flag Liberia Liberia: Investing

FDI in Figures

According to UNCTAD's 2022 World Investment Report, FDI flows to Liberia accounted for USD 46 million in 2021, declining by 47% compared to 2020. The FDI stock reached USD 8.93 billion in 2021. In 2022, global FDI momentum weakened in the context of the war in Ukraine, rising food and energy prices, financial turmoil and debt pressures (UNCTAD’s Investment Trends Monitor). The country's mining resources, rubber and palm oil plantations attract most of the FDI. Hong Kong, the United States, China, Norway, the Ivory Coast and Croatia, are the main investing countries (IMF). Several foreign companies have shown an interest in the commercial exploitation of offshore crude oil deposits along Liberia's Atlantic Coast. Moreover, the EU-Africa Infrastructure Trust Fund granted EUR 27 million for technical assistance in engineering, feasibility studies, rural electrification, and loan repayment cost reduction. Canadian company Tango Mining Ltd signed an acquisition agreement to acquire an 80% interest in the Mano River Project (diamond exploration) and Canadian Avesoro is considering expanding the New Liberty gold mine. In September 2021, a new 25-year agreement was reached with ArcelorMittal (USD 800 million), covering expansion of the mine, processing plant, rail and port facilities (Coface).

Poor infrastructure, expensive and unreliable electricity, bureaucratic red tape, weak legal and regulatory framework, lack of transparency in contract awards, high levels of corruption and unskilled labor still hamper foreign direct investment. However, the government is currently trying to increase the transparency of public procedures for investors and the country benefits from various natural resources (rubber, iron, gold, diamonds, oil).


Country Comparison For the Protection of Investors

  Liberia Sub-Saharan Africa United States Germany
Index of Transaction Transparency* 4.0 5.5 7.0 5.0
Index of Manager’s Responsibility** 1.0 3.5 9.0 5.0
Index of Shareholders’ Power*** 6.0 5.5 9.0 5.0

Source: Doing Business - Latest available data.

Note: *The Greater the Index, the More Transparent the Conditions of Transactions. **The Greater the Index, the More the Manager is Personally Responsible. *** The Greater the Index, the Easier it Will Be For Shareholders to Take Legal Action.

Foreign Direct Investment 202020212022
FDI Inward Flow (million USD) 874673
FDI Stock (million USD) 8,883.58,929.29,002.3
Number of Greenfield Investments*
Value of Greenfield Investments (million USD) 1301,54356

Source: UNCTAD - Latest available data

Note: * Greenfield Investments are a form of Foreign Direct Investment where a parent company starts a new venture in a foreign country by constructing new operational facilities from the ground up.


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Tax Rates

Goods and Service Tax (GST)
Goods and services tax levied at 7%.
15% applies to telecommunications services.
Company Tax
25% (or 2% of turnover)
Withholding Taxes
Dividends: 15%, Interests: 15%, Royalties: 15%.
Social Security Contributions Paid By Employers
4.75% (3% social insurance + 1.75% workmen compensation).
Other Domestic Resources
Liberia Revenue Authority
Overview of Liberia's tax measures in response to Covid-19
Consult Doing Business Website, to obtain a summary of the taxes and mandatory contributions.

Individual Taxes

Personal Income tax Progressive rate from 0% to 25%
Up to LRD 70,000 2%
From LRD 70,001 to 200,000 5% of excess over LRD 70,000
From LRD 200,001 to 800,000 LRD 6,500 + 15% of excess over LRD 200,000
LRD 800,001 and over LRD 96,500 + 25% of excess over LRD 800,000
Personal Income tax (non-residents) 15%

Country Comparison For Corporate Taxation

  Liberia Sub-Saharan Africa United States Germany
Number of Payments of Taxes per Year 33.0 36.6 10.6 9.0
Time Taken For Administrative Formalities (Hours) 139.5 284.8 175.0 218.0
Total Share of Taxes (% of Profit) 46.2 47.3 36.6 48.8

Source: Doing Business - Latest available data.

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Investment Opportunities

Tenders, Projects and Public Procurement
Fontier Market Network, Tenders in Africa
African Tenders
African Development Bank Group, Public Oversight Body
DgMarket, Tenders Worldwide
Setting Up a Company
Consult Doing Business Website, to know about procedures to start a Business in Liberia.
Useful Resources
National Investment Commission
Economic Developments and Prospects in Liberia - African Economic Outlook
Business Portal for Africa

Business Setup Procedures

Setting Up a Company Liberia Sub-Saharan Africa
Procedures (number) 5.00 7.51
Time (days) 18.00 21.30

Source: Doing Business.


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Latest Update: December 2023