— Banking Institute of Liberia convenes day-long roundtable for legal experts, corporate executives to deliberate on challenges facing investment environment
Building investors’ confidence is key to Liberia’s progress and development and as such, every government, its well-meaning partners, as well as private sector actors must ensure that there is that conducive environment for investments to strive, legal and financial experts have stressed.
At a one-day conference organized by the Banking Institute of Liberia (BIL) on Thursday, October 31, the experts stressed the need for the government to ensure that the Liberian society is a one that adheres to the rule of law and that there are prudent financial practices in place—these are the main issues that can boost investors’ confidence and make them to put their money into an economy.
The hosting of the roundtable conference, which was held under the theme: Building Investors’ Confidence in Liberia and enhancing the legal protection to strengthen the business environment and attract investment capital was a collaborative effort between BIL and the Liberia Chamber of Commerce (LCC).
Held at the Monrovia City Hall, the roundtable brought together knowledgeable legal experts and corporate executives who provided their perspectives on the theme. They discussed the challenges facing local businesses and challenges that are also impeding external investments.
Former Central Bank Governor Milton A. Weeks told the audience that Liberia faces numerous challenges that discourage investors from putting their monies into the economy. He described some of the challenges as infrastructural deficits, legal obstacles, and credibility issues on the part of Liberians, especially those who take loans from the banks and most times do not pay back.
“Financial constraints and infrastructures are some of the challenges hampering domestic entrepreneurships,” Weeks said.
He emphasized the positive impacts of investment, such as job creation, infrastructure improvement, and expanding the tax base. He also noted that challenges in the business environment, including issues with transparency and standard legal frameworks, need to be addressed.
He also highlighted the significance of enhancing utilities like electricity access, improving internet connectivity, and integrating banking systems to promote investment growth.
“Improve utility by providing access to electricity, enhance internet connectivity, and integrate banking systems are important for investment growth,” Weeks, who served as one of five panelists at the occasion, said.
The other panelists who graced the conference include, Mr. John T. Richardson, Cllr. Abraham B. Sillah, Cllr. Lucia D.S. Gbala, and Dominic Nimely, a renowned Liberian businessman.
From the legal perspective, Cllr. Gbala of the Heritage Partners and Associates Law Firm underscored the importance of a clear legal and regulatory framework to attract investors, highlighting the need for legal awareness and preparedness to engage effectively.
She emphasized that legal uncertainty could deter potential investors, emphasizing the significance of predictability for successful business engagements.
“Investors will not come to Liberia If there are legal uncertainties,” Cllr. Gbala stated emphatically. “As a lawyer, most of the time investors question whether our country has some level of predictability when it comes to settling issues.”
Cllr. Gbala emphasized the critical role of investments in driving the economy. She noted that the economy is driven by investments, and as such the legal and regulatory frameworks are some of the things that will encourage investors to come to the country.
She stressed that people must be aware of the laws in order to plan and get prepared for whatever engagement ahead.
The National Chairman of the Patriotic Entrepreneur of Liberia (PATEL), Dominic Nimely, highlighted concerns that banks in Liberia are not adequately supporting Liberian-owned businesses. Nimely pointed out a perceived trend of banks favoring loans to foreign businesses over local enterprises.
He expressed optimism for constructive outcomes from ongoing discussions, citing challenges faced by Liberians seeking financial assistance.
Nimely added: “I hope something will come out of this discussion here today. So many times, Liberians want loans but they cannot get the loan. God cannot employ everybody.”
“Money Doesn’t Like Noise”
The Director General of the Banking Institute of Liberia, Richard S. Panton, said the Liberian investment environment faces numerous challenges, and that trending issues signal early warning indicators of worsening climate, and as meteorologists would do, efforts are being designed to address those.
“This conference is meant to address some of those challenges,” he said. “The experts have to deliberate so that we have a way forward.”
Patan said the idea of the roundtable was conceived out of the need to improve synergy between financial stakeholders, especially lenders and creditors, on one hand, and the legal system on the other hands, to better the investment climate and to attract investment capitals for economic growth and development and at large.
“Money is a coward,” he said. “Where there is noise, money flees. Where there is calm and serenity, money is happiness.”
He indicated that adherence to the rule of law and prudent financial practices guarantee investments.
“We gathered here and at the end of the day, provided a roadmap for money to reside here in peace and understanding,” he said.
He noted in his introductory address that the conference was not only meant to bring together stakeholders in the corporate and legal landscape of Liberia to brainstorm and find amicable way forward on issues affecting and confronting the Liberian investments environments, but to create a platform for networking.
