Liberia: CBL, Afriland First Bank Pen MoU for Currency Exchange
— “No one should reject the old banknotes for [any] reason,” CBL Gov. Tarnue says.
The Central Bank of Liberia (CBL) has signed a Memorandum of Understanding (MoU) with Afriland First Bank to facilitate the currency exchange notes through the rural financial community institutions in eight of Liberia’s 15 counties, including Lofa, Bong, River Gee, Rivercess, Nimba, Gbarpolu and Sinoe.
The replacement of the old currency had been an arduous task due to the poor road conditions in many parts of the country, especially during the rainy season as well as during the 2023 elections and the transition process.
The event, attended by the Managing Director and staff of Afriland First Bank Liberia Limited, underscored the shared commitment of both institutions to improving financial inclusivity.
Governor J. Aloysius Tarlue emphasized the importance of collaboration, building upon a previous MOU signed two years ago with all commercial banks, which laid the groundwork for the currency exchange initiative.
Under the new MOU, the CBL will closely collaborate with Afriland First Bank Liberia Limited, which, in turn, will work with Rural Community Finance Institutions (RCFIs) in eight of Liberia’s fifteen counties.
“Today, we are here witnessing another event that is not only important, but special. Special in the sense that the CBL is signing another MoU with Afriland Bank for the exchange exercise through the Rural Community Finance Institutions (RCFIs), which are the main and only formal financial institutions operating in the capital or strategic cities in 8 of our 15 counties (namely, Nimba, Gbarpolu, Grand Kru, River Gee, Rivercess, Sinoe, Lofa, and Bong Counties),” said Governor Tarlue.
This partnership reinforces the exclusive role of commercial banks and regulated financial institutions in currency exchange, ensuring accountability and transparency throughout the process.
Governor Tarlue commended Afriland for its support and partnership, noting the significance of its role in facilitating the exchange exercise, especially as the March 31, 2024 deadline for the termination of legacy banknotes approaches.
He reported significant progress, with 84% of old banknotes already withdrawn and destroyed, representing a remarkable achievement toward the overall goal.
Despite challenges such as adverse weather conditions and political transitions, Governor Tarlue reaffirmed the CBL’s commitment to withdrawing over 90% of old banknotes by the deadline.
He urged businesses not to reject legacy banknotes, assuring full exchange value for deposits made by March 31, 2024.
To further expedite the currency exchange process, the CBL announced a nationwide initiative scheduled for March 16–30, 2024, targeting specific areas across ten counties.
Four teams, including one stationed in Voinjama, Lofa County, will oversee the operation, ensuring broader coverage and accessibility.
Robert Nkous, CEO and Managing Director of Afriland First Bank Liberia, expressed gratitude for the partnership, emphasizing the bank’s commitment to economic growth and financial inclusion.
He highlighted Afriland’s track record in supporting small and medium enterprises (SMEs) and driving agricultural financing, underscoring the importance of bridging the gap between rural and urban communities.
Nkous reaffirmed Afriland’s dedication to supporting the government’s development agenda, highlighting the pivotal role of RCFIs in expanding financial access to underserved regions.
He concluded by saying that the partnership between Afriland First Bank Liberia and the CBL reflects a shared commitment to national progress and collective responsibility in advancing Liberia’s economic landscape.