remittance-Transactions

Montserrado County Senator Abraham Darius Dillon has formally submitted to the Liberian Senate a proposed legislation titled the “Diaspora Development Fund Act of 2026,” a bill seeking to establish a sustainable national development financing mechanism through a fixed contribution of US$1 on every remittance transaction sent to Liberia from abroad.

Liberia’s diaspora community remains one of the country’s largest economic lifelines, contributing millions of dollars annually to support families, businesses, education, healthcare, and local communities

In a communication submitted on Thursday, May 18, 2026, Senator Dillon said the initiative was developed in consultation with the Diaspora Liberian Development Initiatives (DLDI), a Liberia-focused development organization headquartered in Bloomington, Minnesota, in the United States.

He said the proposed measure seeks to transform Liberia’s vast remittance network into a long-term national development instrument capable of supporting strategic infrastructure and socio-economic projects throughout the country.

Dillon said every remittance transaction originating outside Liberia and sent to beneficiaries within the country would attract a flat US$1 contribution toward the newly proposed Diaspora Development Fund (DDF), regardless of the amount being transferred or the identity of the sender.

Senator Dillon clarified that the initiative is not based on the value of remittances but rather on the volume and frequency of remittance transactions made annually by Liberians and other individuals abroad who send financial support to Liberia.

“The principle behind this initiative is collective national participation,” the Senator explained in the communication. “Through the combined power of millions of remittance transactions each year, Liberia can establish a sustainable development financing mechanism independent of traditional budgetary constraints and excessive foreign aid dependency,” he said.

Montserrado County Senator said despite the enormous contribution of diaspora remittances to household survival and economic stability, the country has lacked a structured institutional mechanism capable of channelling a small fraction of those flows toward long-term public development initiatives.

He said the draft proposal, the Fund would operate independently from Liberia’s national budget and would be insulated from political interference through a combination of statutory protections, external audits, and representative governance structures involving the diaspora community and if enacted and effectively managed, Senator Dillon believes the initiative could finance transformative projects across multiple sectors of Liberia’s economy and social infrastructure.

Dillon indicated that the proposed areas of investment highlighted in the legislation include expansion of reliable electricity infrastructure nationwide; construction of modern vocational and technical institutions across Liberia’s four geographical regions; training programs for Liberian scientists, engineers, doctors, and technology professionals; expansion of affordable nationwide internet and digital infrastructure; establishment of industrial production hubs to support “Made in Liberia” manufacturing initiatives; development of safe drinking water systems in urban and rural communities; youth empowerment and agricultural development programs; and community-based infrastructure and sanitation initiatives.

“Key provisions reportedly include independent custodianship and regulatory supervision by the Central Bank of Liberia; Mandatory annual independent audits and public financial reporting; Creation of a representative county-based Diaspora Development Board; Legal protection against political interference; Exclusion of the Fund from incorporation into the National Budget; and Equitable county-based allocation of development resources according to community needs and national priorities,” he said.

He said the proposed Diaspora Development Board would reportedly include diaspora representatives and stakeholders tasked with overseeing project selection, monitoring implementation, and ensuring transparency in the management of resources.

Senator Dillon disclosed that the initiative has already received encouragement and support from several prominent Liberian diaspora organizations across the United States, Europe, Canada, and Australia.

He named the Union of Liberian Associations in the Americas (ULAA); European Federation of Liberian Associations (EFLA); Federation of Lofa Associations in the Americas (FLAA); Liberian Association in Canada (LAC); and Liberian Association in Queensland (LAQ) as key institutions that have endorsed the proposed law.

The Senator described the level of diaspora engagement surrounding the initiative as unprecedented, stating that Liberians abroad are increasingly seeking structured and sustainable ways to participate directly in national reconstruction and development efforts back home.

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