Ministry of Finance Unveils Disaster Risk Financing Strategy in 2025 Budget Hearing
Sia Lucy Kannah In the fiscal year 2025 budget hearing, the Ministry of Finance outlined its disaster risk financing strategy aimed at addressing the government’s financial challenges in responding to disasters.
Dr. Alaskan Mansaray, Director of the Fiscal Risk Management Division, stated that the objective is to enhance fiscal risk management and oversight of Ministries, Departments, and Agencies (MDAs), state-owned enterprises, and public sector projects. This initiative will help monitor macroeconomic and financial sector risks.
“The strategy ensures that the Ministry of Finance can respond effectively to disasters without financial constraints,” Dr. Mansaray emphasized, highlighting that the plan is a collaborative effort between the Ministry and other MDAs.
Matthew Sandy, Director of the Public Debt Management Division, discussed key fiscal plans for 2025, including conducting a debt sustainability analysis involving the National Debt Sustainability Analysis (DSA) team, which comprises the Ministry of Finance, the National Revenue Authority (NRA), the Bank of Sierra Leone, Statistics Sierra Leone, and civil society organizations like the Budget Advocacy Network.
The Revenue and Tax Policy Division aims to increase revenue from 13% of GDP in 2022 to at least 18% by 2026.
Sandy also announced plans to issue medium-term bonds to mitigate refinancing and rollover risks in the country’s debt portfolio. Additionally, he assured the public of a commitment to produce an annual public debt bulletin and train staff from the Audit Service Sierra Leone and internal auditors in specialized audits of public debt.