MONROVIA – The Liberia Revenue Authority (LRA) and the Liberia Petroleum Refining Company (LPRC) will resume collecting a twenty-cent surcharge on petroleum products and an additional five-cent charge on storage, starting May 1, 2025. This decision follows consultations involving key stakeholders, including the Ministries of Finance and Development Planning (MFDP), Commerce & Industry (MoCI), LPRC, and LRA.
According to a joint statement from the Ministry of Commerce and LPRC, the reintroduction of the surcharge comes in response to several pressing factors. Among the most significant is the sudden reduction in Official Development Assistance (ODA) from some of Liberia’s international partners, a shift that has severely impacted critical sectors such as health, education, and agriculture. The reduction in ODA has left the government grappling with funding gaps, making it necessary to introduce additional revenue-generating measures.
The surcharge on petroleum products, along with the additional charge on storage, is part of a broader package of expenditure streamlining and revenue-enhancing measures designed to address the country’s fiscal challenges. The government has stressed that these steps are essential to maintaining support for vital services and ensuring the continued functioning of public sectors despite the financial constraints caused by the reduction in foreign aid.
In the statement, the government emphasized the importance of public understanding and cooperation in navigating these difficult economic times. The Ministries of Finance and Commerce, along with LRA and LPRC, are working in tandem to ensure that these measures are implemented smoothly while minimizing the impact on consumers. The public’s support is seen as critical as Liberia continues to face a volatile economic environment.
The reintroduction of the surcharge signals the government’s commitment to strengthening Liberia’s economic resilience and fostering continued development, despite the challenges posed by global economic shifts and internal fiscal pressures.
