Research and consulting in Liberia

Country overview:

Amassing expertise into all aspects of Liberia’s economy, politics and societal affairs, IOA has undertaken wide-spread research and consulting on the country. Our analysts have followed the country’s burdensome trade deficit, resulting from the importation of both raw materials and consumer goods into a country that has few natural resources and little manufacturing. An economy based on rubber and forestry, with mining still an underdeveloped sector, has not changed fundamentally in a century. Wide-spread poverty has resulted in such protests as a women’s road blockade that crippled Monrovia in February 2024 to protest their husbands’ low military wages. Infrastructure is in tatters, and water and electricity are undependable in the capital, Monrovia.

Liberia survives through foreign aid and remittances sent to families from relatives working abroad. IOA consultants have noted how corruption in government hampers economic progress. With reform and a leadership rededicated to national development, natural resources can be equitably and sustainably managed to boost the economy, with forestry leading agriculture and value-added manufacturing.

Key opportunities in Liberia:

IOA economists have identified forestry as a field where wise investment can yield a sustainable growth industry, coupled with value-added manufacturing
Rubber and palm oil exports could prove lucrative with further value addition
Significant opportunities await investors in all sectors of infrastructure building, as well as tourism that can exploit the country’s beaches and rainforests

Key concerns/risks in Liberia:

Government corruption defies reformists’ efforts, discouraging economic growth
People’s welfare is dependent on foreign aid and remittances from abroad
A protracted civil war has left a legacy of a fragile nation prone to violence and vulnerable to new conflicts

Find out about how IOA can help you with research and consulting services in Liberia

Tips on doing business in Liberia:

Starting a business:

Foreigners are allowed to own property and/or operate businesses in Liberia with certain caveats. Some industries are closed to foreigners, including the supply of building sand, the import and sale of used clothing, used car sales, petrol station ownership, and the distribution of locally manufactured products.
Though the Liberian constitution originally forbade land sales to foreigners, this rule was changed in 2019, meaning that foreign investors may now own property
(Read more at: https://www.investliberia.gov.lr/)

Doing business:

The Liberian National Investment Commission offers numerous tax incentives for foreign investors willing to set up local operations. These include import tax waivers on capital goods, machinery, spare parts and medical equipment
Liberia is a member of the ECOWAS bloc, which allows for market access to much of West Africa
Liberia is a signatory to numerous trade and investment treaties, including the New York Convention on Arbitration which allows foreign investors to challenge local court decisions at the international level

Culture and society:

Standard English is widely used in administrative and business contexts, though a local derivative known as Liberian English is more commonly spoken in everyday life
In Liberia, it is considered appropriate to greet everyone present individually before sitting down for a meeting, and bargaining or haggling is considered an acceptable practice. It is generally advisable not to travel outside of urban areas after dark