President George M. Weah has officially submitted a Loan Agreement to the Honorable Legislature for ratification. The Agreement, “Loan Agreement between the Republic of Liberia and the African Development Fund (ADF) for the Program for Advancing Youth Entrepreneurship Investment (PAYED) Project A: The Liberian Youth Entrepreneurship Investment Bank”, aims to foster an optimal environment for the development and promotion of youth entrepreneurship and youth-led businesses in Liberia.
In a letter addressed to the Speaker of the House of Representatives, Dr. Bhofal Chambers, and read in plenary on Tuesday during the 12th day sitting of the 3rd Quarter, President Weah highlighted the primary objective of the project: to establish a sustainable institution that provides affordable development and financing solutions to Liberia’s youth-led businesses. The PAYED Project is the first of two projects within the broader Program for Advancing Entrepreneurship Investment.
Under the terms of the Agreement, the African Development Fund has agreed to extend a loan to Liberia in various convertible currencies, not exceeding the equivalent of UA12,000,000 (twelve million Units of Account) or US$16,000,000 (sixteen million United States dollars). This financial assistance is intended to support the financing of the project.
The loan agreement outlines that the duration of the loan shall be fifty (50) years, including a grace period of ten (10) years commencing on the date of the loan agreement. During this grace period, the service charge and commitment charge shall be payable, with payment dates set for February 15 and August 15 in each year, subject to Section 2.07 (accelerated repayment) of the agreement.
The Chief Executive expressed his confidence that the Legislature will consider and ratify the agreement, emphasizing its potential to significantly improve the lives of Liberia’s young population. The loan agreement represents a crucial step in advancing youth entrepreneurship and fostering economic growth in the country.
The President looks forward to the positive deliberations and collaboration with the Legislature in realizing the goals outlined in the Program for Advancing Youth Entrepreneurship Investment.
Meanwhile the plenary voted to forward the instrument to the committees on Ways, Means and Finance, Investment & Concession and Judiciary to report during the 55th Legislature.
