Monrovia- The Executive Mansion through Deputy Presidential Press Secretary Smith Toby has clarified President George M. Weah’s recent request to the legislature seeking authorization for the Central Bank of Liberia (CBL) to print and infuse L$4 Billion into the economy.

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The president in that communication to the plenary of the Liberian Senate sought approval from that body to authorize the Central Bank of Liberia (CBL) to infuse L$4.0 billion into the economy.

But Toby said members of the legislature upon receiving the president’s communication raised issue claiming that the letter was not really clear because it only talks about infusion.

As a result of this, Toby said the legislature immediately wrote the president seeking clarification and he (president) responded that his communication is seeking approval from that body for printing and infusing additional Liberian banknote in the economy.

Toby said the President’s request is in accordance with Article 34(d) ii of the Constitution of Liberia, which states “(ii) No monies shall be drawn from the treasury except in consequence of appropriations made by legislative enactment and upon warrant of the President: and no coin shall be minted or national currency issued except by the expressed authority of the Legislature.

An annual statement and account of the receipt and expenditure of all public monies shall be submitted by the office of the President to the Legislature and published once a year.”

The Deputy Presidential Press Secretary spoke Tuesday, December 17, 2019, during the Executive Mansion regular press briefing held at the Ministry of Foreign Affairs in Monrovia.

Toby said the president is not imposing on the legislature to grant the Central Bank of Liberia to print additional L$4 billion, adding it is up to members of that body who are the people’s representatives to accept his request or not.

However, he said considering the current economic situation in the country especially as it relates to shortage of Liberian dollars, members of the legislature will see reason to positively act on the president’s communication.

Toby also denied that the government has already printed additional banknote as being rumored in some quarters.

In a communication to plenary dated December 12, 2019, President Weah said the response from the legislature should be in a timely manner in the interest of the nation and its people.

He said the increasing liquidity needs of the economy cannot be overemphasized especially during this festive period.

The Liberian leader noted that the current liquidity projection of the CBL compared to very low Liberian dollars vault cash positions of both CBL and commercial banks makes it imperative for the infusing of additional banknotes to reduce the financial pressure as a short-term measure.

He said the Executive is aware that the legislature is currently deliberating on pressing national issues including finalizing deliberation on authorization to CBL for the printing of new Liberian dollar banknotes.

President Weah stated that the existing situation presents a volatile financial environment such that the current Liberian dollar vault cash position of CBL remains very inadequate.

He said it cannot meet both current and future Liberian dollar liquidity demand of commercial banks thereby posing a potential security risk.

Courtesy of the News Newspaper