Liberia's public capital spending fell to 5.7% of GDP in 2025 from 8.5% in 2024, the World Bank said in its Liberia Economic Update, according to a FrontPage Africa commentary on November 6 and to Senator Amara Konneh, quoted by the newspaper on November 9. The overall fiscal deficit narrowed to 2.1% of GDP from 2.5% over the same period, the Bank said.
Analysis: The 2.8-point cut in capital spending is seven times the 0.4-point narrowing of the deficit, by our calculation. That suggests other spending rose, or revenue fell, as a share of GDP. The reversal is recent. A year earlier, the Bank put 2024 capital spending at 8.2% of GDP, up from 6.7% in 2023, and the new edition revises 2024 to 8.5%. For contractors and equipment suppliers, the drop means fewer public works payments. It is also consistent with the Bank's warning that growth is not creating enough jobs. The 2027 budget's investment line, not yet published, will show whether the cut continues.
Source: FrontPage Africa (Monrovia), FrontPage Africa, 'Reflection on the World Bank Liberia Economic Update 2026', November 6, 2026 (commentary citing the report), 2025; AllAfrica, Liberian Observer via AllAfrica, 'Economic Growth Amid Rising Poverty', November 3, 2026, 2024; World Bank Group (Open Knowledge Repository), World Bank, Liberia Economic Update No. 6, September 2025, 2024; World Bank Group, World Bank press release, November 2026, 2025