Confidus Solutions logotype

Confidus Solutions

Economy of Liberia

Liberia is considered to be a developing nation. The developmental stage of a nation is determined by a number of factors including, but not limited to, economic prosperity, life expectancy, income equality, and quality of life. As a developing nation, Liberia may not be able to offer consistent social services to its citizens. These social services may include things like public education, reliable healthcare, and law enforcement. Citizens of developing nations may have lower life expectancies than citizens of developed nations. Each year, Liberia exports around $0.93 billion and imports roughly $2.46 billion. 2.4% of population in the country are unemployed. The total number of unemployed people in Liberia is 116,484. In Liberia, 54.1% of the population lives below the poverty line. The percentage of citizens living below the poverty line in Liberia is very high when compared with other nations. This situation is indicative of a variety of alarming economic and political factors. It is not advisable to make any investments in countries with this level of poverty. Government expenditure on education is 2.8% of GDP. The Gini Index of the country is 38.2. Liberia is experiencing good equality. The majority of citizens in Liberia fall within a narrow range of income, although some cases may show significant differences. Liberia has a Human Development Index (HDI) of 0.412. Liberia has a lower medium HDI score. This indicates that the majority of citizens will struggle to attain a desirable life due to flawed economic and social systems. The Global Peace Index (GPI) for Liberia is 1.963. Due to strong law enforcement presence and high social responsibility, Liberia is very safe by international standards. The strength of legal rights index for Liberia is 8. Overall, it is considered to be rather adequate - bancrupcy and collateral laws are able to protect the rights of borrowers and lenders at least decently; credit information is msotly sufficient and generally available.

Currency

The currency of Liberia is Liberian dollar. The plural form of the word Liberian dollar is dollars. The symbol used for this currency is $, and it is abbreviated as LRD. The Liberian dollar is divided into Cent; there are 100 in one dollar.

Credit rating

Credit rating is the extent to which international investors trust a country in paying debts and upholding the country's obligations in terms of crediting. There is no information on the credit rating of Liberia.

Central bank

In Liberia, the institution that manages the state's currency, money supply, and interest rates is called Central Bank of Liberia. The average deposit interest rate offered by local banks in Liberia is 4%.

Public debt

Liberia has a government debt of 25.8% of the country's Gross Domestic Product (GDP), as assessed in 2013.

Tax information

The corporate tax in Liberia is set at 25%. Personal income tax ranges from 0% to 25%, depending on your specific situation and income level. VAT in Liberia is 7%, and it is known as Goods and Services Tax.

Finances

The total Gross Domestic Product (GDP) assessed as Purchasing Power Parity (PPP) in Liberia is $3711 billion. The Gross Domestic Product (GDP) assessed as Purchasing Power Parity (PPP) per capita in Liberia was last recorded at $1 million. PPP in Liberia is considered to be below average when compared to other countries. Below average PPP indicates that citizens in this country find it difficult to purchase local goods. Local goods can include food, shelter, clothing, health care, personal care, essential furnishings, transportation and communication, laundry, and various types of insurance. Countries with below average PPP are dangerous locations for investments. The total Gross Domestic Product (GDP) in Liberia is 1,946 billion. Based on this statistic, Liberia is considered to have a small economy. Countries with small economies generally support less industries and opportunities for investment. However, worthwhile investment opportunities may be found. The Gross Domestic Product (GDP) per capita in Liberia was last recorded at $0 million. The average citizen in Liberia has very low wealth. Countries with very low wealth per capita often have lower life expectancies and dramatically lower quality of living among citizens. It can be very difficult to find highly skilled workers in countries with very low wealth, as it is difficult for citizens to obtain the requisite education needed for specialized industries. However, labor can be found for very low rates when compared with countries with higher wealth per capita. GDP Annual Growth Rate in Liberia averaged 2.5% in 2014. According to this percentage, Liberia is currently experiencing modest growth. Countries that are experiencing modest growth offer safe opportunities for investment; their expanding economy indicates that businesses, jobs, and income will expand accordingly. To read more about financial information click on finances of Liberia.

Industry

Major industries in the country are mining (iron ore), rubber processing, palm oil processing, timber, diamonds. The total labor force of Liberia is 1,533,210 people, wherein 2.4% of population in the country are unemployed. The total number of unemployed people in Liberia is 116,484. To read more about industrial information within Liberia click on industry of Liberia.

Agriculture

There are 3304 km2 of arable land in Liberia, and it comprises 3% of the country's total territory. There are 5211 km2 of cultivated land in Liberia. The country's major agricultural crops and products are rubber, coffee, cocoa, rice, cassava, palm oil, sugarcane, bananas, sheep, goats, timber.To read more about agriculture click on agriculture of Liberia.