Liberian Dollar

Overview

The Liberian Dollar has been the official currency of the Republic of Liberia since 1943. The Liberian currency includes coins and banknotes, which are issued by the Central Bank of Liberia. The symbol used is L$, to differentiate it from other Dollar currencies.

Economy

• Liberia’s economy is supported by free enterprise. They have a so-called Open Door Policy to persuade businesses and investors to participate profitably in their economy.
• Liberia is gifted with great natural resources tht provide prospective and outstanding market opportunities.
• The total Liberian economy has been improving; the real GDP growth reached 7 % in 2006, and its inflation is in single digits.
• The government has placed cash management controls, maintained a well-balanced budget, and restored transparency to their budget process.
• The unemployment rate in the formal sector reached 80%, with this there is a critical period of progression in the restoration of productive opportunities in livelihood.
• In the year 2005, Liberia had an external debt estimated at U$S7 billion, which is equivalent to 3,040% of their exports on an NPV basis.

History

• The Liberian Dollar was introduced in 1847.
• The Liberian currency was pegged at parity with the US Dollar and both were being used until 1907.
• From 1847 to 1896, copper 1 and 2 cent coins were the only Liberian coins being issued After that, 1, 2, 10, 25 and 50 cent coins were gradually introduced.
• Between 1857 and 1880, the Treasury Department issued banknotes of 1, 2, 3, 5, 10 Dollars and 10 and 50 cents.