## 1sleea2019002 ## Source details **Canonical URL:** [1sleea2019002](https://www.imf.org/-/media/files/publications/cr/2019/1sleea2019002.pdf) ## Other formats - [Markdown version](/-/media/files/publications/cr/2019/1sleea2019002.pdf.md) - [Structured JSON version](/-/media/files/publications/cr/2019/1sleea2019002.pdf.json) --- ### Foreword and Preface — consultations, priorities, and ownership - Nationwide consultations reached an estimated 2 million people over seven months. - Plan financed by Government with the Ministry of Finance providing over 95 percent of the funds for preparation. - Flagship emphasis: Human Capital Development — Free Quality School Education Programme. - Policy clusters prioritized: Human Capital Development; Economic Diversification; Governance and Accountability for Results; Infrastructure; Economic Competitiveness. - Alignment with regional and global frameworks: Africa Union Agenda 2063; Sustainable Development Goals. ### Executive summary — goals, lessons, principles, and macro targets - Four national goals: - Goal 1: A diversified, resilient green economy - Goal 2: A nation with educated, empowered, and healthy citizens capable of realizing their fullest potential - Goal 3: A society that is peaceful, cohesive, secure, and just - Goal 4: A competitive economy with a well-developed infrastructure - Key lessons: need for prioritization, long-term plan alongside MTNDP, stronger sector coordination, alignment with Mano River Union Strategy, Agenda 2063, UN 2030 Agenda and SDGs, New Deal Peacebuilding and Statebuilding Goals. - Guiding principles include national inclusiveness and ownership, sustained political commitment, women and youth mainstreaming, international cooperation, strong sector coordination, domestic resource mobilization, and management for development results. - Macroeconomic framework targets (2019–2023): - Maintain single-digit inflation - Budget deficit (including grants) not more than 3 percent of GDP - Domestic revenue collection of at least 20 percent - Public expenditures around 24 percent of GDP - Wage bill not to exceed 6 percent - Current account deficit (including official grants) average of around 11.5 percent - Foreign exchange reserves minimum of three months of import cover - Public debt not more than 70 percent in nominal terms and 55 percent in present-value terms - External debt not to exceed 40 percent of GDP in present-value terms ### Socio-economic and poverty profile — key statistics - Overall poverty headcount ratio: 57 percent - Population in extreme poverty: 10.8 percent - Freetown poverty rate: 18.5 percent - Other urban areas poverty rate: 41.2 percent - Rural poverty rate: 72.4 percent - Incidence of multidimensional poverty (2017): 64.8 percent - Population growth rates: - 1985–2004: 1.8 percent - 2004–2015: 3.2 percent - Population change: about 5 million in 2004 to more than 7 million in 2018 (a 40 percent increase) - Projected population by 2026: at least 10 million people - Historical GDP shock example: - GDP growth contracted to negative 20.5 percent in 2015 from 4.6 percent in 2014 - GDP composition (2017): - Agriculture: 55.1 percent - Services: 36.6 percent - Industry: 9.3 percent - Domestic revenue averaged around 12.5 percent over the last decade (below African average of 18 percent) - Fiscal deficit (including grants): from 1.9 percent of GDP in 2013 to an average of 11.4 percent in 2016 and 2017 - External debt stock: - US$1.04 billion in 2013 - $1.51 billion in 2017 - $1.53 billion in June 2018 ### Plan structure — policy clusters and flagship programmes - Eight policy clusters: 1. Human capital development 2. Diversifying the economy and promoting growth 3. Infrastructure and economic competitiveness 4. Governance and accountability for results 5. Empowering women, children, adolescents, and persons with disability 6. Youth employment, sports, and migration 7. Addressing vulnerabilities and building resilience 8. Means of implementation (financing, governance arrangements, M&E) - Flagship programme: Free Quality School Education Programme (phased, government and government-assisted schools first). ### Human capital and education — enrolment, learning, and targets - Enrolment change 2010/2011 to 2017: increase by 474,612 (approximately 30 percent) - Percentage change by level: - Pre-primary: 115 percent - Senior secondary: 66 percent - Primary: 24 percent - Completion and transition rates: - Primary gross completion rate: approx. 74 percent in 2016 to 67 percent in 2017 - Junior secondary completion rate: approx. 61 percent in 2016 to 49 percent in 2017 - Primary-to-junior-secondary transition rate: 88 percent in 2016; 78 percent in 2017 - Basic Education Certificate Examination pass rates: - 2013: Entry 76,057 — Sat 75,357 — Passed 35,747 — Pass Rate 47 percent - 2014: 90,788 — 90,616 — 43,911 — 48 percent - 2015: 92,881 — 92,418 — 56,451 — 61 percent - 2016: 101,734 — 101,425 — 66,188 — 65 percent - 2017: 94,407 — 94,111 — 68,053 — 72 percent - WASSCE pass rates: - 2012: 58,195 — 56,893 — 4,177 — 7 percent - 2014: 27,370 — 26,782 — 1,889 — 7 percent - 2015: 24,300 — 23,587 — 3,445 — 15 percent - 2016: 36,696 — 35,938 — 6,095 — 17 percent - 2017: 29,922 — 29,222 — 5,728 — 20 percent - 2018: 33,396 — 32,232 — 5,797 — 18 percent - Teacher statistics: - Total teachers 2016: 63,535 (female 17,147) - Total teachers 2017: 63,736 (female 17,006) - Teachers with no formal training: 34 percent in 2016; 33 percent in 2017 - Education key targets by 2023: 1. Implement free quality basic and secondary school education 2. Increase access, equity, and completion rates above 2018 rates 3. Improve learning environment above 2018 rates 4. Review and strengthen educational systems and governance architecture ### Health, sanitation, and nutrition — outcomes and targets - Percent children < 1 year fully vaccinated: 40 58 62.7 (table-format values as presented) - Infant mortality rate: - 2008: 89 deaths per 1,000 live births - 2013: 92 deaths per 1,000 live births - 2017: 56 deaths per 1,000 live births - Under-five mortality rate: - 2008: 140 deaths per 1,000 live births - 2013: 156 deaths per 1,000 live births - 2017: 94 deaths per 1,000 live births - Maternal mortality ratio: - 2008: 857/100,000 live births - 2013: 1,165/100,000 live births - Nutrition indicators (children 6–59 months): - Underweight (wt/age) (2SD): 21 percent 16 percent 11.7 percent - Stunting (ht/age) (2SD): 36 percent 38 percent 26.4 percent - Wasting (ht/wt) (2SD): 10 percent 9 percent 5.1 percent - Health sector key targets by 2023: 1. Expand and improve management of free health care 2. Continuously improve disease prevention, control, and surveillance 3. Improve health governance and human resource management 4. Increase modern diagnostic and specialist treatment within the country - Sanitation indicators: - Use of improved sanitation facilities (total population): 2008: 13 percent; 2017: 16 percent - Urban: 2008: 26 percent; 2017: 27 percent - Rural: 2008: 6 percent; 2017: 7.9 percent - About 27.7 percent of rural population practices open defecation - Sanitation budget allocation: less than 0.02 percent of GDP - Sanitation key targets by 2023 include reducing disease outbreaks in vulnerable communities by half and reducing deaths/property loss from disasters by 30 percent ### Poverty profile — income, multidimensional poverty, and correlates - Income poverty: - Overall poverty rate: 57 percent - Extreme poverty: 10.8 percent - Rural poverty: 72.4 percent; extreme poverty rural: 15.3 percent - Freetown: poverty 18.5 percent; extreme 1.7 percent - Other urban: poverty 41.2 percent; extreme 4.1 percent - Education and poverty: - No education (household head): poverty incidence 68.0 percent - Primary incomplete: 58.1 percent - Primary complete: 55.8 percent - Secondary incomplete: 40.1 percent - Secondary complete: 21.2 percent - Post-secondary technical / vocational: 34.3 percent - University: 5.6 percent - Occupation and poverty (examples): - Agriculture, forestry and fishing: poverty incidence 72.3 percent; extreme 16.4 percent - Wholesale and retail trade: poverty incidence 41.7 percent; extreme 3.8 percent - Wage employment: poverty incidence 35.3 percent; extreme 3.6 percent - Multidimensional Poverty Index (MICS 2017): - Incidence: 64.8 percent - Intensity: 57.9 percent - MPI: 0.375 - Rural: population share 55.7 percent; incidence 86.3 percent; intensity 60.3 percent; MPI 0.520 - Urban: population share 44.3 percent; incidence 37.6 percent; intensity 50.9 percent; MPI 0.191 - Regional examples: East MPI 0.385; North MPI 0.452; South MPI 0.456; West MPI 0.182 - District highlights: Pujehun incidence 87.2 percent; MPI 0.544; Koinadugu incidence 86.5 percent; MPI 0.521; Western Urban Area incidence 28.5 percent; MPI 0.14 ### Agriculture, fisheries, tourism, oil & gas, and mining — constraints and targets - Agriculture: - Sector share and employment: agriculture contributed about 55.1 percent of GDP; from 2013 to 2018 sector accounted for 61.1 percent of rural employment - Rice imports (2016): US$95.9 million - Production of key crops (metric tons, selected): - Paddy rice: 2014 832,774; 2015 853,677; 2016 875,104; 2017 897,069 - Cassava: 2014 2,298,649; 2015 2,356,345; 2016 2,415,490; 2017 2,476,118 - Palm oil: 2014 646,988; 2015 668,477; 2016 685,256; 2017 702,456 - Box 2.6 top constraints (Comprehensive Food Security and Vulnerability Assessment, 2015): - 45.0 percent: unavailability of improved seeds - 41.5 percent: lack of access to credit - 39.0 percent: the Ebola outbreak - 31.5 percent: insufficient household labour - 27.7 percent: pests or crop disease - 24.7 percent: lack of tools - 19.1 percent: unavailability of fertilizers - Fisheries: - Fisheries contributes about 12 percent of GDP; fish supplies about 80 percent of total animal protein consumption; over 500,000 employed directly/indirectly - Fisheries sector revenue increased from 30.4 billion leones in 2014 to 71.3 billion leones in 2017 - Fisheries key revenue target by 2023: generate at least US$15–20 million in government revenue and contribute at least 16 percent to GDP - Tourism: - Historical arrivals: 200,000 in 1986; arrivals 38,615 in 2010 to 81,250 in 2013 - Ebola impact: arrivals dropped by 70 percent from 81,000 in 2013 to 24,000 in 2015; receipts from US$58.8 million (2013) to US$16.8 million (2015) - Ecotourism target by 2025: attract up to 20,000 international and 30,000 domestic ecotourism visits - Tourism targets by 2023 include increasing annual revenue and contribution to GDP by at least 100 percent - Oil and gas: - Key targets by 2023: mainstream EITI transparency practices; establish a petroleum commission; promulgate legal frameworks for sustainable development - Mining: - Mining sector contributions (historical highs): about 24 percent of GDP and over 80 percent of export earnings (2013) - Mining revenue as percent of total National Revenue Authority revenue: 21 18 18 11 10 (table-format values) - Mining sector as percent of GDP**: 24 27 4 6 5 (table-format values) - Strategic mining targets by 2023: - Increase mining revenue from 10 percent of domestic revenue in 2017 to 20 percent - Increase mining share of GDP from 5 percent in 2017 to 20 percent - Undertake environmental rehabilitation in five mined sites ### Infrastructure and connectivity — energy, transport, water, ICT, and presidential initiatives - Energy (2018 approximate): - Installed generation capacity connected to main grid: 105 megawatts - 53 percent of electricity generated by independent power producers - Demand forecast to exceed 360 megawatts by 2023 - Energy targets by 2023: - Restore electricity in all district headquarters and cities - Increase electricity generation from 25 to 60 percent - Increase installed electric capacity from current 100 megawatts to 350 megawatts - Increase renewable energy contribution to 65 percent - Transport: - Estimated total road network: 11,555 kilometres - Classified roads: 8,555 kilometres (including 3,000 kilometres of local and township roads) - Paved roads: 1,031 kilometres (9 percent of total road network) - Lungi International Airport passenger throughput (2016): about 200,000 passengers - Estuary one-way fast water taxi fare example: US$40 - Water: - Rural population safe water coverage: about 48 percent - Access to safe drinking water target: increase from 59.6 percent to 80 percent by 2023 - Access to improved source within 30 minutes target: increase from 69 percent to 85 percent by 2023 - ICT snapshot: - Fixed telephone subscriptions per 100 inhabitants: 0.2 - Mobile cellular subscriptions per 100 inhabitants: 84.6 - Mobile broadband subscriptions per 100 inhabitants: 20.4 - Households with a computer (%): 4.2 - Households with Internet access at home (%): 10.7 - Individuals using the Internet (%): 11.8 - ICT targets by 2023: - 30 percent broadband penetration - Mobile penetration increased to 80 percent up to chiefdom levels - Presidential Infrastructure Initiatives (short-, medium-, long-term) include New airport terminal; Lungi–Freetown accessibility improvements; Peninsular Road completion; water supply to Bo and Kenema; Juba Bridge; coastal road; Lungi Bridge; construction of new cities; Special Purpose Vehicle financing model (off-balance sheet, no sovereign guarantee) ### Governance, public financial management, and accountability - PFM context and priorities: - Domestic revenue target: increase to 20 percent of GDP by 2023 (Box 2.3) - Short-term revenue measures include building comprehensive taxpayer databases, electronic cash registers, third-party data matching, enhancing customs valuation, and strengthening National Revenue Authority integrity mechanisms - Wage bill threshold: 6 percent of GDP - Public debt policy: maintain public debt not more than 70 percent of GDP nominal and 55 percent present value; external debt not more than 40 percent PV - Public financial management targets: - By 2021: Public Expenditure Reviews in education, health, and energy MDAs - By 2023: comprehensive national fixed asset register; full implementation of PFM reforms for local councils and decentralization - Audit and justice sector reforms: - Strengthen Audit Service Sierra Leone; targets by 2023 include full annual performance audits and annual revenue audit submission to Parliament - Justice sector targets by 2023 include reducing cases awaiting judgement for six months and one resident High Court Judge per administrative district ### Social protection, women, youth, and employment - Social protection context: - Overall poverty: 57 percent; extreme poor: 10.8 percent - Food insecurity affects 49.8 percent of households - Heavy dependence on external financing: about 85 percent of social assistance from development partners - Social protection targets by 2023: 1. Establish integrated national identity card system 2. Establish a social safety net fund for emergency response 3. All persons in formal sector have social security 4. Provide social protection to at least 30 percent of vulnerable populations 5. Establish integrated birth registration system - Women (Section 5.1) key targets by 2023: 1. More women in leadership positions than in 2018 2. More women supported to engage in entrepreneurial activities than in 2018 3. Develop and implement national data management on gender-based violence cases 4. Drastically reduce by more than 50 percent the number of women experiencing GBV compared to 2018 - Youth (Section 6.1) targets by 2023: - Increase youth employment by 15 percent (with gender equity) - Ensure more young people involved in entrepreneurial activities than in 2018 - Ensure National Youth Service and Skills Development Project fully operational - Key policy actions include skills training, Youth Empowerment Fund, and monitoring/enforcing labour laws ### Costing and financing the MTNDP (2019–2023) - Total estimated cost (2019–2023): US$8.15 billion (GRAND TOTAL NATIONAL DEVELOPMENT PLAN COST: US$8,153.66) - Direct project-related costs: US$5.49 billion (TOTAL Direct Project-related Costs (2019–2023): US$5,493.02) - Government’s statutory expenditures: US$2.66 billion (US$2,660.64) comprising: - Wages and Salaries: US$1,610.12 - Debt Service Obligations: US$936.18 - Contingency and Others: US$114.34 - Projected available resources: US$6.60 billion (Total Projected Available Resources: US$6,601.64) - Financing gap: US$1.55 billion (Financing Gap (grand total): (US$1,552.02)) - Estimated per capita contribution required to fill financing gap: US$40 per annum - Year-by-year financing gap (US$m): - FY2019: (155.26) - FY2020: (137.91) - FY2021: (146.02) - FY2022: (727.40) - FY2023: (385.45) - FY2019-23 Total: (1,552.04) - Breakdown of Total Projected Resources (FY2019-23 totals): - Domestic Revenue: US$5,064.49 - Grants: US$554.15 - External Budgetary Support: US$223.10 - Projects: US$327.72 - Others: US$3.33 - Domestic Financing: US$397.61 (Bank: US$383.02; Non-Bank: US$14.60) - Loans total: US$585.38 (Programme: US$160.57; Projects: US$424.81) - Available discretionary resources to finance the MTNDP (annual and total): - FY2019: 517.58; FY2020: 656.15; FY2021: 770.40; FY2022: 957.87; FY2023: 1,039.01; FY2019-23 Total: 3,941.00 ### Resource mobilization and fiscal reform measures - Domestic revenue mobilisation goal: increase from 14 percent of GDP to 20 percent of GDP by 2023 - Identified resource mobilisation potential: at least US$500 million over three years from identified sources to reduce financing gap - Proposed measures: - Introduce a Goods and Services Tax lottery linked to electronic cash registers - Work with Tax Inspectors Without Borders to strengthen large taxpayer audits - Revise levies and departmental charges (levies account for 8% of total revenue) - Issue and manage diaspora bonds - Evaluate investing pension fund assets in infrastructure - Automate tax administration (Integrated Tax Administration System) and customs (electronic single-window) - Rationalize tax and duty waivers; establish a tax court; strengthen transfer pricing provisions - Potential private finance and development cooperation instruments: - Public–private partnerships; diaspora bonds; promoting pension investment in infrastructure; Millennium Challenge Corporation assistance; development impact bonds; access to Green Climate Fund - Donor disbursement totals (2012–2017): - Donor disbursement TOTAL by year (US$ million): 2012: 396.32; 2013: 442.63; 2014: 921.24; 2015: 1,053.90; 2016: 523.06; 2017: 529.28 - Bilateral totals by year (US$ million): 2012: 176; 2013: 183.8; 2014: 570.5; 2015: 517; 2016: 287.1; 2017: 270.3 - Multilateral totals by year (US$ million): 2012: 185.7; 2013: 225.6; 2014: 278.6; 2015: 474.1; 2016: 200; 2017: 192.4 ### Risks to implementation and mitigation measures - Susceptibility to shocks: - Risks include slump in iron ore prices; rise in international petroleum prices; delays in donor budget support; climate change; expanding youth population creating social stability risks - Mitigation: effective alert systems; diversify partners; implement macro policies; increase domestic revenue mobilisation; prioritize Policy Cluster 6 (youth) and Cluster 7 (resilience) - Data and information availability: - Risk: fragmented and low-credibility data across sectors - Mitigation: strengthen and capacitate Statistics Sierra Leone for coordinated data provision - Inadequate capacity of MDAs: - Mitigation: build MDA capacity beyond normal civil service system; open flexible recruitment for bespoke professional positions (e.g., ICT) - Governance architecture: - Risk: bloated parallel structures and conflicting legal instruments - Mitigation: streamline structures; review conflicting acts and laws; implement transparent monitoring combining beneficiary and technical assessments ### Implementation, coordination, and monitoring & evaluation (M&E) - Implementation arrangements: - National and district levels with MoPED as apex coordinator; districts as basic planning units - Governance: Secretariat → Cluster and Sub-cluster Working Groups → Core Technical Committee → National Oversight Committee - Supervisory and coordination bodies: - Ministerial Oversight Committee (all ministers; chaired by Minister MoPED) - Sector Working Groups (MDAs and development partners) - District Working Groups (local stakeholders) - Performance contracts to be signed with the Office of the President - Ministry of Finance to provide budget ceilings and track resource allocation in collaboration with MoPED - Monitoring and Evaluation system commitments: - Establish a Monitoring and Evaluation Department in MoPED - Build a national M&E system linking MDAs and local councils - Generate gender-disaggregated quantitative and qualitative data - Link performance management and MTNDP with performance contracts and SMART indicators - MoPED to maintain project database and produce periodic reports, baseline and mid-term reviews - Statistical systems strengthening (Section 8.7): - Review the Statistics Act 2002 - Construct a six-storey Statistics Sierra Leone headquarters plus district offices - Develop a third National Strategy for the Development of Statistics (bottom-up) - Migrate from paper-based to ICT-based data collection - Rebase consumer price index and national accounts (e.g., 2018); surveys planned include Sierra Leone Integrated Household Survey 2021; Multiple Indicator Cluster Survey 7 2022; Demographic Health Survey 2023; Labour Force and Employment Surveys 2020; Agricultural census 2020; Business Establishments Census 2019 ### Implementation financing summary and immediate fiscal measures - Key short- to medium-term fiscal instruments: - Stringent revenue mobilisation measures; expenditure management and control; manage domestic capital expenditure; monetary and exchange rate policy management; financial sector reforms; public debt management - Expenditure management specifics: - Use National Civil Registration Numbers and NSSIT numbers as unique identifiers for payroll; no new employee records without valid NSSIT and Basic Bank Account Numbers - Establish Wages and Salaries Commission; migrate to e-procurement; strengthen expenditure commitment controls; upgrade IFMIS to prevent commitments above allocations - Public investment management: - Adopt National Public Investment Policy and Manual; require economic and financial viability appraisals; encourage government counterpart funding in local currency; engage IMF Fiscal Affairs Department on Public Investment Management Assessment *Source: 1sleea2019002, Sierra Leone’s Medium-term National Development Plan 2019–2023* ### Foreword ### Foreword ### Message from the President - The Government consulted at least two million people directly, both locally and internationally, over a period of seven months. - The plan captures inputs from development partners, government institutions, local communities, the private sector, civil society, the community of persons with disabilities, local councils, members of the Government, the civil service, non-state actors, the international community, trade unions, all political parties, Parliament, academia, and many more constituencies. - The National Development Plan outlines the Government’s vision and is presented as a nationally owned compilation of the development agenda for immediate and long-term goals. - The Government provided the funds for the development of the plan to underscore national ownership. - Human Capital Development is placed at the centre of the Medium-term National Development Plan as the most fundamental pathway to achieving middle-income status and sustainable development. - Policy clusters prioritized include Human Capital Development, Economic Diversification, Governance and Accountability for Results, Infrastructure, and Economic Competitiveness. - The plan includes a carefully articulated implementation strategy and a comprehensive Monitoring, Evaluation, and Learning Framework to track progress, indicate important milestones, and map lessons learned. - The plan is aligned with regional and global frameworks, including the Africa Union Agenda 2063 and the Sustainable Development Goals. - Statement by: His Excellency Julius Maada Bio, President of the Republic of Sierra Leone. ### Preface — context, priorities, and financing - Sierra Leone’s post-independence development trajectory has experienced internal conflict, military interventions, disease outbreaks, and natural disasters. - On taking office in April 2018, the Government identified key inherited challenges: a weak economy with rising inflation, a poor education system, a crippled health-care system, rising youth unemployment, struggling growth in real sectors, weak social protection systems, declining private sector growth, and pervasive corruption in the public sector. - The Government committed to building an inclusive and resilient society anchored on democratic governance and the rule of law. - The Medium-term National Development Plan is titled “Education for Development” and draws from the President’s development vision as expressed in his maiden address to Parliament on 10 May 2018 and the party’s New Direction Manifesto; views from other political parties were also incorporated. - Nationwide consultations (sectoral engagements, town hall meetings, media engagements, and social media) reached over two million Sierra Leoneans who contributed to setting the national development agenda and identifying critical priorities. - Human capital development, especially provision of free quality education for all, is the main goal of the Government and central to the plan. - The plan emphasizes a strong and diversified economy, effective population management to enhance the demographic dividend, and good and accountable governance as foundations for infrastructural development and economic competitiveness. - Cross-cutting issues included in the plan: women, children, persons with disabilities, social protection, and climate change mitigation. - A distinct feature: emphasis on implementation and result tracking, with an entire cluster dedicated to financing, actor mapping, and defining roles and responsibilities for implementation, monitoring, and evaluation; a results framework accompanies the plan. - Financing note: the Ministry of Finance provided over 95 percent of the funds needed for the preparation of the plan, cited as a demonstration of national potential and willingness to lead its development course. - Statement by: Nabeela Farida Tunis (Mrs), Minister for Planning and Economic Development. ### Acknowledgements — contributors and institutional support - Gratitude is expressed to H. E. The President, Retired Brigadier Julius Maada Bio, for leadership and strategic direction. - Acknowledged contributors include the Vice President, Dr. Mohamed Juldeh Jalloh; the Minister of Planning and Economic Development, Mrs. Nabeela Farida Tunis; her deputy, Dr. Robert Chakanda; and the Minister of Finance, Mr. Jacob Jusu Saffa. - Technical and financial support acknowledged from development partners, including UNDP (strategic and policy advisory services and financial support for printing) and the World Bank (technical assistance on poverty and growth diagnostics). - Recognition of inputs from cluster and sector members, non-state actors, development partners, ministries, decentralized leaders, the private sector, civil society, women’s groups, youth groups, trade unions, schools, academia, research institutions, persons with disabilities, all political parties, local councils, communities, and the diaspora. - Special thanks to Ministry of Planning and Economic Development staff: Sheka Bangura, Prince Gaima, Momo Turay, and Kordzo Sedegah for cooperation and dedication. *Source: Foreword, Sierra Leone’s Medium-term National Development Plan 2019–2023* ### EXECUTIVE SUMMARY ### EXECUTIVE SUMMARY ### A. General overview - The Government of Sierra Leone’s Medium-term National Development Plan (MTNDP) 2019–2023 aims to achieve middle-income status by 2039 through inclusive, sustainable growth. - Flagship programme: Free Quality School Education Programme to enhance human capital and facilitate economic transformation. - Four key national goals: - Goal 1: A diversified, resilient green economy - Goal 2: A nation with educated, empowered, and healthy citizens capable of realizing their fullest potential - Goal 3: A society that is peaceful, cohesive, secure, and just - Goal 4: A competitive economy with a well-developed infrastructure ### B. Key lessons that inform the new plan - Prioritization of needs is critical; previous plans suffered from changing/conflicting priorities and unrealistic timeframes. - Nationwide consultations recommended preparing a Long-term National Development Plan together with the MTNDP. - Weak sector coordination, off-plan and off-budget spending, and weak monitoring and evaluation were major shortcomings. - Need for alignment with regional and global frameworks: Mano River Union Strategy, African Union Agenda 2063, United Nations 2030 Agenda and its 17 SDGs, and the New Deal Peacebuilding and Statebuilding Goals. ### C. Principles guiding formulation and implementation - Guiding principles include: - National inclusiveness and ownership, participation of all political parties - Sustained political commitment - Women and youth mainstreaming - International development cooperation - Strong sector coordination - Domestic resource mobilization with prudent use of resources - Management for development results ### D. Plan preparation process - The plan was drafted with the most intensive consultations in Sierra Leone’s planning history, with an estimated outreach of 2 million people. - Consultation methods included town hall meetings, focus groups, public engagements in learning institutions, consultations with a wide range of stakeholders, and use of Radio, TV, Twitter, WhatsApp, and Facebook. ### E. Socio-economic indicators and macroeconomic situation Key statistics: - Overall poverty headcount ratio: 57 percent - Population in extreme poverty: 10.8 percent - Freetown poverty rate: 18.5 percent - Other urban areas poverty rate: 41.2 percent - Rural poverty rate: 72.4 percent - Incidence of multidimensional poverty (2017): 64.8 percent - Annual average population growth rate: - 1985–2004: 1.8 percent - 2004–2015: 3.2 percent - Population change: from about 5 million in 2004 to more than 7 million in 2018 (a 40 percent increase) - Projected population by 2026: at least 10 million people - Historical GDP shock example: GDP growth contracted to negative 20.5 percent in 2015 from 4.6 percent in 2014 due to Ebola and iron ore price decline (2014–2015) - GDP composition (2017): - Agriculture: 55.1 percent - Services: 36.6 percent - Industry: 9.3 percent - Domestic revenue averaged around 12.5 percent over the last decade (below African average of 18 percent) - Fiscal deficit (including grants): from 1.9 percent of GDP in 2013 to an average of 11.4 percent in 2016 and 2017 - External debt stock: - US$1.04 billion in 2013 - $1.51 billion in 2017 - $1.53 billion in June 2018 Observations: - Economy remains broadly undiversified and vulnerable to external shocks. - Growth has been driven by export-led capital-intensive mining with limited job creation; need to raise productivity in labour-intensive sectors (e.g., agriculture). ### F. Macroeconomic framework to guide 2019–2023 implementation Macroeconomic targets: - Maintaining single-digit inflation - Reducing the budget deficit (including grants) to not more than 3 percent of GDP - Domestic revenue collection of at least 20 percent - Public expenditures kept within budgetary limits of around 24 percent of GDP - Wage bill not to exceed 6 percent - Reducing the current account deficit (including official grants) to an average of around 11.5 percent - Foreign exchange reserves built to a minimum of three months of import cover - Public debt maintained at not more than 70 percent in nominal terms and 55 percent in present-value terms - External debt not to exceed 40 percent of GDP in present-value terms Policy instruments to achieve targets: - Stringent short- to medium-term revenue mobilization measures - Expenditure management and control - Measures to manage and control domestic capital expenditure - Monetary and exchange rate policy management - Financial sector policy advancement - Public debt management ### G. Policy clusters and actions MTNDP organized around eight policy clusters with broad result areas: - Policy Cluster 1 – Human capital development: - 1.1 Ensuring free quality basic and senior secondary education - 1.2 Strengthening tertiary and higher education - 1.3 Accelerating health-care delivery - 1.4 Enhancing environmental sanitation and hygiene - 1.5 Increasing social protection - 1.6 Advancing housing and land management - Policy Cluster 2 – Diversifying the economy and promoting growth: - 2.1 Improving productivity and commercialization of the agricultural sector - 2.2 Improving productivity and sustainable management of fisheries and the marine sector - 2.3 Revitalizing the tourism sector - 2.4 Revamping the manufacturing and services sector - 2.5 Improving the management of oil and gas exploration and production - 2.6 Improving the management of mineral resources - 2.7 Promoting an inclusive rural economy - Policy Cluster 3 – Infrastructure and economic competitiveness: - 3.1 Accelerating the provision of energy supplies - 3.2 Transforming the transportation systems - 3.3 Improving the water infrastructure systems - 3.4 Improving information and communication technologies - 3.5 Fostering private sector growth - Policy Cluster 4 – Governance and accountability for results: - 4.1 Advancing political development for national cohesion - 4.2 Fighting corruption and illicit financial flows - 4.3 Strengthening public financial management - 4.4 Strengthening audit services - 4.5 Promoting inclusive and accountable justice institutions - 4.6 Building public trust in state institutions - 4.7 Strengthening public service delivery - 4.8 Strengthening decentralization, local governance, and rural development - 4.9 Strengthening security institutions - 4.10 Strengthening external relations for integration - Policy Cluster 5 – Empowering women, children, adolescents, and persons with disability: - 5.1 Empowering women - 5.2 Increasing investment in children and adolescents - 5.3 Increasing investment in persons with disabilities - Policy Cluster 6 – Youth employment, sports, and migration: - Population below 15 years of age: estimated at 42 percent - 6.1 Increasing youth employment and empowerment - 6.2 Revitalizing sporting activities across the country - 6.3 Addressing migration challenges - Policy Cluster 7 – Addressing vulnerabilities and building resilience: - 7.1 Building national environmental resilience - 7.2 Strengthening forest management and wetland conservation - 7.3 Improving disaster management governance - Policy Cluster 8 – Means of implementation: - Financing the plan - Governance arrangements for supervising and monitoring plan implementation - Projects and policy measures to be carried out - Specific mechanisms include: - Establishment of a Ministerial Oversight Committee - Sustaining government–donor dialogue - Revitalizing Sector Working Groups and District Working Groups - Enhancing domestic resource mobilization - Strengthening relationships with existing development partners and expanding the partner base - Exploring public–private partnerships and dialogue - Pursuing assistance under the Millennium Challenge Corporation - Instituting a robust monitoring and evaluation and performance management system aligned to SDG and Agenda 2063 indicators and targets - Strengthening data, information, and statistical systems ### H. Cost of the plan - Total estimated cost (2019–2023): US$8.15 billion - Direct development financing (domestic and foreign) projected by Ministry of Finance for 2019–2023: US$6.60 billion - Financing gap: US$1.55 billion Domestic revenue opportunities to explore: - Introduce a lottery system to encourage greater compliance by taxpayers - Work with Tax Inspectors Without Borders to strengthen auditing of large taxpayers - Revise and update levies to cover costs and reflect international standards - Put in place structures to issue and manage diaspora bonds - Evaluate potential for investing pension fund assets in infrastructure ### I. Mitigating risks to plan implementation Foreseen risks and mitigation measures: - a) Susceptibility to shocks: - Risks: continuous slump in iron ore price delaying mining resumption; rise in international petroleum prices affecting domestic inflation; delays in donor budget support; climate change and rising urban population with limited housing; expanding youth population posing social stability risks. - Mitigation: establish effective alert systems; aggressively seek other development partners; implement planned macroeconomic policies; increase capacity for domestic resource mobilization; ensure effective delivery of planned development projects with attention to Policy Cluster 6 and Policy Cluster 7. - b) Data and information availability: - Risk: fragmented data across sectors, credibility and relevance issues. - Mitigation: strengthen and capacitate Statistics Sierra Leone for coordinated data and information provision. - c) Inadequate capacity of MDAs: - Risk: weak capacity within and across MDAs affecting task completion and service quality. - Mitigation: build capacity of MDAs beyond the normal civil service system; enable open and flexible recruitment for bespoke professional positions, especially in evolving fields such as ICT. - d) Governance architecture: - Risk: bloated governance system with parallel structures and overlapping functions; conflicting and cumbersome legal instruments creating rivalry and unhealthy competition. - Mitigation: implement effective monitoring systems combining continuous beneficiaries’ assessments with technical evaluations; ensure transparency, information dissemination, and full participation of all stakeholders. *Source: EXECUTIVE SUMMARY, Medium-term National Development Plan 2019–2023* ### 1. BACKGROUND AND INTRODUCTION ### 1. BACKGROUND AND INTRODUCTION ### Part 1: Context and recent history of national plans - Since the end of the conflict in 2002, the Government of Sierra Leone has been producing National Development Plans (NDPs), otherwise referred to as Poverty Reduction Strategy Papers (PRSPs). - Sequence of past plans: - Interim PRSP for 2002–2003 - National Recovery Strategy implemented in 2003–2004 - National Programme for Food Security, Job Creation and Good Governance 2005–2007 - Agenda for Change 2008–2012 - Agenda for Prosperity 2013–2018 - The Medium-term National Development Plan (2019–2023) is the fourth in the series and represents the first five years of a 20-year long-term national commitment to a vision for a middle-income country. - The MTNDP is to be implemented in tandem with the formulation/finalization of the 20-year plan. ### Vision, long-term target, and flagship programme - Core vision: Sierra Leone as a middle-income country by 2039. - Implementation approach: application of coherent programmes within a framework of policies and legislation that are consistently enforced; projection of different scenarios based on in-depth studies and consultations; revisiting accepted assumptions of growth trajectory. - Flagship programme for the first five years: Free Quality School Education Programme to enhance human capital development and facilitate transformation of other sectors. ### Four national goals (for the five-year period) - Goal 1: A diversified, resilient green economy - Goal 2: A nation with educated, empowered, and healthy citizens capable of realizing their fullest potential - Goal 3: A society that is peaceful, cohesive, secure, and just - Goal 4: A competitive economy with a well-developed infrastructure ### Eight policy clusters (grouping policy actions and programmes) - 1. Human capital development - 2. Diversifying the economy and promoting growth - 3. Infrastructure and economic competitiveness - 4. Governance and accountability for results - 5. Empowering women, children, and persons with disabilities - 6. Youth employment, sports, and migration - 7. Addressing vulnerabilities and building resilience - 8. Means of implementation ### Strategic focus and implementation imperatives - Strategy to achieve MTNDP goals revolves around: - transforming the economy - promoting diversification - stimulating growth sectors - taking into account sub-regional opportunities (including the Mano River Union and ECOWAS) - investing in critical infrastructure to facilitate private sector expansion - providing disciplined, effective, efficient, and accountable leadership underpinned by respect for the supremacy of the rule of law - Emphasis that programmes and policies in the MTNDP will lay the foundation for longer-term goals in the 20-year plan period. - The preparatory process captured development aspirations of all political parties and sectors to address past constraints of coherence, continuity, and consistency. ### Alignment with regional and international agendas - MTNDP priorities and programmes are consistent with: - African Union Agenda 2063 - UN Agenda 2030 for Sustainable Development, including the Sustainable Development Goals - New Deal Peacebuilding and Statebuilding Goals - Special mention of the Mano River Union as providing space within ECOWAS subregion for wider growth and development initiatives. ### Theory of Change and results framework - The Theory of Change describes pathways from cluster outcomes to national goals and the national vision. - The four goals are interconnected; achievement of one supports others (for example, education is both a goal and a precondition for attaining other goals). - Outcomes at the cluster level are cross-cutting and can have multiple impacts; overlaps risk inefficient use of resources or contradictory effects without effective coordination. - Each cluster will outline its own Theory of Change to ensure effective implementation and facilitate monitoring of progress. - Only the most influential policy actions are shown in the results framework; full actions will be developed during formulation at the MDA level. - Continuous training of MDAs on project formulation and management is required. ### Risks, monitoring, and implementation - A number of risks are identified as having the potential to compromise success; these are listed in Cluster 8 on implementation. - Mitigating measures to counter such effects are outlined in Cluster 8. - Experience from past plans indicates insufficient attention to risks and ex ante preparation of risk-mitigating measures. - Reporting arrangements will make constant attention to risks and updating of mitigating measures obligatory. - Continuous monitoring, evaluation, and coordination are essential for the success of the entire programme. ### Six guiding principles of the MTNDP - 1. Disciplined leadership - 2. Efficient and prudent management of resources - 3. Participation and inclusiveness of all stakeholders in the development process - 4. Local ownership and content, with the people of Sierra Leone at the centre of development - 5. Coordination and partnerships for development among all actors in the economy - 6. Results-oriented implementation of the plan to ensure accountability *Source: 1. BACKGROUND AND INTRODUCTION, Sierra Leone’s Medium-term National Development Plan 2019–2023* ### 1.1 Plan preparatory ### 1.1 Plan preparatory process ### Preparation and research - The Medium-term National Development Plan was prepared after thorough research and extensive consultations within the country and globally. - A poverty and macroeconomic diagnostic, including growth projections, was conducted with support from development partners. - Research methods included desk reviews, key informant interviews, focus group discussions, and other relevant research techniques. - Staff of the Ministry of Planning and Economic Development (MoPED), with support from the Ministry of Finance, other MDAs, and local professionals, and with technical assistance from development partners, participated fully in the development of the plan. - The manifestos of political parties in the current parliament and key policy statements of presidential candidates were reviewed to inform the content of the plan. ### Consultation and inclusion - MoPED arranged for broad-based participation and inclusion of all stakeholders to ensure views of Sierra Leoneans from all walks of life were incorporated. - A multi-partisan approach to consultations was adopted to underscore commitment to national cohesion and the sustainable development principle “leave no one behind.” - Gender and other cross-cutting issues are incorporated into the policy clusters, with the results framework capturing these issues in the indicators and targets. ### Governance structure - Strategic direction provided by the Office of the President; exercise led by MoPED in collaboration with various stakeholders. - Governance layers described: Secretariat (technical staff of the ministry) → Cluster and Sub-cluster Working Groups → Core Technical Committee → National Oversight Committee. - Committee compositions and functions included: - National Oversight Committee: Co-chairs include the Minister MoPED and Minister MoF; ensure government-led process, strategic guidance, timely production, financing and technical support, and periodic updates to HE the President. - Core Technical Committee: Co-chairs include the Development Secretary and Financial Secretary; coordinate plan formulation, ensure SDGs/African Union Agenda 2063 integration, facilitate consultations, and provide technical guidance. - Cluster Working Group: Chairperson from MDA/NGO/civil society; collate sector papers and ensure writing templates are followed. - Sub-cluster Working Groups: Chairs from relevant MDA professionals; collect sector data and submit sector policy papers to the Plan Preparation Secretariat. - Secretariat: Technical staff from MoPED and MoF provide general technical backstopping. ### Nationwide consultations - Extensive consultations conducted at regional and district levels and with government institutions. - Physical outreach to about 2 million people through town hall meetings, focus group discussions, public engagements in learning institutions, and other outreach mechanisms targeting the disabled, market women, the elderly, and those in detention centres. - Media and digital outreach used: radio, TV, Twitter, WhatsApp, and Facebook. - Diaspora outreach undertaken through the country’s missions abroad for the first time in the planning process. - Institutional engagements included MDAs, development partners, academia and research institutions, private sector, CBOs, NGOs, CSOs, youth groups, trade unions, market women, women’s groups, the disabled, the elderly, political parties, universities, secondary schools, inmates of correctional centres, the judiciary, paramount chiefs, councillors, and members of parliament. ### District and regional findings - District consultations allowed districts to rank presented issues and raise additional issues; rankings mirrored government priorities with emphasis on quality education for all. - Three observations from district rankings: 1. District rankings significantly mirrored government priorities, with an emphasis on quality education for all. 2. Participants believed construction and rehabilitation of feeder roads, trunk roads, and bridges should be included as a priority in the plan. 3. At the district level, other issues presented for ranking were also influential drivers of the economy. - Regional consultations validated district consultation results across five administrative regions: Northern region, North-western region, Southern region, Eastern region, and Western region; results mirrored district consultations. - Regional ranking by sector (Ave. and regional ranks preserved as presented): - Education: Ave. 1.8 — Northern 2, North West 4, Eastern 1, Southern 1, Western 1 - Health: Ave. 3.0 — Northern 3, North West 6, Eastern 2, Southern 2, Western 2 - Roads: Ave. 3.0 — Northern 1, North West 1, Eastern 3, Southern 5, Western 5 - Agriculture: Ave. 4.2 — Northern 4, North West 3, Eastern 4, Southern 4, Western 6 - Water: Ave. 4.8 — Northern 6, North West 2, Eastern 6, Southern 7, Western 3 - Energy: Ave. 5.6 — Northern 7, North West 5, Eastern 9, Southern 3, Western 4 - Security: Ave. 6.2 — Northern 5, North West 7, Eastern 5, Southern 6, Western 8 - Corruption: Ave. 7.8 — Northern 9, North West 8, Eastern 7, Southern 8, Western 7 - Macroeconomy: Ave. 8.6 — Northern 8, North West 9, Eastern 8, Southern 9, Western 9 ### Document review sources and key lessons - Primary documentary sources reviewed included: - Functions of the Ministry of Planning and Economic Development, as gazetted in 2002 and 2008 - The New Direction manifesto and other political party manifestos - Previous PRSPs, including the Agenda for Change and the Agenda for Prosperity - Report on the Conference on Development and Transformation 2012; Report of the Constitutional Review Committee 2017; Sierra Leone Fragility Report 2018 - Global and regional plans: SDGs, African Union Agenda 2063, ECOWAS and Mano River Union frameworks - Other literature relevant to Sierra Leone’s development - Key messages and lessons from the desk review and consultations: - A long-term perspective and plan are important to form the basis for, and continuity of, national plans. - Absence of inclusive consultation undermined previous planning processes. - Poor prioritization resulted in weak expenditure alignment with the previous plan. - Duplication and overlapping of functions of key actors coupled with insufficient and ineffective coordination led to poor implementation. - Need to maintain consistency in pursuing development agendas. - A strong monitoring and evaluation component in the plan is essential for staying on course. - Alignment of the MTNDP to regional and global plans will provide options for benefitting from regional and global opportunities and limit the country’s size constraints. - There is commonality in the development goals outlined in political party manifestos. - Cross-cutting issues such as gender, the environment, and disability have till now been largely lip service. - Political and leadership commitment accelerates the delivery of public results. ### Organization of the document - Chapter 2 in Part I contains a social and economic analysis of the country. - Part II opens discussion on the clusters: - Cluster 1: Human capital development - Cluster 2: Economic diversification and promoting the growth of the economy - Cluster 3: Development of infrastructure and promoting the competitiveness of the country - Cluster 4: Good governance - Cluster 5: Issues related to women, children, and persons with disability - Cluster 6: Youth empowerment, sports, and migration - Cluster 7: Environmental resilience, forestry management, and disaster management - Cluster 8: Means of plan implementation ### Selected social and macroeconomic context statistics (poverty) - Overall poverty rate in Sierra Leone: 57 percent - Proportion living in extreme poverty: 10.8 percent - Rural poverty incidence: 72.4 percent - Poverty incidence in Freetown: 18.5 percent - Absolute poverty by region: North is poorest, followed by the South and the East; Western Area has the lowest poverty rate: 18 percent - Extreme poverty by region (unable to meet food needs): - East: 18.1 percent - North: 12.1 percent - South: 8.4 percent - West: 1.7 percent - On average, poor people of Sierra Leone can meet: - 69.8 percent of their basic needs - 89.2 percent of their food needs - Regional/area basic needs meeting capacity: - Western Area (Freetown): 77.5 percent of their basic needs - Rural areas: 67.3 percent of their basic needs - South: 72 percent - North: 68.2 percent - East: 65.7 percent - Education and poverty correlation: - About 68 percent of households whose head had no education are poor *Source: 1.1 Plan preparatory process — Sierra Leone’s Medium-term National Development Plan 2019–2023 (extracted from the supplied PDF content).* ### 5.6 percent for household heads with a univer- ### 1sleea2019002 - 5.6 percent for household heads with a univer- ### Current poverty profile (Income poverty) - Overall poverty rate in Sierra Leone is 57 percent, with 10.8 percent of the population living in extreme poverty. - Poverty by location: - Rural: poverty incidence 72.4 percent; extreme poverty incidence 15.3 percent. - Freetown: poverty incidence 18.5 percent; extreme poverty incidence 1.7 percent. - Other urban: poverty incidence 41.2 percent; extreme poverty incidence 4.1 percent. - Regional absolute poverty and extreme poverty: - East: absolute poverty incidence 60.9 percent; extreme poverty incidence 18.1 percent. - North: absolute poverty incidence 67.3 percent; extreme poverty incidence 12.1 percent. - South: absolute poverty incidence 66.8 percent; extreme poverty incidence 8.4 percent. - West: absolute poverty incidence 18.0 percent; extreme poverty incidence 1.7 percent. - Poor people can meet on average 69.8 percent of their basic needs and 89.2 percent of their food needs. - Western Area: can meet 77.5 percent of basic needs. - Rural areas: can meet 67.3 percent of basic needs (South 72 percent; North 68.2 percent; East 65.7 percent). - Education and poverty: - Households whose head had no education: poverty incidence 68.0 percent. - Primary incomplete: 58.1 percent. - Primary complete: 55.8 percent. - Secondary incomplete: 40.1 percent. - Secondary complete: 21.2 percent. - Post-secondary technical / vocational: 34.3 percent. - University: 5.6 percent. - Occupation and poverty: - Agriculture, forestry and fishing: poverty incidence 72.3 percent; extreme poverty incidence 16.4 percent. - Wholesale and retail trade: poverty incidence 41.7 percent; extreme poverty incidence 3.8 percent. - Transportation and storage: poverty incidence 25.5 percent; extreme poverty incidence 4.9 percent. - Mining and quarrying: poverty incidence 65.9 percent; extreme poverty incidence 12.9 percent. - Non-farm business only households: poverty incidence 39.3 percent; extreme poverty incidence 4.2 percent. - Wage employment (at least one household member): poverty incidence 35.3 percent; extreme poverty incidence 3.6 percent. - Household size and poverty: - 1 to 3: poverty incidence 18.0 percent; extreme poverty incidence 0.9 percent. - 4 or 5: 38.1 percent; extreme 3.9 percent. - 6 or 7: 59.3 percent; extreme 9.0 percent. - 8 or more: 71.7 percent; extreme 17.1 percent. - Sex and age of household head: - Male-headed households: poverty incidence 57.6 percent; extreme poverty incidence 11.6 percent; percent of population 77.9 percent. - Female-headed households: poverty incidence 55.0 percent; extreme poverty incidence 7.9 percent; percent of population 22.1 percent. - Age groups of household head show varying poverty incidence (examples: 18 to 25: 47.5 percent; 65 and over: 62.9 percent). ### Food security and socio-demographic correlates - Urban areas are more food secure than rural areas; Western Area significantly better off than other regions. - The North is both the poorest in monetary terms and the least food secure, followed by the South then the East. - Over half of households, even in the richest group, had to use a food-related coping strategy in the previous seven days. - Over half of the poorest group of households can achieve acceptable dietary diversity. - Larger households are generally more likely to be food insecure. - Female-headed households do somewhat better than male-headed households on food security. - Higher education of household head increases food security, though differences are less pronounced than for income poverty. - Households with heads engaged in farming are among the most food insecure. - Households engaging in entrepreneurship/trading in addition to farming are only slightly less poor than those relying on farming alone. ### Multidimensional poverty (MICS 2017) - National Multidimensional Poverty Index (MPI) metrics: - Incidence: 64.8 percent. - Intensity: 57.9 percent. - MPI (incidence × intensity): 0.375. - Rural versus urban: - Rural: population share 55.7 percent; incidence 86.3 percent; intensity 60.3 percent; MPI 0.520. - Urban: population share 44.3 percent; incidence 37.6 percent; intensity 50.9 percent; MPI 0.191. - Regional MPI and incidence: - East Region: population share 23.2 percent; incidence 67.6 percent; intensity 57.0 percent; MPI 0.385. - North Region: population share 33.7 percent; incidence 75.8 percent; intensity 59.6 percent; MPI 0.452. - South Region: population share 20.0 percent; incidence 76.0 percent; intensity 60.0 percent; MPI 0.456. - West Region: population share 23.1 percent; incidence 36.2 percent; intensity 50.2 percent; MPI 0.182. - District-level incidence highlights: - Pujehun: incidence 87.2 percent; MPI 0.544. - Koinadugu: incidence 86.5 percent; MPI 0.521. - Western Urban Area: incidence 28.5 percent; MPI 0.14. - Age groups: - Younger than 18: population share 48.4 percent; incidence 69.6 percent; intensity 58.7 percent; MPI 0.409. - 18–40 years: population share 31.8 percent; incidence 56.6 percent; intensity 57.0 percent; MPI 0.322. - 40+: population share 19.8 percent; incidence 66.0 percent; intensity 56.9 percent; MPI 0.376. ### Malnutrition - Malnutrition measured by percentage of children under five who are stunted, wasted, or underweight. - Malnutrition is higher in girls than boys. - Malnutrition peaks in the age range between introduction of solid foods around six months and when the child is eating the household diet by age two. - Children in households with significantly older heads are more likely to be malnourished. - The most important factor is the education level of the mother; children with better educated mothers are less likely to be malnourished. ### Population trends and demographics - Annual average population growth rate increased from 1.8 percent (1985–2004) to 3.2 percent (2004–2015). - Population rose from about 5 million in 2004 to more than 7 million to date. - If the 3.2 percent growth rate continues, at least 3 million people will be added by 2026, increasing the population to at least 10 million. - Age structure (population pyramid): - 0–4 years: 13 percent. - 5–14 years: 28 percent. - 15–24 years: 22 percent. - 25–34 years: 15 percent. - Those between 0 and 34 years account for close to 80 percent of the total population. ### Structure of the economy and growth diagnostic - Sierra Leone’s economy is small and undiversified; GDP growth has been inconsistent and largely driven by the export-led mining sector. - Sectoral contributions and indicators: - 2017 GDP growth rate: 3.7 percent (2016: 6.1 percent; 2015: -20.6 percent). - Sector shares in 2017: agriculture 55.1 percent of GDP; services 36.6 percent; manufacturing 9.3 percent. - Gross capital formation: - Rose from 1 percent of GDP in 2000, fluctuated between 9.8 and 11.8 percent through the decade, peaked at 42 percent in 2011, then declined by 15 percentage points of aggregate output by 2012. - Labour productivity: - Value added per worker in agriculture increased from US$455 in 2002 to $1,105 in 2015. - In 2014, labour productivity in agriculture was about one-third lower than average national labour productivity, 20 percent lower than services, and 12 percent of productivity in industry. - Box 2.1: Employment and productivity across sectors (2003–2014): - Agriculture: around 50 percent of real GDP; comprises more than 60 percent of labour force; lowest productivity. - Industry: contributed 51 percent of overall increase in productivity from 2003 to 2014, but added only 8 percent of jobs created in the same period. - Services: holds 36 percent of labour force; generated 44 percent of jobs in the period; labour productivity did not increase but remains higher than agriculture. ### Challenges to economic diversification, inclusive growth, and macroeconomic development - If current labour productivity trends persist, total value added would increase by 5 percent on average per year for 2016–2030, down from 5.3 percent on average per year between 2002 and 2015. - Under these hypotheses: - Value added per worker increases by 2.6 percent on average per year to reach US$1,830 in real terms (constant 2010 US$) by 2030, up from $1,235 in 2015. - GDP per capita would increase 3.1 percent on average per year to reach US$770 in real terms by 2030. - These outcomes would be insufficient for achieving middle-income status by 2035. - Risks and constraints: - Labour productivity growth driven mainly by mining may not translate into faster poverty reduction because the sector does not create enough jobs. - Without meaningful change in land and agricultural policy, labour productivity will continue to grow slowly, keeping most of the population in poverty. - Without significant improvement in the business environment, labour productivity in non-resource sectors will stagnate or decline. - Rural-to-urban migration likely to continue; majority of urban dwellers may find jobs in the informal sector. - Urbanization: population living in urban areas increased from 35 percent in 2001 to almost 40 percent in 2015; Freetown hosts 15 percent of the total population in only 0.02 percent of the total area of the country. *Source: Calculations based on SLIHS 2018 (Jan–June) and MICS 2017 as presented in Sierra Leone’s Medium-term National Development Plan 2019–2023.* ### Box 2.6: Constraints to Agricultural Productivity ### Box 2.6: Constraints to Agricultural Productivity ### Key findings from the 2015 Comprehensive Food Security and Vulnerability Assessment - When asked to identify the top three constraints to increasing agricultural production: - 45 percent of farmers cited the unavailability of improved seeds. - 41.5 percent cited lack of access to credit. - 39 percent cited the Ebola outbreak. - 31.5 percent cited insufficient household labour. - 27.7 percent cited pests or crop disease. - 24.7 percent cited a lack of tools. - 19.1 percent cited the unavailability of fertilizers. ### Context on productivity and growth projections (2016–2030) - If current trends in labour productivity are not reinforced in the next fifteen years: - Total value added would increase by 5 percent on average per year for the period 2016–2030, down from 5.3 percent on average per year between 2002 and 2015. - Value added per worker increases by 2.6 percent on average per year to reach US$1,830 in real terms (constant 2010 US$) by 2030, up from $1,235 in 2015. - GDP per capita would increase 3.1 percent on average per year in the period, to reach US$770 in real terms by 2030. ### Risks and distributional concerns - Productivity growth concentrated in mining could fail to translate into faster poverty reduction because: - The mining sector does not create enough jobs for direct access to and wider sharing of the generated prosperity (experience in 2011–2014). - Without meaningful change in land and agricultural policy, labour productivity will continue to grow at a slow pace, keeping most of the population in poverty. - Without significant improvement in the business environment, labour productivity in the non-resource sectors (industries excluding mining and services) will continue to stagnate or decline. - Demographic and urbanization pressures: - The percentage of the population living in urban areas increased from 35 percent in 2001 to almost 40 percent in 2015. - Freetown hosts 15 percent of the total population in only 0.02 percent of the total area of the country. - Rural-to-urban migration is likely to continue, and the majority of urban dwellers are very likely to only find jobs in the informal sector. ### Policy implications and priorities (as identified in the source) - Improve access to improved seeds, credit, tools, and fertilizers to address the top constraints identified by farmers. - Implement meaningful change in land and agricultural policy to raise labour productivity in agriculture and reduce rural poverty. - Improve the business environment to foster labour productivity growth in non-resource sectors and enable more inclusive job creation. - Identify and support drivers for productivity growth within sectors (notably agriculture and services) to ensure broad-based and sustainable economic growth. *Source: Box 2.6, Sierra Leone’s Medium-term National Development Plan 2019–2023 (text from the provided PDF content).* ### Box 2.6: Constraints to Agricultural Productivity ### Box 2.6: Constraints to Agricultural Productivity ### Main findings on agricultural constraints - Agriculture employs more than half of the country’s formal and informal workforce and accounts for about half of GDP. - According to the 2014 Labour Force Survey, nearly 60 percent of employed individuals aged 15 to 64 work in agricultural self-employment. - Yields are lower due to limited access to improved varieties of seeds, modern production techniques, fertilizers, and mechanization. - The overall cost of production is high and reduces farmers’ profit margins. - Access to credit is minimal; insurance markets are non-existent. - The cumbersome land tenure system impedes long-term investment. - Low prices constrain sales of agricultural products. - Poor infrastructure and an absence of modern processing and storage facilities increase post-harvest losses. ### Quantitative ranking of top constraints to increasing agricultural production (Comprehensive Food Security and Vulnerability Assessment, 2015) - 45.0 percent: unavailability of improved seeds - 41.5 percent: lack of access to credit - 39.0 percent: the Ebola outbreak - 31.5 percent: insufficient household labour - 27.7 percent: pests or crop disease - 24.7 percent: lack of tools - 19.1 percent: unavailability of fertilizers - (Additional categories in the source figure include, in ascending order of prevalence: No reason; Late/insufficient rain; Theft of crops; Lack of storage facilities; Ill health/sickness; No marketing opportunities; Low soil fertility; Lack of tools; Lack of household labour; Lack of cash/money/credit) ### Broader structural constraints affecting agriculture, employment, and private sector growth - Labor market and human capital - Sierra Leone lacks adequate and relevant labour policy and legislation; many key laws date back to 1960. - The vast majority of the 120,000 new entrants to the labour force each year face few good prospects and are often absorbed into rural agriculture or urban informal self-employment. - Poor education outcomes: 87 percent of pupils in second grade were unable to read any part of a short passage in the Early Grade Reading Assessment; by the end of third grade more than 50 percent of children could not write their name. - Key constraints to skills acquisition: outdated curriculum, insufficient capacity of TVET and higher education providers, limited links with industry, poor quality of instruction, and limited responsiveness to informal sector training needs. - Access to finance and financial sector constraints - Credit to the private sector is below 5 percent of GDP. - Only 15 percent of the adult population have an account with a formal institution, compared to 24 percent average for sub-Saharan Africa. - Outreach of microfinance and community banking is limited by poor governance and communication technology. - Only 1 percent of individuals are covered by the Bank of Sierra Leone’s credit registry. - Over half (56 percent) of the unemployed who were not searching for work wanted to start their own businesses but lacked capital or resources. - Nearly half (47 percent) of household enterprises reported they were unable to borrow necessary capital. - Infrastructure and logistics - Sierra Leone’s infrastructure compares poorly to the rest of sub-Saharan Africa; ranked 46 out of 54 on the African Development Bank’s Africa Infrastructure Development Index in 2016. - Infrastructure deficits in energy, transport, and ICT increase production and marketing costs and prevent links between internal and external markets. - Business environment and governance - Formal well-paid manufacturing and services jobs are virtually non-existent; almost nine in ten Sierra Leoneans are in the vulnerable informal sector. - Key constraints for firms: macroeconomic instability, limited access to infrastructure, labour, and credit, and limited trust in public officials. - World Bank Doing Business Report 2018 ranking: 160 out of 190 countries (down from 148 in 2017). - Persistent issues cited by businesses: corruption, high tax rates, and a mismatch between demand for and supply of labour. - State-owned enterprises and public administration - Large role of state-owned enterprises with weak management and frequent political interference. - Critical inputs (electricity, water, transportation, loans, credit) are provided by low-productivity, poor-performing state-owned enterprises. - Trade and commodity dependence - Iron ore exports account for over 50 percent of total exports. - Rice and fuel account for over 50 percent of total import value. - As a small open economy, Sierra Leone is highly dependent on international prices of its major commodity exports and imports. ### Macroeconomic and fiscal constraints with direct relevance to agriculture and rural livelihoods - Exchange rate and inflation - Sharp deviations from long-run aggregate demand and the exchange rate, including 8 percent depreciation over a ten-year period. - Recent adoption of a flexible exchange rate regime; the leone depreciated continuously in recent years due to mineral export volatility and unpredictable external budget disbursements. - Depreciation increased prices of essential imported goods such as rice and fuel; consumer prices have remained high since mid-2016. - Shocks and growth impact - The 2014 Ebola outbreak was estimated to have caused a 3.3 percentage point loss of GDP. - Drops in iron ore prices (2015–2018) resulted in slow GDP growth and reduced government revenue. - Public finance and debt - Domestic revenue collection is less than 12 percent of GDP (sub-Saharan Africa average: 18 percent). - Domestic expenditure averaging 20 percent of GDP. - Domestic debt estimated at 5 trillion leones; total arrears estimated at 1.5 trillion leones in March 2018. - In 2017, public debt was estimated at US$2 billion: external debt $1.5 billion and domestic debt $.5 billion. - Debt sustainability categorized as high-risk debt distress due to fall in exports, low revenue generation, and slow economic growth. - Bank financing of the fiscal deficit has exceeded 2 percent of GDP, raising interest rates and squeezing credit to the private sector. - In June 2018, the interest rate on the 365-day treasury bills (over 80 percent of marketable treasury securities) remained high, at 28 percent. - Tax policy and administration - Low revenue collection attributable to weak tax administration, weak capacity, excessive tax relief and exemptions, wide ranging off-budget revenues, and a narrow tax base. - Instability in the tax policy environment caused by yearly reviews of tax laws (Finance Act) often without full evaluation of previous provisions. - Aggregate government expenditure outturn has exceeded the budget each year due to lack of commitment control and politically directed spending on unplanned projects and contracts. ### Implications and policy priorities highlighted in the text - Create poverty-alleviating non-farm jobs outside the mineral sector by diversifying the economy. - Prioritize diversification and policy choices that promote inclusive growth. - Maintain a stable macroeconomic and fiscal policy to support private sector investment and employment generation. - Invest in human capital, particularly for the poor, to improve education and health outcomes and enable transition to higher-skill activities. - Intensify domestic revenue collection and pursue expenditure rationalization to restore macroeconomic stability. - Address financial sector outreach and credit information constraints (expanding credit registry coverage, improving microfinance outreach). - Improve infrastructure (energy, transport, ICT) and modern processing and storage facilities to reduce production and post-harvest losses. - Reform land tenure, enhance access to improved seeds, fertilizers, mechanization, and make credit more accessible to raise agricultural yields. *Source: World Bank, Systematic Country Diagnostic (2018) and Comprehensive Food Security and Vulnerability Assessment (2015)* ### Box 2.3: Key macroeconomic objectives and targets for 2019–2023 ### Box 2.3: Key macroeconomic objectives and targets for 2019–2023 ### Key macroeconomic objectives (2019 to 2023) - Attain and maintain single-digit inflation. - Reduce the budget deficit, including grants, to not more than 3 percent of GDP, through: - increasing domestic revenue collection to 20 percent of GDP by 2023; and - keeping government expenditures within budgetary limits of around 24 percent of GDP. - The government wage bill will be kept at the sustainable threshold of 6 percent of GDP. - Reduce the current account deficit, including official grants, from 14 percent of GDP in 2018 to an average of 11.5 percent of GDP from 2019 to 2023 through export promotion and diversification. - Build foreign exchange reserves to a minimum of three months of import cover. - Maintain the public debt at the sustainable threshold of not more than 70 percent of GDP in nominal terms and 55 percent of GDP in present value terms. External debt will remain at not more than 40 percent of GDP in present value terms. ### Short-term revenue mobilization measures - Develop and implement a comprehensive, accurate, up-to-date, and reliable taxpayer database by: - cleaning and broadening coverage of Tax Identification Numbers and Goods and Services Tax (GST) registers; and - harmonizing the two databases to improve compliance with business registration and tax payments. - Explore the property tax potential, including re-establishing a Rental Income Tax Unit at the National Revenue Authority to enhance the rental property database and implement an enforcement programme for collecting rental income tax. - Gather third-party data for data-matching purposes to detect unregistered taxpayers and expand the taxpayer base. - Introduce electronic cash registers to improve Sierra Leone’s GST ‘c-efficiency’, increasing the percentage of GST-registered businesses and those filing GST returns through enhanced automated GST administration. - Enhance collection of income tax from professionals, including lawyers, doctors, accountants, and engineers, to address notable noncompliance. - Enhance customs valuation by interfacing the current Automated System for Customs Data programme with a price reference database and using third party sources with original commercial invoices to address under-declared import values (pending installation of Automated System for Customs Data World). - Review and standardize processing and clearance of transit goods to address adverse revenue implications from increasing transit goods. - Enhance National Revenue Authority integrity mechanisms to reduce revenue leakages. - Other measures include: - Enhancing cooperation and collaborative strategies with all stakeholders. - Implementing post-clearance audit monitoring systems to improve compliance in customs declaration. - Implementing an automated payment gateway and reconciliation system, and integrating with all banking and Government of Sierra Leone systems. - Collaborating with the Ministry of Finance to examine abuse of tax incentives to ensure incentives are not overgenerous. - Improving voluntary compliance through aggressive taxpayer education and sensitization via a nationwide tax education programme by the National Revenue Authority. - Recovering tax arrears from companies in tax liability. - Stepping up auditing of GST-registered businesses, including medium-sized and large enterprises. ### Medium-term revenue mobilization strategies - Automating tax collection processes and procedures by implementing an Integrated Tax Administration System for domestic taxes, focusing on: - Automating domestic tax processes. - Introducing an electronic single-window customs system at the Queen Elizabeth II Quay to improve efficiency in clearance of goods at the quay. - Enforcing tax compliance through: - Implementing a taxpayer compliance management programme. - Developing a strategy for enforcement of existing tax legislation. - Strengthening tax investigation and prosecutorial processes. - Establishing a tax court under the Commercial Court of Sierra Leone. - Strengthening field audits of large taxpayers, especially in sectors with distinctive accounts requiring specialized technical knowledge. - Developing and enforcing transfer pricing provisions. - Implementing revenue stamps through enforcement of relevant provisions of the Finance Act 2009. - Revising fees/rates levied by MDAs. - Other medium-term measures: - Rationalizing tax and duty waivers. - Expanding the tax base. - Combating cross-border smuggling. - Undertaking comprehensive tax reform as part of the 20-year plan. ### Expenditure management and control measures — government wage bill - No new employee records will be created without valid National Social Security and Insurance Trust numbers and Basic Bank Account Numbers. - National Civil Registration Numbers will be utilized as unique identifiers for public sector employees. - Ensure National Social Security and Insurance Trust discontinues contributions for public sector employees above 60 years (above 55 years for police and army). - Rationalize the current Personal Identification Number (PIN code) system by considering feasibility of employees maintaining the same PIN as they move between payroll categories. - Minimize payment of salaries through manual vouchers and address multiple pensions. - Align manpower planning with budget preparation and harmonize salaries and allowances across all public sector payroll categories. - Assign public sector employees to their correct budget programmes. - Decentralize data input for payroll changes and employee input at the MDA level by devolving the Integrated Financial Management Information System human resources/payroll system to MDAs for timely input. - Establish a Wages and Salaries Commission to improve and sustain payroll management. ### Measures to manage and control non-salary, non-interest recurrent expenditures - Step up efforts to improve public procurement process to reduce expenditure and ensure value for money; require open competitive bidding above legal thresholds, with single-source procurement only in exceptional circumstances. - Review and amend relevant sections in the Public Procurement Act (2016) and the Public Financial Management Act (2016) to clarify roles of the National Public Procurement Authority and the Procurement Directorate of the Ministry of Finance and to strengthen compliance. - Enforce and monitor preparation and implementation of procurement plans within the Medium-term Expenditure Framework, consistent with the Public Financial Management Act (2016). - Migrate from manual procurement to an electronic procurement (e-procurement) system to improve transparency and accountability. - Strengthen expenditure commitment control systems to avoid accumulation of arrears by: - Rolling out the automated Public Expenditure Tracking Survey Form I to MDAs. - Upgrading the Integrated Financial Management Information System to Version 7 to prevent MDAs entering commitments above budgetary allocation. - Discourage extrabudgetary expenditures by improving budget planning and ensuring strict adherence to the Public Financial Management Act (2016) provisions on extrabudgetary control. - Automate expenditure management, including enterprise resource system, to track in real time expenditure stages. ### Measures to manage and control domestic capital expenditure - Conclude and adopt the National Public Investment Policy and the National Public Investment Manual (aligned with Public Financial Management Act 2016) and undertake specific measures: - Projects wholly funded by government should be negotiated in domestic currency, with provision for domestic currency depreciation. - Include projects in the public investment programme only after thorough appraisal demonstrating economic and financial viability and identification of funding sources. - Conduct comprehensive review regarding compensation for projects (except those involving resettlement), since compensation adds cost and delays implementation. - Minimize hiring external consultants for wholly government-funded projects where contracting authorities (e.g., Sierra Leone Road Transport Authority, Electricity Distribution and Supply Agency, Electricity Generation and Transmission Company) have required expertise. - Undertake ex-post evaluation of major projects for lessons for future public investment decisions. - For donor-funded projects, appraisal will follow Public Financial Management Act 2016, Public Debt Act 2013, and National Public Investment Policy. - Encourage public sector to budget adequately for government counterpart funding required by donor-funded projects; government counterpart funding should be paid in local currency. - The Government of Sierra Leone, with assistance from the International Monetary Fund Fiscal Affairs Department, will embark on a Public Investment Management Assessment. ### Monetary policy measures - Main monetary policy objective for the Bank of Sierra Leone: lower inflation, re-anchor inflation expectations, and ensure progressive convergence to medium-term single-digit inflation. - Measures: - Drive monetary policy by aligning monetary growth with levels consistent with medium-term inflation and GDP growth objectives. - Continue to use the monetary policy rate primarily to signal monetary policy stance. - Enhance effectiveness of monetary policy operations and liquidity management through more active participation in the money market using market-based instruments. - Develop and deepen the interbank market to enable effective responses to monetary policy signals. - Improve monetary policy communication to key stakeholders and the public. - Develop appropriate monetary instruments and tools to make liquidity management more effective. - In collaboration with the Ministry of Finance, implement reforms to improve the efficiency of the government securities market as the government considers issuing a long-term bond in domestic currency to support financing of infrastructure projects. ### Exchange rate policy measures - Exchange rate to be market-determined within a flexible exchange rate regime to allow adjustment to external shocks and maintain competitiveness for export-oriented growth. - Bank of Sierra Leone interventions in the foreign exchange market will be limited to smoothing excessive volatility and will not resist market-driven trends. - Medium-term specific measures: - Focus on developing a vibrant, well-established foreign exchange market to facilitate well-referenced exchange rate determination. - Enhance the established electronic trading platform to accommodate all significant foreign exchange transactions to help determine the reference exchange rate. - Strengthen cooperation of all authorized dealer banks and traders to meet reporting requirements timely to deepen and anchor the foreign exchange market. - Accelerate the economic diversification programme in the medium term to stabilize currency exchange by encouraging exports and discouraging imports, especially of basic consumption commodities. ### Financial sector policy measures - Two key objectives implemented by the Bank of Sierra Leone: - Deepen financial intermediation and financial inclusion to foster higher, broader, and more inclusive growth. - Safeguard financial stability by strengthening the regulatory and supervisory framework and appropriately assessing risks within the banking system and other financial institutions. - Promoting financial inclusion: - Continue procuring a National Financial Switch for Sierra Leone (with World Bank support) as part of the second phase of the Financial Sector Development Programme to increase financial inclusion. - Promote digital financial services (DFS). Noted: 14 DFS providers licensed by the Bank of Sierra Leone and an average of over 5.6 million transactions per month. - Leverage Sierra Leone’s membership in the Alliance for Financial Inclusion and the Better Than Cash Alliance for DFS-driven transformative impact and peer-learning. - Strengthen functioning of the Digital Financial Services Working Group (led by the Bank of Sierra Leone, including Ministry of Finance, National Telecommunications Commission, Financial Intelligence Unit, Ministry of Agriculture and Forestry, and private sector). - Strengthen the DFS Working Group/Task Force subcommittee for Smallholder Farmers to mainstream DFS into smallholder farmer operations. - Review and revamp mobile money guidelines to keep pace with DFS evolution globally. - Consider establishing a legal and regulatory DFS framework that is risk-based, fair, allows new entrants, is technology-neutral, and avoids excessive non-risk-based compliance costs. - Ensure women, youth, and micro, small, and medium-sized enterprises have improved access to transformative DFS; strengthen DFS regulators’ institutional capacity; and leverage DFS for domestic revenue collection and resource mobilization. - Development partners (World Bank, UN Capital Development Fund) will work closely with government to build capacity, strengthen DFS regulatory coordination, develop consumer protection framework for DFS, and implement a digital credit bureau initiative linking digital financial identity to digital transactions. - Supervision and regulation: - Promote financial sector legislative reforms. - Improve performance of the two state-owned banks through increased supervisory oversight by the Bank of Sierra Leone. ### Public debt policy measures (2019–2023) - Reform institutional and legal framework for accessing external and domestic debts for central government, local governments, and state-owned enterprises. - Set explicit debt ceilings in the medium- to long-term in context of government development plans, informed by sound medium-term debt strategy and debt sustainability analysis to reduce debt distress risk. - Carefully monitor build-up of domestic debt to ensure sustainability and affordability. - Issue medium- to long-term bonds to finance capital and infrastructure projects within available programme borrowing limits to avoid using short-term borrowing for infrastructure. - Prioritize grant and concessional external financing to ease burden on domestic financing and pressure on domestic interest rate. - Limit external financing of social services predominantly to grants; direct loan resources to productive sectors and infrastructural development with high economic returns. - Limit accumulation of domestic arrears and ways and means advances from the central bank to not more than 5 percent of domestic revenue, supported by improved budget execution and control. - Embark on verification of claims and adopt strategies to clear arrears, including explicit provision in the annual budget arrears settlement. - Discount or apply a haircut on verified claims based on certain characteristics; ensure upfront cash payments and issuance of special bonds to securitize arrears. - Utilize budget support and revenue windfalls to clear some categories of verified claims aimed at zero accumulation of external debt arrears. - Work to avoid future build-up of arrears by improving public financial management (PFM) practices, and pursue joint technical assistance requests from the International Monetary Fund and World Bank. - Noted stock and pipeline: a huge stock of domestic arrears and pipeline commitments estimated at 10.6 trillion leones (US$1.4 billion) or 39 percent of GDP at the end of May 2018, which included non-payment for goods and services already delivered or works completed. - Domestic arrears clearance strategy will: - Maintain a comprehensive and credible database on arrears and payables across all sectors. - Subject database to verification or audit to ascertain accuracy and validity of claims and lawfulness (including procurement processes). - Ensure verification of arrears by category (salaries and wages, social security, recurrent goods and services, and so on) and prioritize liquidation/treatment accordingly in the annual budget. - Consider negotiating a haircut on certain categories of claims and mobilize a down payment to pay off discounted amounts for participating creditors. - Transform arrears to explicit obligations by borrowing to finance liquidation of claims, prioritizing cheaper financing sources to settle verified claims. - Consider grant resources and revenue windfall towards clearing verified claims. - Consider ring-fencing pre-determined grants for disbursement towards addressing specific categories of claims in the short term. - For large claims (roads, energy, construction contracts), consider securitization approach allowing delayed financing until fiscal situation improves with predictable payment timelines; holders of securities could use these as guarantees to access financing elsewhere. ### First-person perspectives (selected) - “There is a need to continue the participatory approach for the National Development Plan.” — Parliamentarian representative - “There is a need for a long-term plan that will set out a clear vision and path to development. Such a long-term plan needs to be legislated for stability in the development trajectory of the country.” — NGC Political Party Representative - “The National Development Plan should be developed in ‘Blueprint Form’, i.e. the document should serve for a long period of time and should not be changed from one government to another.” — President, Labour Union *Source: Box 2.3, Sierra Leone’s Medium-term National Development Plan 2019–2023* ### PART 2: POLICY CLUSTERS ### PART 2: POLICY CLUSTERS ### Human capital development — overarching rationale - Sierra Leone’s most substantial nonnatural asset is its human resources, largely a young and dynamic population; human capital (health and education) determines whether a youth bulge is detrimental or beneficial. - Improving human capital requires a dramatic increase in the quality of public services. - The Government has portrayed “education for development” as the overarching guiding principle for the National Development Plan 2019–2023 and is pursuing a special Human Capital Development Project. - The education system has been returned to the 6-3-3-4 system from the 6-3-4-4 system used in the last seven years. ### Short- and medium-term channels for growth and poverty reduction - Short term: better public service provision (especially free quality education) will free up household resources previously used to purchase private services, allowing increased consumption or productive investments. - Medium term: increased national human capital will improve the business climate, boost private-sector output, and increase Sierra Leone’s attractiveness for investment. - Improved health reduces days lost to illness, increasing labour supply for agriculture and informal nonfarm enterprises. - Quality education improves uptake of modern farming practices and enables fish value-chain upgrading. - Two channels for poverty reduction: - Directly increases incomes of the poor through higher productivity in agriculture and fishing. - Higher production of rice and fish would reduce prices and increase consumption, improving food security and nutrition. ### Public spending efficiency and public financial management - Building human and physical capital for growth and poverty reduction requires more efficient public spending. - Bottlenecks in public financial management and procurement lead to inefficient public spending in priority sectors. - Greater efficiencies and higher value for money can be achieved through improvements in budgeting (enhanced allocative efficiency), procurement, and financial management, including reporting and oversight. - Sierra Leone has built a fairly solid legal and regulatory framework serving as the foundation for public financial management and implementation. ### Free Quality Basic and Senior Secondary Education — policy objectives - The Free Quality School Education Programme is the government’s flagship programme to modernize education and make it relevant to development needs. - Aim: generate a critical mass of highly educated, trained, and skilled Sierra Leoneans capable of research and development, innovation, entrepreneurship, and improved public-sector leadership and services. - The plan categorizes educational targets and strategies under two subpolicy areas: - free quality basic and senior secondary education; and - tertiary and higher education. - Phased implementation: pupils benefiting in the first phase will be only those attending government and government-assisted schools. ### Access and equity — enrollment trends and gender - Between the 2010/2011 school year and 2017: - overall enrolment at all levels increased by 474,612 (i.e. by approximately 30 percent). - percentage change in enrolment was greatest for pre-primary, at 115 percent. - senior secondary increased by 66 percent. - primary increased by 24 percent. - Female enrolment grew at a faster rate than male enrolment at pre-primary, primary, and junior secondary levels. - Gender Parity Index values based on the gross enrolment ratio indicate gender equity is close to being attained at the basic level of schooling, standing at or better than 1. - Trend expectation: introduction of the Free Quality School Education Programme could result in more girls than boys in senior secondary school in the next five years; critical to ensure girls not only enrol but continue and complete education. - Pupils with disabilities: - number of students with disabilities in schools decreased from 25,339 in 2015 to 25,022 in 2017. - Ministry of Basic and Senior Secondary Education is making provisions (ramps, more usable toilets, teacher awareness) and full implementation of the Inclusive Education Policy aims to increase enrolment of children with disabilities. ### Quality: learning, relevance, completion, and integrity - School completion and advancement are crucial for national development; late school entry negatively impacts completion, especially for girls. - Completion rates: - primary gross completion rate slipped from approximately 74 percent in 2016 to 67 percent in 2017. - junior secondary completion rate fell from approximately 61 percent in 2016 to 49 percent in 2017. - Primary-to-junior-secondary transition rate: - fell from 88 percent in 2016 to 78 percent in 2017. - in 2017 the female transition rate was higher than that for males. - Examination performance: - entries for the Basic Education Certificate Examination increased until 2017, when a decrease was recorded; pass rates show continued increase year-on-year. - West African Senior School Certificate Examination performance fluctuated between 2012 and 2018 with dismal performance rates ranging from 7 to 20 percent. - girls are almost at par with boys in the public National Primary School Examination and West African Senior School Certificate Examination, while boys outperform girls in WAEC private school examinations. ### Teacher supply, qualifications, and management - Teacher numbers: - total number of teachers in all schools was 63,535 in 2016, of which 17,147 were females. - total number increased to 63,736 in 2017, while female teachers decreased to 17,006 (a .8 percent decrease). - Teacher qualifications: - about 34 percent of teachers had no formal training as educators in 2016; in 2017 this dropped to 33 percent. - the pupil-to-qualified-teacher ratio for 2017 is generally above ideal levels and remains higher in the provinces compared to the Western Area. - Institutional change: management of teacher records, transfers, deployment, assessment, promotions, and related responsibilities have been moved from the Ministry of Basic and Senior Secondary Education to the Teaching Service Commission to improve governance. ### Sector constraints and fiscal context - Fiscal constraints inherited from implementing the Agenda for Prosperity (2013–2018) resulted in a drastic shortfall in financing requirements for the education sector. - The Ebola virus disease outbreak (2013–2016) and the simultaneous crash in iron ore (the country’s leading export commodity) exacerbated fiscal and sector challenges. - During 2013–2016, at the height of the Ebola epidemic, schools were shut down for almost a whole year; GDP growth plunged from 20.7 percent in 2013 to [text ends]. *Source: PART 2: POLICY CLUSTERS — Sierra Leone’s Medium-term National Development Plan 2019–2023* ### 4.6 percent in 2014, and then contracting to ### Basic and Senior Secondary Education — Sierra Leone Medium-term National Development Plan 2019–2023 (excerpt) ### Context and immediate shocks - GDP and fiscal context: spending on Ebola control diverted resources from other sectors, leaving few resources available for the education sector. (Specific fiscal figures in source context: "4.6 percent in 2014, and then contracting to negative 20.7 percent in 2015.") - Existing required improvements in overall service delivery in the sector persisted alongside the Ebola-related diversion of resources. ### Learning outcomes and assessment performance - Early grade and national assessments indicate poor learning: - Many Class 4 (primary) pupils cannot read a grade- and age-appropriate text fluently and with comprehension. - Many pupils in Class 2 and Class 4 do not know the letter sounds and cannot decode words. - Latest mathematics assessment: only 7 percent of Junior Secondary School 2 and 12 percent of Senior Secondary School 2 pupils typically demonstrate math skills linked to the highest performance band. - About 37 percent of Junior Secondary School 2 and 25 percent of Senior Secondary School 2 pupils demonstrate skills linked to the lowest performance band. - Across both grades, boys perform significantly better than girls, with the gap widening from junior to senior levels. - Aggregate assessment results labelled as poor and not improving: Early Grade Reading Assessment, Early Grade Mathematics Assessment, National Primary School Examination, Basic Education Certificate Examination, West African Senior School Certificate Examination. ### Examination and examination-entry statistics (exact figures) - Basic Education Certificate Examination (Year — Entry — Sat — Passed — Pass Rate) - 2013: 76,057 — 75,357 — 35,747 — 47 percent - 2014: 90,788 — 90,616 — 43,911 — 48 percent - 2015: 92,881 — 92,418 — 56,451 — 61 percent - 2016: 101,734 — 101,425 — 66,188 — 65 percent - 2017: 94,407 — 94,111 — 68,053 — 72 percent - National Primary School Examination trends presented for 2013–2018 (entered, sat, passed) and Figure 3.1 summarises trends 2013–2018. - West African Senior School Certificate Examination (Year — Entry — Sat — Passed — Pass Rate) - 2012: 58,195 — 56,893 — 4,177 — 7 percent - 2014: 27,370 — 26,782 — 1,889 — 7 percent - 2015: 24,300 — 23,587 — 3,445 — 15 percent - 2016: 36,696 — 35,938 — 6,095 — 17 percent - 2017: 29,922 — 29,222 — 5,728 — 20 percent - 2018: 33,396 — 32,232 — 5,797 — 18 percent - WASSCE gendered performance (Year — M Sat — F Sat — M Pass — F Pass — M Pass Rate — F Pass Rate) - 2014: 16,066 — 10,716 — 1,221 — 668 — 8 percent — 6 percent - 2015: 13,714 — 9,873 — 1,994 — 1,451 — 15 percent — 15 percent - 2016: 20,489 — 15,449 — 3,663 — 2,432 — 18 percent — 16 percent - 2017: 16,617 — 12,605 — 3,336 — 2,392 — 20 percent — 19 percent - 2018: 16,987 — 15,245 — 2,989 — 2,808 — 18 percent — 18 percent ### Enrollment, completion, and transition - School completion rates: - Gross completion rate at primary level slipped from approximately 74 percent in 2016 to 67 percent in 2017. - Gross completion rate at junior secondary level fell from approximately 61 percent in 2016 to 49 percent in 2017. - Primary-to-junior secondary transition rate: - 2016: 88 percent - 2017: 78 percent - In 2017 the female primary-to-junior secondary transition rate was higher than that for males. - Issues affecting completion and transition: late schooling (especially for girls), high repetition rates at primary level, low teacher competence and motivation. ### Teacher workforce, qualifications, and pupil-to-teacher ratios - Teacher counts: - 2016 total number of teachers in all schools: 63,535 (of which 17,147 were females). - 2017 total number of teachers in all schools: 63,736 (of which 17,006 were females — "a 27 percent decrease" stated in source). - Only at the pre-primary level have there been more female teachers than male teachers. - Teacher qualifications: - About 34 percent of teachers had no formal training as educators in 2016; in 2017 this dropped to 33 percent. - An average of 34 percent of all teachers are classified as unqualified/untrained. - By level: Primary — 42 percent of teachers are unqualified; Junior secondary — 27 percent unqualified; Senior secondary — 12 percent unqualified. - Positive trend: percentage of unqualified teachers declined from 45 percent in 2010 to 34 percent in 2016. - Pupil-to-qualified teacher ratio (2017) — Region — Preschool — Primary — JSS — SSS — All - East: 62 — 71 — 64 — 75 — 70 - North: 38 — 65 — 38 — 73 — 58 - South: 41 — 73 — 47 — 35 — 63 - West: 29 — 39 — 29 — 50 — 37 - National: 37 — 61 — 40 — 55 — 55 ### Equity, governance, and system challenges - Equity issues: - Pre-primary schooling is not equitably provided; many pre-primary school-age children lack access. - Late school entry above official age remains common. - Many children with disabilities are out of school. - Governance and finance: - Over-centralization and absence of a financing system that incentivizes good performance and improvement. - Management functions (teacher records, transfers, deployment, assessment, promotions) moved from the Ministry of Basic and Senior Secondary Education to the Teaching Service Commission to improve governance. - Opportunities and strengths: - Commencement of the Free Quality School Education Programme with rapid implementation of interventions to improve quality. - Increased attention to decentralization to allow greater local ownership. - Greater importance to early childhood education with standards and teacher guides developed. - Encouraging enrolment numbers for girls and stronger development partner willingness to support the Free Quality School Education Programme. - Trust fund established for partner participation; budget funds available; understanding to guarantee a 20 percent minimum recurrent state budget for education. ### Strategic objective and key targets - Strategic objective: - "Significantly improve and increase access to quality basic and senior secondary education in both formal and non-formal settings, providing modern, free basic and secondary education services that are safe, inclusive, equitable, corruption free, and relevant to needs in order to impact productive economic activity." - Key targets (to be achieved by 2023): 1. By 2023, implement free quality basic and secondary school education. 2. By 2023, increase access, equity, and completion rates at all levels of schooling (formal and non-formal) above the 2018 rates. 3. By 2023, improve the basic and senior secondary learning environment at all levels above the 2018 rates. 4. By 2023, review and strengthen educational systems and governance architecture for improved quality education. ### Key policy actions (listed exactly as in source) - Prioritize the provision of universal free quality education programmes by increasing the national budgetary allocation to education. - Decentralize basic and senior secondary school education. - Revert from the 6-3-4-4 system of education to the 6-3-3-4 system, as recommended in education sector reviews. - Provide specialized facilities and structures that meet the needs of vulnerable pupils, especially girls and children with disabilities, in primary and secondary schools. - Establish a functioning Non-formal Accelerated Learning Centre in every district. - Establish a Multi-partner Education Basket Fund for development with an effective governance and oversight mechanism. - Increase teacher–pupil contact hours by eliminating the two-shift system and building additional classrooms. - Reduce the pupil–teacher ratio by recruiting additional trained and qualified teachers. - Develop a policy and legal framework to enhance public–private partnerships in the education sector. - Improve the capacity of the ministry, the School Inspectorate, School Management Committees, etc. - Establish a national database with effective monitoring systems for all education programmes. - Establish one primary school per administration section; one junior secondary school per electoral ward; and one senior secondary school per electoral constituency. - Expand the school feeding programmes in all government and government-assisted schools. - Strengthen and expand the school bus system on a cost recovery basis through private participation. - Review the current Education Sector Plan to align it with national priorities and other international benchmarks on education. - Review the curriculum of the current education system to make it relevant to the modern job market and entrepreneurship opportunities. - Eliminate examination malpractice and unethical and corrupt practices in education through an effective national education security and governance strategy. *Source: Sierra Leone’s Medium-term National Development Plan 2019–2023 (excerpt).* ### 1.2 Strengthening tertiary ### 1.2 Strengthening tertiary and higher education ### Context and rationale - The Government of Sierra Leone’s flagship education programme strategic objectives include increased access to quality technical and higher education to enable graduates to engage in meaningful productive economic activity. - Presidential policy pronouncement in May 2018 aimed at increasing and sustaining budgetary allocation to education to a minimum of 20 percent of the national budget. - The state pursues free basic and senior secondary education upstream while recognising that achieving a critical mass of capable Sierra Leoneans for socio-economic competitiveness and middle-income status requires massive attention to technical and higher education. - Science and technology are identified as the bedrock for development of a modern economy. - Rising enrolment at basic levels (expected to quadruple with the introduction of the Free Quality School Education Programme) generates large upward pressure on demand for post-basic and tertiary education and associated resource requirements. - The government separated the Ministry of Technical and Higher Education and the Ministry of Basic and Senior Secondary Education to reflect this priority. ### School-age population and demand projections - Projections for school-going population (3- to 17-year-olds) based on a 2015 baseline: - National Population: 7,092,113 (2015), 8,301,836 (2020), 9,124,587 (2023), 9,717,904 (2025), 11,375,516 (2030) - 3- to 5-year-olds: 694,514 (2015) — 24 percent; 812,979 (2020) — 24 percent; 893,549 (2023) — 24 percent; 951,652 (2025) — 24 percent; 1,113,978 (2030) — 24 percent - 6- to 11-year-olds: 1,237,564 (2015) — 43 percent; 1,448,659 (2020) — 43 percent; 1,592,228 (2023) — 43 percent; 1,695,761 (2025) — 43 percent; 1,985,012 (2030) — 43 percent - 12- to 14-year-olds: 473,881 (2015) — 16 percent; 554,712 (2020) — 16 percent; 609,687 (2023) — 16 percent; 649,331 (2025) — 16 percent; 760,090 (2030) — 16 percent - 15- to 17-year-olds: 483,295 (2015) — 17 percent; 565,732 (2020) — 17 percent; 621,799 (2023) — 17 percent; 662,231 (2025) — 17 percent; 775,189 (2030) — 17 percent - Total population 3-17 year olds: 2,889,254 (2015) — 41 percent; 3,382,083 (2020) — 41 percent; 3,717,263 (2023) — 41 percent; 3,958,974 (2025) — 41 percent; 4,634,268 (2030) — 41 percent - The projections signal large expected increases in demand for tertiary education and attendant increases in resource requirements. ### Current tertiary sector composition and enrolment (as reported) - According to the Tertiary Education Commission (2013), 48 higher and tertiary institutions were registered in 2013: - Five universities (3 public, 2 private) - Three polytechnics (all public) - Four theological colleges (all private) - Four health service institutions (1 private, 3 public) - Four technical colleges (3 public, 1 private) - Twenty-eight other colleges (all private) - Types and size of enrolment across ten public higher education institutions in the 2011/2012 academic year (TOTAL enrolment: 31,103 students): - University of Sierra Leone: West — Male 6,123; Female 3,285; Total 9,408 - Fourah Bay College — Male 3,341; Female 1,143; Total 4,484 - College of Medicine and Allied Health Science — Male 635; Female 821; Total 1,456 - Institute of Public Administration and Management — Male 2,147; Female 1,321; Total 3,468 - Njala University South — Male 4,022; Female 2,132; Total 6,154 - Milton Margai College of Education and Technology West — Male 2,842; Female 1,487; Total 4,329 - Eastern Polytechnic East — Male 2,286; Female 1,268; Total 3,554 - Northern Polytechnic North — Male 1,734; Female 1,200; Total 2,934 - Bonthe Technical Training College South — Male 54; Female 28; Total 82 - Port Loko Teachers College North — Male 834; Female 580; Total 1,414 - Freetown Teachers College West — Male 2,115; Female 1,113; Total 3,228 - TOTAL enrolment: Male 20,010; Female 11,093; Total 31,103 - The current size of student enrolment is logically expected to be above 31,103 given the growing demand at basic levels and anticipated effects of free quality education. ### Challenges in the technical and higher education sector - Identified challenges: - Poor facilities and infrastructure; deplorable conditions in higher learning institutions. - Lack of modern basic facilities for scientific research, innovation, and technological development. - Poorly financed institutions and limited financial resources for the oversight ministry. - Low-quality teacher training and technical and vocational institutions. - Corruption and integrity issues affecting the sector. - Curricula of tertiary, technical, and vocational institutions not properly tailored to meet the growing demands of the Sierra Leone economy, compounding unemployment and underemployment. - Limited resource availability for the newly established Ministry of Technical and Higher Education. ### Institutional and policy responses underway - Government actions and commitments: - Establishment of a separate Ministry of Technical and Higher Education focused on higher education improvement. - Determination to strengthen university system independence, including selecting its own leadership (chancellors and vice-chancellors) to reduce political interference and restore international clout and research funding. - Establishment of a Directorate for Science, Technology, and Innovation in the Office of the President to provide initial impetus and develop a framework for scientific research. - Policy pronouncements to develop tourism skills over the next five years, including a comprehensive skills audit, a Labour Force Development Plan for tourism, upgrading hotel management training, supporting private colleges in tourism disciplines, and introducing higher education programmes for tourism training. ### Strategic objective and key targets - Strategic objective: - Increase equitable access to quality higher education that promotes research, innovation, and entrepreneurship for growth, stability, and national development. - Key targets (by 2023): - By 2023, increase access to quality higher education. - By 2023, increase access to functional adult literacy education. - By 2023, implement a universal civic education programme. - By 2023, improve the quality of research and academic excellence at tertiary levels. ### Key policy actions - Improve support to the teaching of science, technology, and innovation at universities and polytechnics through the provision of special resources (equipment, motivation packages, etc.). - Review and reinvigorate the Teaching Service Commission through improvement in personnel capacity and other requisite resources. - Establish the Directorate for Science, Technology, and Innovation, initially anchored within the Office of the President. - Upgrade and expand the curriculum of universities and the research output. - Introduce a special motivation scheme for teachers in rural communities and special needs educational institutions through a special package (housing, medical services, scholarships, etc.). - Introduce a BEST Teacher Award Scheme by providing free university education for three children of every schoolteacher with at least ten years teaching experience. - Extend teacher training institutions to all districts by supporting established institutions with the requisite resources and adequate capacity. - Review and expand on students’ grants-in-aid and introduce a Student Loan Scheme for deserving students across the country. - Establish functional Adult Literacy Centres in all districts. - Review and standardize the curriculum and certification for technical and vocational education and training. - Develop a National Apprenticeship Scheme through the engagement of public–private partnerships in technical and vocational education and training. - Establish additional universities and improve university infrastructure – energy, water, ICT, and student dormitories. - Complete the review of policies and acts covering operations of higher learning institutions. - Strengthen accountability mechanisms in higher education and improve university governance and administration to engender greater autonomy in the management of universities through the independent selection of chancellors and vice chancellors. - Improve and expand partnerships with regional and international education institutions through coordinated research, exchange learning, and the establishment of regional centres of excellence and inter-university scientific cooperation. *Source: 1.2 Strengthening tertiary and higher education, Sierra Leone’s Medium-term National Development Plan 2019–2023* ### 26.3 percent ### 1sleea2019002 - 26.3 percent ### Health outcomes and service indicators - Percent children < 1 year fully vaccinated: 40 58 62.7 - Infant mortality rate: - 2008: 89 deaths per 1,000 live births - 2013: 92 deaths per 1,000 live births - 2017: 56 deaths per 1,000 live births - Under-five mortality rate: - 2008: 140 deaths per 1,000 live births - 2013: 156 deaths per 1,000 live births - 2017: 94 deaths per 1,000 live births - Maternal mortality ratio: - 2008: 857/100,000 live births - 2013: 1,165/100,000 live births - Teenage/adolescent indicators: - Adolescent unsafe abortions: 10 percent of unsafe abortions among adolescents - Adolescent birth rate: 125 per 1,000 live births - Teenagers account for almost half of all maternal deaths - Distribution of under-five deaths by cause (selected percentages): - Malaria: 20% - Acute lower respiratory infections: 13% - Other communicable, perinatal and nutritional conditions: 11% - Prematurity: 10% - Birth asphyxia and birth trauma: 9% - Diarrhoeal diseases: 9% - Measles: 7% - Sepsis and other infectious conditions of the newborn: 6% - Injuries: 5% - Congenital anomalies: 4% - Other noncommunicable diseases: 3% - Meningitis/encephalitis: 1% - HIV/AIDS: 1% ### Nutrition outcome/output indicators - Prevalence of underweight (wt/age) among children 6–59 months (2SD): 21 percent 16 percent 11.7 percent - Prevalence of stunting (ht/age) among children 6–59 months (2SD): 36 percent 38 percent 26.4 percent - Prevalence of wasting (ht/wt) among children 6–59 months (2SD): 10 percent 9 percent 5.1 percent ### Communicable disease service indicators - No. health facilities with voluntary counselling and testing / prevention of mother-to-child transmission / antiretroviral drugs: 398/351/111 708/691/136 - Percent children sleeping under long-lasting insecticide-treated net the night before: 26 percent 49 percent ### Access and financing metrics - Pattern of access to nearest health clinic (proportion of households): - Eastern, Northern, Southern, Western, National proportions shown in figures for walking time bands: less than 30 minutes; 30 - 60 minutes; More than 60 minutes (values presented graphically in source) - Out-of-pocket health expenditure: Sierra Leone has very high out-of-pocket health expenditure compared to peers in sub-Saharan Africa (figure-based comparison; per capita out-of-pocket spending in PPP Intl. $ shown in source) - Per capita out-of-pocket spending on health (graphic scale to 120 PPP Intl. $ in source) ### Health system challenges - Identified constraints: - Poor infrastructure - Poor conditions of service for health workers - Poor governance and management of delivery systems - Weak human resource base - Low per capita expenditure on health (the health allocation is below 15 percent of the national budget, which is the 2001 Abuja Declaration minimum) - Inadequate disease prevention - Poor control and surveillance programme - Poor quality data - Limited access to sexual and reproductive health services - Consequences: - High maternal mortality ratio (one of the highest in the world as of 2013) - Preventable non-communicable diseases, malnutrition, pregnancy, and newborn complications account for nine in ten under-five deaths (malaria leading) - High out-of-pocket spending limits affordability for the poorest ### Strategic objective for health sector - Transform the health sector from an under-resourced, ill-equipped, and inadequate delivery system into a well-resourced and functioning national health-care delivery system that is affordable for everyone and accessible to all. ### Key health targets (by 2023) - 1. By 2023, expand and improve on the management of free health care. - 2. Continuously improve disease prevention, control, and surveillance. - 3. By 2023, improve health governance and human resource management. - 4. By 2023, increase modern diagnostic and specialist treatment within the country and improve on secondary health delivery systems. ### Key health policy actions (selected) - 1. Increase the national health-care budget allocation to 15 percent. - 2. Establish a National Ambulance Service in all districts. - 3. Strengthen the Health Management and Information System through the digitalization of health-care systems and processes. - 4. Recruit specialists through the introduction of attractive schemes for Sierra Leonean specialists in the diaspora and partnerships with international agencies. - 5. Encourage public–private partnership involvement by developing a policy and legal framework to secure modern diagnostic facilities and provide laboratory equipment and facilities in all districts. - 6. Strengthen the capacity of medical regulatory bodies through the review of a legal and policy regulatory framework in line with regional and international benchmarks. - 7. Promote efficient health-care delivery through constructive dialogue among stakeholders within the sector. - 8. Implement the Sierra Leone Social Health Insurance Scheme. - 9. Strengthen the management and coordination of all resources allocated to the health sector and track donor resources through a regularly updated national health database system. - 10. Strengthen and capacitate the Health Service Commission to develop a Human Development Plan to guide absorption of trained health workers into the public service and advocate for conditions of service of health workers. - 11. Strengthen national, district, and community-based monitoring of the free health-care drugs and services through capacity building, adequate resources, and innovative tracking approaches. - 12. Strengthen the National Programme on Sexual and Reproductive Health for adolescents to reduce teenage pregnancy through a systems review and innovative SMART (specific, measurable, achievable, relevant, timely) mechanisms. --- ### Environmental sanitation and hygiene: status and indicators - Use of improved sanitation facilities, total population: - 2008 (MICS): 13 percent - 2017 (MICS): 16 percent - Use of improved sanitation facilities, urban: - 2008 (MICS): 26 percent - 2017 (MICS): 27 percent - Use of improved sanitation facilities, rural: - 2008 (MICS): 6 percent - 2017 (MICS): 7.9 percent - Diarrhoea disease prevalence: - 6 to 11 years: 18 percent (DHS, 2008); 18.6 percent (DHS, 2013) - <6 years: 13 percent (DHS, 2008); 11 percent (DHS, 2013) - Other sanitation facts: - Most common toilet facility: latrine with slab (33.1 percent overall; rural 44.7 percent; urban 23.7 percent) - About 27.7 percent of the rural population practices open defecation - Sanitation budget allocation: less than 0.02 percent of GDP - Sanitation is far below the SDG target of 66 percent for the country ### Environmental health challenges - Poor environmental quality accounts for between 25 and 33 percent of all preventable ill-health globally; in Sierra Leone poor sanitation and unsafe water cause about half of preventable diseases. - Leading sanitation-related diseases: malaria, diarrhoeal diseases (including cholera and typhoid), worm infestation, respiratory tract infections. - Sector weaknesses: - Low awareness of hygiene and sanitation benefits influenced by cultural beliefs and lack of information and technical knowledge - Inadequate and inappropriate technological solutions, especially for urban sanitation - Historically low priority in national development resulting in inadequate resource allocation - Weak waste disposal and management; untreated industrial discharges; weak wastewater and sewage treatment - Weak monitoring and supervision, particularly in rural communities - Climate change effects (frequent floods, risk of rising sea levels) aggravate sanitation challenges ### Strategic objective for sanitation and hygiene - Provide, with minimal impact on the environment, acceptable, affordable, and sustainable sanitation services for urban and rural households and institutions, through inter-sectoral coordination, integrated development, and community-based management. ### Key sanitation targets (by 2023) - 1. By 2023, increase on-site sanitary construction incentives and test and implement output-based aid schemes at the district level. - 2. By 2023, reduce deaths and property loss from natural and human-made disasters and extreme climate events by 30 percent. - 3. By 2023, reduce disease outbreaks in vulnerable communities by half. ### Key sanitation policy actions (selected) - 1. Review and update Integrated Vector Management and Integrated Waste Management policies and strategies. - 2. Establish a monthly National Cleaning Day. - 3. Replace the 1960 Public Health Ordinance Act with a new Public Health Act. - 4. Establish and operationalize a National Environmental Health and Sanitation Coordination Group. - 5. Develop and implement guidelines for Housing Sanitation Programmes. - 6. Implement guidelines for the Water, Sanitation, and Hygiene Programme and increase communication and dissemination of information on water, sanitation, and hygiene. - 7. Develop a framework with guidelines for district environmental health and sanitation strategies. - 8. Revise laws, regulations, norms, and standards for environmental health and sanitation to include a Sanitary Court. - 9. Use a sector-wide approach in financial resource allocation. - 10. Improve sanitary service delivery at district and chiefdom levels through a local sanitary task force. - 11. Facilitate the establishment of sanitation businesses in villages and districts. *Source: Ministry of Health and Sanitation Directorate of Policy Planning and Information, National Health Sector Strategic Plan 2017–2021; Multiple Indicator Cluster Survey 2017; Government of Sierra Leone Human Capital Development Project Report; Sierra Leone’s Medium-term National Development Plan 2019–2023.* ### 1.5 Social protection ### 1.5 Social protection ### Context and challenges - More than half (57 percent) of inhabitants live below the poverty line, nearly 1 million (10.8 percent) of whom are extremely poor. - Food insecurity affects almost half (49.8 percent) of households across the country. - The population faces a low life expectancy of 42 years. - Only about 37 percent of the population is literate (25 percent for women). - In the last 15 years, Sierra Leone has experienced major floods and a landslide that affected over 220,000 people. - Global economic shocks, such as the global financial crisis and falling commodity prices, severely affect household economic conditions. - Many existing social programmes suffer from low coverage, high leakages, and inefficient coordination. - Heavy dependence on external financing: about 85 percent of social assistance comes from development partners, undermining sustainability. - The planned social pension transfer under the Ministry of Labour and Social Security’s National Social Safety Net Programme would cover only 8.3 percent of the food requirements of the poorest families, compared to a median of 27 percent in a sample of similar programmes in other developing countries. ### Definition and past reforms - Social protection defined as: all actions, public and private, taken in response to levels of vulnerability, risks, and deprivation deemed by the state to be socially and economically unacceptable. - On 30 March 2011, the cabinet approved the National Social Protection Policy, defining specific outcomes and prioritized interventions. - In 2011, the Government, with World Bank support, launched a Social Protection Assessment (concluded June 2013) recommending focus on three major programmes: - (i) a cash transfer to very poor households with children; - (ii) a social pension targeted at war victims and the elderly; - (iii) a permanent labour-intensive public works programme for the unemployed and seasonally food-insecure rural and urban households. ### Lessons learned - (i) Social protection systems are critical to reduce inequality and social exclusion for long-term sustainable and inclusive growth. - (ii) Social protection projects are often fragmented across many actors; collaboration and oversight are required. - (iii) Social transfers in emergencies cushion shocks while establishing building blocks for resilience. - (iv) Targeting women as household representatives yields better outcomes. - Implementing these lessons is imperative to establish a social safety net that supports poor and food insecure households to achieve basic consumption, mitigate shocks, and increase human capital over the long run. ### Coverage gaps, targeting, and efficiency - Major programme gaps include: - (i) the elderly, persons with disabilities, and war victims who are unable to work and have no means of sustenance; - (ii) the working poor and the seasonally or long-term unemployed; - (iii) very poor families with children. - Major social assistance programmes are not generous and have limited coverage. - Targeting lacks efficiency; substantial room exists to increase targeting accuracy through an improved beneficiary selection mechanism. - Cost-effectiveness is low due to fragmentation and duplication across many different programmes. - Poor coordination (especially between MDAs and non-state actors) causes duplication, constraining efficient resource use and undermining impact. ### Monitoring, evaluation, and data needs - Monitoring and evaluation is very weak within the social protection management system. - Developing a culture of evidence-based policymaking and management by results requires continued government commitment and greater investment in information gathering. ### Strategic objective - Provide a stronger relationship between the state and citizens with enhanced human capital development by effectively managing risks and vulnerability and empowering livelihood development for sustained social cohesion and nation-building for the people of Sierra Leone. ### Key targets - 1. By 2023, establish an integrated national identity card system. - 2. By 2023, establish a social safety net fund for emergency response. - 3. By 2023, all persons working in the formal sector have social security. - 4. By 2023, provide social protection to at least 30 percent of vulnerable populations (including persons with disabilities, older persons, and children). - 5. By 2023, establish an integrated birth registration system. ### Key policy actions - 1. Develop a national biometric ID card system for identification and data management of beneficiaries. - 2. Strengthen the National Commission for Social Action to coordinate all national social protection programmes through the requisite legislative and policy frameworks. - 3. Develop resilience to natural disasters by establishing a social safety net fund for emergency response. - 4. Create targeted employment schemes (i.e. cash-for-work and food-for-work programmes) for youth, women, and others, especially the most vulnerable of these groups, through public–private partnerships and development partners. - 5. Support informal schemes such as ‘osusu’ and other community savings and insurance schemes with welfare provision elements. - 6. Identify and train 3,000 Community Identification Committees. - 7. Design and implement a national programme that promotes and enhances smallholder food production and productivity to meet national institutional demand (i.e. school feeding and food for the armed forces). - 8. Establish a universal birth registration system. *Source: 1.5 Social protection, Sierra Leone’s Medium-term National Development Plan 2019–2023.* ### 61.1 percent of rural employment. With sup- ### 4.1 Improving productivity and commercialization of the agricultural sector ### Sector performance and challenges - From 2013 to 2018, the sector accounted for 61.1 percent of rural employment. - More than 52 agricultural business centres were transformed into functional cooperatives along several crops’ value chains. - The Apex Bank was established in 2016, with a network of 51 financial services associations and 17 community banks to help farmers access financing for agricultural activities. - Despite large acreage of arable land and gains described, Sierra Leone continues to be a net importer of rice; the value of rice imports in 2016 amounted to US$95.9 million. - According to the 2015 Comprehensive Food Security and Vulnerability Analysis study, 49.8 percent of households were food insecure in 2015, compared to 45 percent in 2010. - The Global Hunger Index 2017 ranked Sierra Leone as the third hungriest country in the world, with the percentage of the population that is undernourished estimated at 38.5 percent, compared to 28.6 percent in Guinea and 16.2 percent in Ghana. - Major constraints: - Inadequate access to effective agricultural input supply systems leading to low use of fertilizers and improved seeds of optimal varieties. - Low human capacity and weak capacity-building programmes. - Heavy reliance on rain-fed agriculture limiting large-scale irrigation and mechanized farms. - Weak value chains due to low agro-processing and limited downstream integration from limited access to electricity and water utilities (and their high cost). - Poor market access due to inadequate market information and poor condition of feeder roads. - Limited access to affordable agricultural finance (high interest rates and short grace periods) for inputs, machinery, and extension services. - Limited research and absence of credible data; low coverage of extension services and post-harvest technology applications. ### Key statistics and indicators - Contribution to national economy: - Agriculture contributed about 55.1 percent of GDP (text notes sector share averages between 40 to 50 percent elsewhere). - Services contribute 36.6 percent of GDP. - Industry makes up 9.3 percent of GDP. - Agriculture provides employment to approximately two-thirds of the population and accounts for about 10 percent of total exports. - Production of key agricultural crops (metric tons): - Paddy rice: 2014 832,774; 2015 853,677; 2016 875,104; 2017 897,069 - Cassava: 2014 2,298,649; 2015 2,356,345; 2016 2,415,490; 2017 2,476,118 - Groundnut: 2014 18,686; 2015 19,155; 2016 19,636; 2017 20,129 - Sweet potato: 2014 138,207; 2015 145,778; 2016 149,438; 2017 153,188 - Maize: 2014 20,812; 2015 21,334; 2016 21,869; 2017 22,418 - Sorghum: 2014 41,414; 2015 42,435; 2016 43,500; 2017 47,959 - Sesame: 2014 5,250; 2015 5,500; 2016 5,638; 2017 5,779 - Cocoa: 2014 27,111; 2015 46,537; 2016 47,705; 2017 48,903 - Coffee: 2014 60,303; 2015 89,892; 2016 92,149; 2017 92,149 - Cashew: 2014 317; 2015 1,422; 2016 1,458; 2017 1,494 - Palm oil: 2014 646,988; 2015 668,477; 2016 685,256; 2017 702,456 - Aggregated financial indicators of 17 community banks: - Gross outstanding portfolio (leone ‘000): 2014 11,728,393; 2015 18,772,903; 2016 23,627,774 - No. of active borrowers: 2014 10,982; 2015 14,966; 2016 15,594 - Percentage of women: 2014 39.5 percent; 2015 41.6 percent; 2016 38.8 percent - Percentage of youths: 2014 34.0 percent; 2015 40.5 percent; 2016 40.5 percent - No. of active savings accounts: 2014 35,753; 2015 43,534; 2016 46,827 ### Strategic objectives and key targets - Strategic objective: Improve performance in the sector to move up the value chain into industrial agriculture activities by enhancing productivity and competitiveness, capturing entire value chains of key crops, ensuring food security, and contributing to macroeconomic stability, sustainable inclusive growth, job creation, and poverty reduction. - Key targets: 1. By 2023, achieve 90 percent food self-sufficiency. 2. By 2023, increase youth and women’s participation in integrated agricultural value chains by at least 30 percent. 3. By 2023, develop the value chain for at least two agricultural products. ### Key policy actions (agriculture) - Improve on animal health for production of healthy livestock products, and revive livestock research stations. - Provide better market facilities and access to agricultural inputs (i.e., agro-chemicals, including fertilizers, herbicides, and bio-based insecticides and preservatives; investment in feeder roads and information technology, etc.). - Design and implement credit facilities and guarantees that will not impose a burden on either the farmers or the commercial/agricultural banks for lending to agricultural investors. - Develop value chains for some key agricultural products. - Promote sustainable investment in mechanized commercial agriculture (i.e., tractors, power tillers, irrigation facilities, etc.) and introduce private sector management of the hiring and lease of machinery at the district level to increase the acreage of land under cultivation. - Promote agricultural research through the establishment and strengthening of research institutions. - Strengthen seed production and improve both the formal and informal seed sectors operating in the country. - Strengthen cooperative farming (i.e., farmer-based organizations) and build the capacity of Agricultural Business Centres to promote integration into agricultural value chains. - Promote organic farming to minimize biodiversity loss. - Develop a robust policy framework and action plan to guide the development of the sector. - Promote schemes that would encourage the public to engage and invest in agriculture. ### 2.2 Improving the productivity and sustainable management of fisheries and the marine sector ### Sector role and achievements - Fisheries contributes about 12 percent of GDP. - Fish supplies about 80 percent of total animal protein consumption. - Over 500,000 people are directly or indirectly employed in the fisheries sector. - Milestones: - Sectoral revenue generation increased from 30.4 billion leones in 2014 to 71.3 billion leones in 2017; as of 22 August 2018, the sector had generated a total of 63.5 billion leones and is expected to exceed the amount generated in 2017. - A new database system was established in collaboration with the Institute of Marine Biology and Oceanography; data entry is ongoing to ascertain fish stocks in Sierra Leone’s Exclusive Economic Zone. - An assessment from 2008 to 2010 registered an estimated fish biomass of 450,000 metric tons and a shrimp biomass of around 2,000 metric tons. - Procurement for an international firm to build capacity for another fish stock assessment is completed; the fish stock assessment is ongoing. - A proposal for a fish harbour complex under a public–private partnership has been developed; proposed complex will berth over 14 vessels at a time and include a reefer quay, cold storage, bonded stores for fish export, and ice sales facilities. - A radar system is installed and fully operational at the Joint Marine Committee Office to aid surveillance and monitoring of Sierra Leone’s waters; feasibility studies conducted for additional radar installations. - Procurement of a multi-purpose, fast surveillance and patrol vessel to police the exclusive economic zone (200 nautical miles). - Over 10,000 fishing canoes registered; appropriate fishing nets provided in exchange for illegal nets at affordable and subsidized rates. ### Challenges in fisheries - No comprehensive fish stock assessment for an extended period, limiting credible data for sustainable vessel licensing. - No food safety authority established to certify seafood using international standards such as the European Union Export Market Certification. - No fishing harbour complex to accommodate shore-based fish processing and dry-docking activities. - Ministry of Fisheries and Marine Resources unable to meet commitments for subscription fees to international organizations (International Commission for the Conservation of Atlantic Tunas, Sub-regional Fisheries Commission, INFOPECHE, Ministerial Conference on Fisheries Cooperation among African States Bordering the Atlantic Ocean). ### Strategic objectives and key targets (fisheries) - Strategic objectives: Begin industrial processing of marine products; promote responsible, environmentally sound, and sustainable fishing and aquaculture practices through good governance; contribute to poverty reduction and wealth creation. - Key targets: 1. By 2023, the fisheries sector generates at least US$15–20 million in government revenue and contributes at least 16 percent to the country’s GDP. 2. By 2023, sustainably manage and protect marine and coastal ecosystems to avoid significant adverse impacts, strengthen their resilience, and take action for restoration to achieve healthy and productive oceans. 3. By 2023, effectively regulate harvesting; end overfishing and illegal, unreported, and unregulated fishing; stop destructive fishing practices; and implement science-based management plans to restore fish stocks in the shortest time feasible, at least to levels that can produce maximum sustainable yields as determined by their biological characteristics. ### Key policy actions (fisheries) - Undertake fish stock assessments to establish the abundance and distribution of fish stocks and set up a quota management system where licensing of industrial fishing vessels will be based on quantity of fish caught rather than vessel size. - Construct cold room facilities for preservation of fish and fishery products in every headquarter town throughout the country. - Develop commercialized fish farming in ponds and in the wild to buoy fish production and promote commercial aquaculture investment. - Combat illegal, unregulated, and unreported fishing through continued installation of vessel monitoring systems in all licensed fishing vessels. - Enhance collaboration with the United States, the Sub-regional Fisheries Commission, and the African Maritime Law Enforcement Partnership for regional fishery surveillance patrols and enforcement of fishery regulations and laws. - Harmonize laws and improve the legal framework. - Secure European markets certification for fish exports. - Construct fish harbour complexes, promote use of technology in the value addition chain, and mobilize the private sector to invest in fisheries and the marine sector. *Sierra Leone’s Medium-term National Development Plan 2019–2023* ### 2.3 Revitalizing the ### 2.3 Revitalizing the tourism sector ### International and regional performance - International tourism: - More than 1.3 billion international arrivals in 2017. - Growth rate of 7 percent in 2017, the highest since 2010. - International tourism receipt estimated at US$1.3 trillion in 2017, an increase of 7 percent as against 2016. - Africa (particularly sub-Sahara Africa): - Received 57.8 million international visitors in 2016. - Generated revenue of about US$34.8 billion in 2016. - Growth rate of 4.7 percent in 2016 as against 2015. - Forecast for 2018: the tourism sector on the continent is forecasted to grow at a rate of up to 7 percent, surpassing projected growth in Europe. ### Historical development and recent trends in Sierra Leone - Pre-war and 1980s peak: - International tourist arrivals reached 200,000 (in 1986). - Tourism infrastructure mainly catered to high-end sun, sand, and sea tourism, with France and the Scandinavian countries the main target markets. - Recovery in the 2000s: - Consistent annual growth averaging 28.6 percent between 2003 and 2013. - International visitor arrivals increased from 38,615 in 2010 to 81,250 in 2013, driven largely by the re-emergence of iron ore mining (business-related visits were the largest segment). - Ebola and commodity shocks: - Outbreak of Ebola virus disease in 2014 caused flights to be suspended, tourism establishments partially or fully shut down, movement restrictions, job losses, and a sharp fall in arrivals and revenue. - Arrivals dropped by 70 percent from 81,000 in 2013 to 24,000 in 2015. - International receipts dropped from US$58.8 million in 2013 to $16.8 million in 2015. - Compounded by a fall in global iron ore prices that reduced the mining sector’s contribution to GDP in 2014 and led to insolvency and closure of several mining companies, including London Mining and African Minerals. - Post-Ebola rebound: - International arrivals increased by more than 300 percent in 2016 as against 2015. - Sierra Leone was rated the world’s fastest growing travel destination globally (as of the post-2016 rebound). ### Comparative 2015 subregional data (UN World Tourism Organization Highlights) - International tourist arrivals and international tourist receipts (US$ million), 2015: - Sierra Leone: 24,000 arrivals; 23 (receipts). - Gambia: 135,000 arrivals; 120 (receipts). - Senegal: 1,007,000 arrivals; 368 (receipts). - Ghana: 897,000 arrivals; 819 (receipts). ### Policy frameworks and targets - Policy adoption: - National Tourism Policy and the National Ecotourism Policy adopted in 2017 provide blueprints for orderly and sustainable development. - National Ecotourism Policy seeks to attract up to 20,000 international and 30,000 domestic ecotourism visits by 2025. - Policy emphasizes protection of the environment in collaboration with the Environment Protection Agency and the National Protected Area Authority. - Natural and cultural assets: - Rich ecosystems and biodiversity with numerous endemic species. - Coastline of more than 400 kilometres with excellent beaches, exotic islands, and opportunities for water sports. - Historical assets include ruins of an authentic slave fort and sites associated with freed slaves and the transatlantic slave trade. - Strategic objective: - Increase state revenue, provide jobs, and promote the cultural heritage of the country through improving the policy and legal environment and developing the relevant infrastructure through a holistic approach to diversified tourism in Sierra Leone. - Key targets by 2023: 1. Develop and upgrade at least three strategic historical and cultural sites. 2. Increase skill capacity in the hospitality industry by a quarter. 3. Increase annual revenue and contribution to GDP by at least 100 percent. ### Main challenges facing the sector - Institutional and regulatory: - Poor regulatory environment, weak policy framework, incomplete and outdated tourism master plan and tourism register, and poor institutional capacity to identify and market tourism products and services. - Infrastructure and services: - Inadequate infrastructure: poorly coordinated movement within Freetown and to rural areas. - Basic tourism infrastructure deficits: credit card facilities, shopping facilities, leisure facilities, and tourist attractions require enormous improvements. - Poor maintenance of tourist sites; need to rehabilitate historical attractions (e.g., Bunce Island, historical villages, Old Fourah Bay College, St. Charles Church). - Cost and value: - Unfavourable international image; Sierra Leone is a high-cost destination with questionable value for money. - Average cost of hotel accommodation per night is relatively high and not commensurate to quality offered in other destinations in the region. - Airfare from regional capitals to Freetown is relatively high. - Human capital: - Shortage of skilled labour in the sector. - Hotel and Tourism Training Institute unable to provide the quantity and quality of training demanded by the industry. - Environmental threats: - Air pollution, deforestation, desertification, sand mining, encroachment on environmentally sensitive areas, poor sewage and waste disposal systems, and a dwindling wildlife population threaten natural beauty and biodiversity. ### Government actions and opportunities - Policy and market measures: - Plans to provide visas on arrival, reduce visa costs for target markets, and review the high costs of travelling to the country. - Support formation of the Tourism Federation and other stakeholder associations to enhance public–private partnerships and strengthen community stakeholder relationships. - Asset development and digital promotion: - Undertake a comprehensive survey of tourism assets and establishments countrywide. - Capitalize on digital and technological advances to enhance government revenue generation and showcase sector potential digitally. - Regularly clean Lumley Beach and improve its general outlook to make it a prime first point of entry for leisure tourists. - Sector positioning: - Government places higher premium on tourism alongside agriculture and fisheries to contribute to economic diversification, job creation, revenue generation, and poverty alleviation. ### Key policy actions (listed) 1. Improve the international image of Sierra Leone and diversify marketing of the country. 2. Improve the policy and legal framework. 3. Promote competition in the sector to reduce costs and improve value for money. 4. Rehabilitate and develop historical and cultural sites through a holistic rehabilitation plan. 5. Create a human resources development plan, upgrade the existing school for hotel management, and collaborate with international hospitality institutions. 6. Promote eco-tourism to ensure the protection of the country’s rich biodiversity. 7. Support local entrepreneurs to promote tourism-based activities that link with the rural economy, harvest seasons, wildlife, farming practices, art, and culture. 8. Establish public–private partnerships and promote private sector involvement. 9. Promote adventure tours such as safaris, jungle tours, mountain trekking, etc. *Sierra Leone’s Medium-term National Development Plan 2019–2023, Chapter 2.3* ### 2.5 Improving the ### 2.5 Improving the management of oil and gas exploration/production ### Oil and gas: overview and challenges - Oil and gas exploration can modernize the national economy and generate tax and non-tax revenues, employment, technology transfer, local capacity development, and commercial expansion. - Four successive discoveries earlier in the decade resulted from sustained national efforts and regenerated interest in the Gulf of Guinea by multinational oil corporations. - Global oil price volatility and other factors led most of these corporations to withdraw their exploration activities from Sierra Leone. - Although the per barrel price has recovered, deliberate policy measures and getting the right players on board are required to capitalize on the opportunity. - Constraints: - Waning interest among oil and gas companies. - Limited governance capacity for onshore exploration activities. - Limited seismic and geographic data on potential exploration sites. ### Strategic objective (oil and gas) - Revitalize the oil and gas industry through sustainable exploration and an expansion of its scope, while building sector capacity for operational excellence. ### Key targets (oil and gas) - 1. By 2023, mainstream transparency and accountability practices into the sector, according to the 2016 Extractive Industries Transparency Initiative standards. - 2. By 2023, establish a petroleum commission. - 3. By 2023, formulate and promulgate legal frameworks and laws for the sustainable development of oil and gas exploration and development. ### Key policy actions (oil and gas) - 1. Ensure the attraction and retention of oil and gas corporations by undertaking aggressive marketing campaigns. - 2. Expand the frontiers of oil and gas exploration activities by facilitating the incorporation of onshore exploration activities into the country’s exploration space. - 3. Improve the governance of the sector through the development of regulations and laws to manage the sector. - 4. Ensure sector coordination and the harmonization of policy measures with regional and subregional initiatives for redefinition of the Exclusive Economic Zone beyond 200 nautical miles. - 5. Mobilize the private sector to invest in the sector. - 6. Restructure and capacitate the petroleum directorate with the requisite personnel and equipment. ### Mining sector interlinkages referenced - The oil and gas section recognizes the need to learn from and coordinate with mining- and other extractive-sector governance and capacity-building efforts described elsewhere in the document. --- ### Mining: context and recent performance - Mining has been a mainstay of the Sierra Leonean economy since independence and includes diamonds, iron ore, bauxite, rutile, ilmenite, zircon, gold, platinum, tantalite, chromite, and columbite. - Employment: - Direct and indirect employment in large-scale mines engages over 30,000 people. - An estimated 300,000 people (including dependents and extended families) derive their livelihoods from these mines. - Contribution and revenues: - The sector has been contributing about 24 percent to GDP and over 80 percent to export earnings (in 2013). - On average 16 percent of total revenue (between 2013 and 2017). - Sector shocks and volatility: - The mining sector was greatly affected by the dual shock of the drop in commodity prices and the Ebola virus disease outbreak in 2014. - Iron ore was the most important recent product; following commencement of the Marampa and Tonkolili projects in late 2011, iron ore from 2012 to 2014 accounted for: - 86 percent of the mining sector’s contribution to GDP, - 67 percent of mineral exports, and - 55 percent of government revenues from mining. - Combined exports from Marampa and Tonkolili averaged US$721 million a year between 2012 and 2014. - Koidu Limited exports averaged US$95 million a year between 2012 and 2015. - Sierra Minerals Holding Limited exports averaged US$28 million a year between 2012 and 2015. - Sierra Rutile Limited made exports averaging US$135 million a year between 2012 and 2014. - Operational developments: - Tonkolili operations restarted in December 2015 but shut down in November 2017. - The Marampa mines remained dormant but may recommence production by 2019 (as reported). - Since Iluka Resources acquired ownership of Sierra Rutile in late 2016, Sierra Rutile Limited expanded dry mining operations at Lanti and Gangama and plans in-pit mining at Gbeni. - Artisanal and small-scale mining: - Currently all of Sierra Leone’s gold exports are from the artisanal and small-scale mining sector. - This sector also accounts for almost half of diamond exports. - There was a 13 percent reduction in the number of artisanal licences issued in 2017 compared to 2016 due to enforcement of regulations regarding designated exploration areas. - Licences and exploration performance: - Artisanal category licences: Artisanal mining licence 998; Mine Manager’s Certificate 654; Financial Supporter’s Certificate 307. - Industrial category licences: Reconnaissance None; Exploration 107; Small scale 5; Large scale 14. - Only three exploration licence holders—Allotropes Diamonds, Golden Saints Resources, and AMR Gold (Sierra Leone) Limited—are in advanced stages of exploration, representing 3 out of over 107 exploration companies registered in the Mining Cadastre Administration System. - Since April 2018, more than 40 exploration rights were cancelled due to breaches of statutory obligations. - Governance, legislation, and challenges: - The Mines and Minerals Act 2009 and the Environmental Protection Agency Act 2008 condition acquisition and retention of mineral licences on adherence to health, safety, environmental protection, and community development performance requirements. - Section 159 of the Mines and Minerals Act 2009 requires the Ministry of Mines and Mineral Resources to develop a transparency framework for the mining sector; such a framework does not yet exist. - Sierra Leone has been compliant with the Extractive Industry Transparency Initiative since 2014. - Key challenges include lack of geological data, international price volatility, duplication and contradiction in legislation, widespread illicit mining and smuggling, transfer pricing by some large-scale companies selling to parent companies, non-standardized Mining Lease Agreements, limited ability to adopt a competitive process for allocating mineral rights due to limited geological information, and significant local capacity limitations across the mining value chain. ### Tabled mining indicators (exact figures by year) - Contribution of mining revenue to total National Revenue Authority revenue (billion leones): 440 386 345 315 239 - Mining revenue as percent of total revenue collected by National Revenue Authority*: 21 18 18 11 10 - Mining sector as percent of GDP**: 24 27 4 6 5 - * Source: National Revenue Authority - ** Source: Statistics Sierra Leone ### Strategic objective (mining) - Improve the governance and management of the mining sector, including value addition for employment, poverty reduction, community benefit, environmental rehabilitation, and revenue generation. ### Key targets (mining) - 1. By 2023, increase mining revenue from 10 percent of domestic revenue in 2017 to 20 percent. - 2. By 2023, increase the share of the mining sector’s contribution to GDP from 5 percent in 2017 to 20 percent. - 3. By 2023, undertake environmental rehabilitation in five mined sites in the country. ### Key policy actions (mining) - 1. Review mineral legislation and implement the Extractive Industry Revenue Act. - 2. Formalize the artisanal mining sector. - 3. Tackle transfer pricing by adopting advance pricing agreements. - 4. Review the mining lease agreements. - 5. Undertake a countrywide airborne geophysical survey. - 6. Implement a block system for licence administration. - 7. Develop a minerals laboratory certified by the International Organization for Standardization (ISO). - 8. Implement an auction system for the sale of gemstones. - 9. Strengthen the regulatory and oversight capacity of the National Minerals Agency and civil society organizations. - 10. Pilot ‘green gold’ activities to increase women’s economic opportunities in the gold value chain. - 11. Mobilize local entrepreneurs in the sector. - 12. Strengthen the governance of the mining and minerals sector. *Source: Sierra Leone’s Medium-term National Development Plan 2019–2023 (excerpts).* ### 2.7 Promoting an inclusive ### 2.7 Promoting an inclusive rural economy ### Overview and challenges - Rural marginalization and exclusion have hindered symmetrical growth and development of Sierra Leone; rural poverty is on the increase. - Decentralization reintroduced in 2004 has failed to fully leverage roles of households in transforming local economies due to disconnect between district and chiefdom governance caused mainly by deficiencies in the legal and policy framework for local governance. - Critical challenges include limited access to resources for rural inhabitants, lack of adequate rural infrastructure and services, and insufficient flexible financial services. - Government emphasis: improve rural households’ access to land, water, education, skills, improved rural infrastructure, and other government services to revive the rural economy, create jobs for rural youth, and increase incomes. - Vision: by 2023, rural communities should have opportunities to unlock local economic potential and participate fully in economic, social, and political life; rural economy to be driven by agriculture and, where possible, mining, tourism, agro-processing, and fisheries. ### Strategic objective - Ensure that rural communities have better opportunities to participate fully in the economic, social, and political life of the country. ### Key targets - By 2023 establish a special economic/industrial zone outside Freetown. - By 2023, ensure more rural inhabitants are out of extreme poverty than in 2018. - By 2023, ensure more rural inhabitants have access to credit with a flexible repayment structure than in 2018. - By 2023, ensure rural access to basic ICT and Internet connection to drive e-commerce is expanded beyond that of 2018. - By 2023, ensure more districts benefit from social and infrastructural improvement than in 2018. ### Key policy actions - Establish special industrial zones with uninterrupted power supply, water, and communications to accelerate growth of the local economy. - Establish local industries such as agro-processing, tourism, fisheries (in coastal areas), and small enterprise development within rural communities. - Ensure alignment of NGO activities with government priorities on rural economic development. - Review and strengthen the regulatory framework for microfinance institutions. - Expand on mobile technology to improve access to credit and repayment. - Re-establish national development banks to provide equity capital to Sierra Leoneans in business with credible foreign companies. - Establish a fund to provide access to medium- and long-term capital to support small and medium-sized enterprises and encourage lending institutions to lend a significant proportion of bank loan portfolios to small and medium-sized enterprises. - Review policies and laws relating to small and medium-sized enterprises. - Improve electricity supply in rural communities. --- ### 3.1 Energy ### Context and challenges - Limited access to affordable and reliable electricity supply is a challenge for growth and development. - Biomass (mostly wood and charcoal) constitutes the major source of energy (about 80 percent), causing deforestation and environmental degradation. - Importation of petroleum products (about 13 percent of the country’s energy) uses significant foreign currency. - The large-scale Bumbuna 1 Hydro Project generates around 40 percent of Freetown’s energy. - Power sector unbundled in 2015: Electricity Generation and Transmission Company (generation and transmission) and Electricity Distribution and Supply Authority (bulk power purchase and sale to end users). - Sierra Leone has large renewable potential: continuous sunshine (solar), high rainfall and large water bodies (hydropower), and large vegetation (biomass). - In 2018, energy sector approximate output: 105 megawatts of installed generation capacity connected to the main grid, with 53 percent of electricity generated and provided by independent power producers. - Demand forecast: exceed 360 megawatts by 2023, driven primarily by Ministry of Energy’s desire to restore electricity supply to all district capitals and general increase in domestic demand. - Transmission grid inadequate for transmission from low-cost renewable generation areas (Bumbuna, Bekongor, Mange) to load centres; need to increase transmission grid to accommodate upcoming West African power pool initiative. - Distribution network has numerous challenges; Freetown most problem prone due to outdated infrastructure and capacity. ### Strategic objective - Produce/generate and distribute adequate electricity and power from renewable and clean sources for increased access by the majority of the population. ### Key targets - By 2023, restore electricity in all district headquarters and cities. - By 2023, increase electricity generation from 25 to 60 percent. - By 2023, increase installed electric capacity from the current 100 megawatts to 350 megawatts. - By 2023, increase the country’s capacity for renewable energy (solar and hydro) contribution to 65 percent. - By 2023, 20 villages and eight towns in each district connected to the national grid or off-grid standalone schemes. ### Key policy actions - Embark on increasing electricity generation, transmission, and distribution. - Improve the policy and regulatory environment of the energy sector. - Restore electricity supply to all district headquarter towns and cities. - Increase investment in low-cost renewable energy (solar, hydro, wind, and biomass) production and distribution. - Improve governance at all levels of the sector – the Ministry of Energy, the Electricity Distribution and Supply Authority, the Electricity Generation and Transmission Company, and the Electricity and Water Regulatory Commission – to develop responsible leadership and institutional culture. - Ensure expansion of the transmission grid nationwide by increasing the annual regular kilometric coverage. - Ensure rural electrification is carried out through engagement and involvement of key stakeholders, including the private sector. --- ### 3.2 Transforming transportation systems ### Context and assets - Sierra Leone located along the Atlantic coast with ria coastline ideal for natural harbours; Queen Elizabeth Quay in Freetown is a viable sea port. - Historical railway and outlined road network provide potential for efficient road connections; international airport and dormant airstrips exist. - Seven legally constituted agencies for national transportation: Ministry of Transport and Aviation; Ministry of Works and Public Assets; Sierra Leone Roads Authority; Road Maintenance Fund Administration; Sierra Leone Road Safety Authority; Sierra Leone Maritime Administration; Sierra Leone Airport Authority. Sierra Leone Road Transport Corporation is the public bus company. ### Climate vulnerability and projections - Transport system highly vulnerable to climate change and natural disasters, especially flash floods and landslides. - Average annual temperature has increased by 0.8 degrees Celsius since 1960, and projections suggest an increase in annual temperature by 1 to 2.6 degrees Celsius by the 2060s. ### National road system: key statistics and challenges - Estimated total road network: 11,555 kilometres. - Of this, 8,555 kilometres are classified as Class A (primary), Class B (secondary), or Class F (feeder) roads, including 3,000 kilometres of local and township roads. - Paved roads: 1,031 kilometres, representing 9 percent of the total road network (compared to African average of 18 percent). - Major challenges: exceptionally high costs due to massive corruption; poor and weak coordination among departments; political meddling in Roads Maintenance Fund; inadequate security to safeguard road infrastructure against vandalism; poor road traffic enforcement; inadequate road accident database; limited post-accident care. ### Urban transport - Freetown suffers chronic congestion and severe road safety challenges; motorization rate low compared with other sub-Saharan countries. - Rapid growth of unregulated, informal operators: over 70 percent are a mix of full-sized buses, minibuses (poda-podas), motorcycle taxis (okadas), and auto rickshaws (kekes). - Urban transport challenges: increasing demand resulting in traffic congestion and pollution; inadequate road and pedestrian infrastructure; poor connectivity and no proper hierarchy of roads; considerable road maintenance backlog; unreliability. ### Sea transport and maritime administration - Over 80 percent of all international trade in goods is carried by sea. - Sierra Leone reconstructing three major ports; out of nine ports, Queen Elizabeth II Port is principal commercial port managed by Sierra Leone Port Authority. - Rivers and waterways: about 800 kilometres, of which 600 are navigable all year round. - Queen Elizabeth II Quay container capacity increased to 300,000 twenty-foot equivalent units with an additional berth (Berth 7). - Major challenges: limited security; weak and inadequate regulatory framework and legislation; weak institutional capacity; deteriorating physical infrastructure; poor law enforcement; inadequate safety mechanisms; lack of inter-agency cooperation; exemption of private companies, especially mining entities, from paying cargo levies on import and export. ### Estuary crossing - About a million passengers a year cross the estuary north of Freetown. - Current options are unsafe, unreliable, difficult, inconvenient, or time consuming. - Successful recent services: small, fast water taxis between Aberdeen and Lungi International Airport. - Challenges: expensive fares (US$40 for a one-way trip); unsafe local boats; dilapidated infrastructure (e.g., decaying ferry berth); limited investment. ### Air transport: key figures and challenges - Lungi International Airport handled about 200,000 passengers in 2016. - Ebola outbreak in 2014 and 2015 caused suspension of operations of six out of nine operational airlines (a 66.6 percent decrease in scheduled aircraft movement), resulting in a 35.3 percent decrease in passenger throughput and a 44.3 percent decrease in revenue from passenger traffic. - Sierra National Airlines ceased operations in 2006; no sustainable commercial air transport operator based in the country since. - Air transport challenges: safety concerns (rated at a 20 percent security level), low passenger volume, limited number of carriers. - Policy actions include: certifying Freetown International Airport at Lungi to meet international standards; improving ferry and sea coach services between Tagrin and Freetown; enhancing global civil aviation security and facilitation; developing an air transport master plan. ### Rail transport - Historical national rail network connected Freetown to northern and eastern parts up to mid-1970s before ceasing operations. - Most railway infrastructure removed or damaged during the civil war; restoring lines may be extremely difficult and expensive. - Existing developed rail line owned and operated by an iron ore mining company: 74 kilometres of reconstructed rail between Pepel and Lunsar, and new narrow-gauge 126 kilometres from Lunsar up to the mine site. *Source: Sierra Leone’s Medium-term National Development Plan 2019–2023 (excerpt).* ### 2011. The 74-kilometre track section has been ### 1sleea2019002 - 2011. The 74-kilometre track section has been ### Transport sector: opportunities, strategic objective, key targets, and policy actions - Findings / opportunities - Sierra Leone boasts a long coastline and large bodies of water (rivers) that run across the country, with much potential for maritime and river-based transport. - There is strong political will and committed leadership to explore innovative options for financing investment in the sector. - A cordial relationship exists with development partners. - Regional integration can provide flexible harmonization of standards and practices. - Local content and resources exist to undertake an infrastructural investment programme in partnership with foreign investors. - The private sector can participate in infrastructure and service provision in the transport sector, including the coordination and integration of policies and legislation. - Strategic objective - Plan, develop, and implement infrastructure development in an integrated, holistic, and cross-sectoral manner that will increase connection and safety for better utilization and broader benefit across the country. - Key targets - 1. Expanded public transport facilities in all major cities by upgrading jetties for water transport and launching a railway rehabilitation project, thereby expanding inter-urban transport. - 2. By 2023, all laws, rules, and regulations of direct importance to the sector are revised and reconciled, removing all conflicts in legislation that affect the smooth and effective governance of institutions within the transport sector. - 3. By 2023, domestication of all nine International Maritime Organization mandatory instruments. - Key policy actions - 1. Provide adequate transportation infrastructure for national development. - 2. Improve governance and strengthen oversight and coordination. - 3. Integrate and properly coordinate transportation infrastructure. - 4. Develop multimodal connectivity of the transport system. - 5. Enhance and facilitate civil aviation safety and security to meet global standards. ### Improving water infrastructure systems: context, strategic objective, key targets, and policy actions - Findings / context - Sierra Leone: more than five wet months per year; rainfall ranges from 2,000 millimetres in the north-east to 5,000 millimetres on the Freetown Peninsula. - Atlantic Ocean coastline is 500 kilometres long. - Numerous rivers include Rokel, Moa, Sewa, Little and Great Scarcies, Pampana, Jong, and Mano, with lengths ranging from 40 kilometres to 290 kilometres. - Coastal Bullom series and alluvial deposits are noted as the best aquifers. - Despite abundance, access to potable water by the majority is challenged due to contamination and limited investment; infrastructure for collection, processing, storage, and distribution is very obsolete. - About 70 percent of the population live in rural areas and small towns and obtain water from rivers, springs, swamps, and other unprotected sources. - Coverage of the rural population by safe water supply facilities is about 48 percent. - Main centres of concentrated demand population estimates (National Housing and Population Census, 2015): Freetown – 1,050,711; Koidu – 506,544; Bo – 575,478; Kenema – 609,891; Makeni – 606,544. - Current operational water supply schemes: Guma Dam and water supply network for Freetown managed by the Guma Valley Water Company; seven other urban schemes operated by the Sierra Leone Water Company. - Between 1966 and 1978, 43 water treatment plants were installed with Government of France loans and grants. - Challenges aggravated by rapid population growth, climate change, deforestation, natural disasters, uncoordinated urban planning, absence of harmonized policies, weak legislation, poor coordination especially by NGOs, old water production equipment, and human resource, logistical, and technical capacity gaps. - Legal/policy framework: National Water and Sanitation Policy (2010); Electricity and Water Regulatory Commission Act 2011; National Water Resources Management Agency Act 2017; Guma Valley Water Company Act 2017; Sierra Leone Water Company Act 2017; National Decentralization Policy (2010). - Water security project in the Rokel-Seli river basin revealed potential for developing transboundary and national security plans. - Strategic objective - Increase access to clean potable water for the population and improve sanitation through relevant infrastructure. - Key targets - 1. The percentage of the population with access to safe drinking water increases from 59.6 percent to 80 percent by 2023. - 2. The percentage of the population with access to an improved water source within a total collection time of 30 minutes increases from 69 percent to 85 percent by 2023. - 3. The percentage of the population with access to unreliable or limited water services is reduced from 24 percent to 7 percent by 2023. - Key policy actions - 1. Increase water supply and distribution nationwide. - 2. Implement reforms to unbundle the water sector. - 3. Review the regulatory framework governing the water sector. - 4. Improve coordination, collaboration, planning, and implementation among actors. - 5. Ensure the National Water Resources Management Agency is established and functional. ### Waste management: challenges, strategic objective, key targets, and policy actions - Findings / challenges - Current waste generation, especially in urban communities, is conspicuously high with lack of safe disposal mechanisms/systems. - Uncoordinated enforcement of regulations and disorganized and unplanned settlements with inadequate sewage disposal systems have contributed to environmental hazards and disasters, especially in urban areas. - Most landfill sites in cities and towns are poorly managed and pose health hazards. - Management of garbage and sewage in urban towns, particularly Freetown, is poor; institutional arrangements for city cleaning are weak and unstructured. - Deforestation of hillsides for housing construction has compounded problems. - Many shacks in Freetown lack access to latrines; sewage pipes have deteriorated; human waste is seen amid garbage piles and streets. - Rural sanitation challenges include backyard garbage, limited access to latrines, and open defecation. - Some investment in sanitation in Bo, Kenema, and Makeni has improved waste management and provided lessons for wider rollout. - There is huge potential for recycling waste, including converting biomass to energy, with employment and entrepreneurial opportunities for women and youth. - Strategic objective - Properly dispose of waste in a manner that is less harmful to human health and the environment while exploring the potential for employment, innovation, energy, and agriculture. - Key targets - 1. All cities and district headquarters have sewage and solid waste disposal systems. - 2. Waste disposal systems include recycling in all cities and district headquarters. - 3. Increased awareness on proper waste disposal exists in cities and towns. - Key policy actions - 1. Invest in waste management systems for all cities and district headquarters. - 2. Review and improve the legal framework on waste management. - 3. Empower cities and councils, through decentralization, to be fully in charge of waste disposal. - 4. Mobilize the population (through education and participation) for improved waste collection and disposal. - 5. Invest in the innovative conversion of waste to energy. ### Information and communications technology (ICT): context, snapshot, strategic objective, key targets, and policy actions - Findings / challenges - ICT is recognized as a key driver of transformation across sectors; Sierra Leone must embrace ICT to leapfrog certain technology steps. - Key challenges: inadequate legal framework, inadequate regulatory and institutional environment, high costs, lack of a national electronic governance system, incomplete implementation of the International Telecommunication Union road map for transition from analogue to digital broadcasting, no district metro fibre ring, gaps in national fibre backbone, lack of a national data centre (cloud computing), lack of a Government Common Core Data Network, and absence of an integrated government-wide communication system extending to local councils and remaining MDAs. - Box 5.1: Snapshot of the ICT sector - Fixed telephone subscriptions per 100 inhabitants: 0.2 - Mobile cellular subscriptions per 100 inhabitants: 84.6 - Mobile broadband subscriptions per 100 inhabitants: 20.4 - Households with a computer (%): 4.2 - Households with Internet access at home (%): 10.7 - Individuals using the Internet (%): 11.8 - Strategic objective - Improve ICT services for increased access and affordable cost in order to ensure that it is integrated into all development initiatives for growth, innovation, entrepreneurship, and building a digital economy. - Key targets - 1. All cities and district headquarter towns are accessible by modern ICT services, especially Internet. - 2. By 2023, 30 percent of the population is penetrated by broadband. - 3. By 2023, mobile penetration is increased to 80 percent of the population up to chiefdom levels. - Key policy actions - 1. Review the regulatory and legal framework for the ICT landscape. - 2. Expanded ICT coverage in Sierra Leone (increase current Internet broadband penetration and raise mobile penetration for the population). - 3. Encourage electronic governance in government business and operations. - 4. Develop resilience in ICT infrastructure by having multiple back-up services. - 5. Upgrade rural telecommunications by improving customer choice and affordability. ### Presidential Infrastructure Initiatives: rationale, projects, strategic objective, key targets, and policy actions - Rationale / findings - Large-scale infrastructure is identified as a vehicle to transform the economy, stimulate growth, and attain middle-income status and self-sufficiency by 2063 per the United Nations SDGs and the African Union Agenda 2063. - Much large-scale infrastructure is either non-existent or dilapidated; absence of requisite infrastructure hinders private sector and foreign direct investment. - Presidential initiatives are classified into short-, medium-, and long-term projects with an integrated approach to project design and implementation. - Financing model: off-balance sheet with no sovereign guarantee; project implementation on a cost recovery basis by private sector partners. - Presidential role: provide leadership, strategic direction for prioritizing and financing, act as a moral guarantor to investors, secure political will and commitment, and ensure alignment with national priorities. - Expected socio-economic impact includes job creation (more than 5,000 jobs in the next five years). - Short-term projects - 1. New airport terminal - 2. Lungi–Freetown accessibility (modern ferry service) - 3. Completion of Peninsular Road - 4. Water supply to Bo and Kenema - 5. Ferry transportation along the Freetown coastline - 6. Lumley–Juba–Regent road interchange - 7. Construction of a port in Bonthe - Medium-term projects - 1. Construction of Juba Bridge - 2. Waterfront commercial development project - 3. Construction of a coastal road - 4. Private sector energy generation - 5. Water, sanitation, and hygiene project for Freetown - 6. Low- and medium-cost housing in strategic cities across the country - 7. Construction of a new State House in Freetown - 8. Construction of a new conference centre in Freetown - 9. Construction of a shopping mall in Freetown - 10. Construction of ultra-modern office spaces for MDAs - Long-term projects - 1. Construction of the Lungi Bridge - 2. Construction of new cities (two in Freetown and one in Lungi) - 3. Construction of a new port - 4. Construction of a railroad as part of rural infrastructure development - 5. Agro-processing - 6. Bicongor Hydro Project - Strategy and financing model - Special purpose vehicle approach to cluster projects around bankable ones (example: Special Purpose Vehicle 1 – the Lungi Bridge driving coastal road, waterfront commercial development, airport expansion, and three new cities/free trade zones). - Strategic objective - Provide vital infrastructure that can have a positive impact on the socio-economic development of the country and can create jobs through public–private partnerships. - Key targets - 1. Five thousand jobs are created in the country. - 2. Commuting between Freetown and Lungi is made easy. - 3. Water supply is available in Bo and Kenema cities. - 4. Traffic congestion is eased in Freetown. - 5. Abundant electricity and power supplies exist in all cities and district headquarter towns. - 6. Adequate accommodation for governance is available nationwide. - 7. Freetown is a destination for major international events and conferences. - 8. Adequate housing exists for Freetown’s population. - 9. Port services are expanded to provincial areas. - Key policy actions - 1. Secure the requisite legal and operating environment for implementation. - 2. Create partnerships with private investors. - 3. Mobilize resources. - 4. Coordinate various actors and stakeholders. - 5. Ensure monitoring and evaluation of the implementation process. - 6. Mobilize the population during implementation. *Source: Sierra Leone’s Medium-term National Development Plan 2019–2023 (content unit: 1sleea2019002).* ### 3.7 Fostering private ### 3.7 Fostering private sector growth and manufacturing ### Role and current state of the private sector - The private sector is described as "the most stable engine of economic growth" and essential for expansion, diversification, and promotion of entrepreneurship. - Private sector growth is linked to creation of a "vibrant middle class," currently "thin in Sierra Leone and mostly a product of the public service sector." - Sierra Leone is "endowed with abundant natural resources" and has "huge potential" in transformation and value addition of locally produced primary (raw) products. - In 2012, the country’s manufacturing sector contributed "only 2 percent to GDP", compared with an average of "7.7 percent" for African least developed countries at the time. - The country’s manufacturing value added per capita was "only one-fifth of the average African least developed countries." - The share of manufacturing jobs in total employment was estimated at "around 2 percent", dominated by informal small and medium-sized enterprises using simple, labour-intensive methods. - Locally manufactured consumer goods include "alcoholic and non-alcoholic beverages, confectionery, cement, paint, juice, flour, soap, textiles, apparel, handicrafts, and furniture." - Industries are concentrated mainly in Freetown and the west, with very few scattered among regional headquarter cities. - Low participation of women in the value chain: a small number own medium- and large-scale enterprises; the majority are engaged in micro-production with no access to formal sector skills and capital. ### Private sector institutions and indicators - The Ministry of Trade and Industry figures show small and medium-sized enterprises supplying goods and services to foreign companies increased from "326 in 2015" to "617 in 2016" and "712 in 2017." - Number of trained small and medium-sized enterprise owners increased from "887 in 2016" to "1,087 in 2017." - There are "14 licensed banks" operating in Sierra Leone. Of these: - "Only one (Sierra Leone Commercial Bank) is solely owned by the government." - "Rokel Commercial Bank is partly owned by the government." - "Only one bank is wholly owned by private Sierra Leoneans." - The rest are foreign-dominated banks (controlling "75 percent of financial sector assets"). - The World Bank’s Doing Business index ranked Sierra Leone "148 out of 190 in 2017." - The Global Competitiveness Report ranked Sierra Leone "133 out of 134 countries surveyed in 2012." Subsequent ranking "did not change significantly and stood at 132 out of 138 countries surveyed." ### Key challenges impeding private sector and manufacturing growth - Continued classification of the country as a fragile state. - Limited capital provision and labour market. - Limited data and information on private investment opportunities (information asymmetry). - Regulatory constraints, including inconsistent tax regimes. - Foreign exchange and general macroeconomic risks. - Limited use of commercial financing. - Physical infrastructure problems. - An inability to capture the informal sector, where retail trade, garages, repair workshops, and handicraft workshops are rife. - Weak infrastructure and technology. - Weak policy and legal environment. - Inadequate bank coordination. - Shortage of skilled professionals. - Absence of long-term financing and foreign currency lending. ### Opportunities for structural transformation - Sierra Leone is relatively peaceful, with high religious tolerance. - The population is "very youthful (demographic dividend)." - The country "possesses a rich ecology and beautiful landscapes." - There is "strong political will and a visible determination by the leadership to grow the economy and provide equal opportunities." - The country "boasts the largest natural rutile reserves in the world," has "huge energy potential," and "high domestic demand." - These factors present opportunities to secure considerable investment financing from the international private resource stock. ### Strategic objective - Improve the general business environment for the attraction of private investment, with greater local ownership and competition. ### Key targets 1. Industrial and economic zones are established in all regions nationwide. 2. Number of registered firms increases by "300 percent" and the list of manufactured goods increases by "200 percent." 3. World Bank Doing Business index rating is improved (aiming to be "in the first hundred"). ### Key policy actions 1. Improve the legal and regulatory environment for private sector development. 2. Expand manufacturing and include value addition for local products. 3. Capture the informal sector with a view to supporting its growth and development. 4. Harmonize tax regimes to remove inconsistencies. 5. Encourage and promote diaspora participation in trade and investment. *Source: 3.7 Fostering private sector growth and manufacturing, Sierra Leone’s Medium-term National Development Plan 2019–2023* ### 4.3 Strengthening public ### 4.3 Strengthening public financial management ### Context and findings - The government recognizes that effective and efficient public financial management (PFM) systems are essential for effective and sustainable economic management and public service delivery in Sierra Leone. - Sierra Leone’s economy is largely donor driven, making good PFM systems imperative for inspiring donor confidence. - The government is implementing the PFM Strategy 2018–2021 to accelerate prudent, efficient, effective, and transparent management and use of public financial resources. - Progress and gaps identified (2014–2017 and ongoing): - Improvements in fiscal risk reporting and public investment management have been limited; assets and liabilities systems remained underdeveloped. - Monitoring of public financial and non-financial assets was not given significant attention. - Controls over government liabilities, such as guarantees for public–private partnerships, remain ineffective. - Existence of a policy-based fiscal strategy and medium-term economic and fiscal forecasts provides an opportunity but requires additional work for strategic alignment of resource allocations. - Accounting and reporting systems recorded significant progress in coverage and timeliness of annual financial reporting and improved accounting practices supporting financial data integrity. - Deficiencies remain in the timeliness and quality of in-year reporting. - External scrutiny and audit coverage and standards improved, but parliamentary oversight and executive follow-up on audit recommendations are inadequate. - Persistent challenges include a considerable ‘compliance gap’ between legal requirements and effective PFM practices, concerns about frequency and transparency of budget revisions, weak application of expenditure controls, payroll integrity issues, and critical weaknesses in procurement systems and practices. - Other PFM challenges: unreliability of the budget, weak public finance transparency, lacklustre management of public assets and liabilities, insufficient external scrutiny, and poor reporting systems. ### Strategic objective - Advance the prudent, efficient, effective, and transparent management and use of public financial resources within the PFM Strategy 2018–2021, with special focus on: - improving revenue generation; - effectively addressing fiscal risk; - improving public debt management; - advancing integrated financial management information systems; - strengthening procurement and public asset and payroll management; - improving ICT and e-governance. ### Key targets - By 2021, conduct Public Expenditure Reviews in education, health, and energy-related MDAs. - By 2023, establish a comprehensive national fixed asset register. - By 2023, fully implement public financial management reforms for local councils and decentralization. ### Key policy actions - Separate the Ministry of Finance from the Ministry of Planning and Economic Development and enhance the latter’s capacity for more effective coordination of donor spending, improving programme/project design, implementation support, and monitoring and evaluation. - Strengthen public expenditure tracking, the Audit Service Commission, and the involvement of non-state actors in monitoring public spending. - Develop a National Development Monitoring and Evaluation System within MoPED that will generate real-time information on outputs and outcomes of all development projects implemented by the government and donors. - Evaluate the ongoing reforms and introduce additional reforms to strengthen public expenditure management. - Develop and introduce a standardized overseas travel policy for the public service, covering all categories of workers, including government ministers. - Develop the capacity of ministries, departments, and agencies in expenditure planning, management, and reporting. - Implement all activities in the new Public Financial Management Strategy 2018–2021 within the time frame stipulated. - Develop internal policies to enhance quality control and prompt reporting and effective monitoring. - Initiate innovative revenue mobilization strategies. - Establish SMART (specific, measurable, achievable, relevant, timely) public financial management collaboration and oversight systems. --- ### 4.4 Strengthening audit services ### Context and findings - The MTNDP gives special attention to strengthening Audit Service Sierra Leone within the PFM Strategy 2018–2021 to ensure disciplined civil service, zero tolerance for corruption, and effective public service delivery. - Achievements: - Increased stakeholder awareness about the role, functions, and independence of Audit Service Sierra Leone. - Consistent production of timely, relevant, and quality audit reports through quality control, compliance with professional standards, staff training, risk-focused audits, monitoring of outputs, auditing of expenditures by international organizations, increased number of professionally qualified audit staff, and proper review of all audit work. - Increased audit coverage of money received and spent by public institutions. - Conducted specialized audits (procurement audit, ICT audit, environmental audit). - Increased capacity of the Performance Audit Division and implementation of real-time audits on development projects. - Enhanced working relationship with the Public Accounts Committee and other organizations; improved audit recommendations. - Effective human capital through staff welfare programmes, regular staff appraisal linked to rewards and promotions, annual training plans, and an ICT platform to facilitate operations. - Remaining challenges: - Limited financial independence; - Inadequate office accommodation; - Lack of information technology to drive audits; - Limited operational resources; - Poor motivation of staff. - Opportunity: the Audit Service Sierra Leone Act of 2014 aims to rationalize roles and strengthen institutional independence and support. ### Strategic objective - Provide more efficient and effective use of government revenue through sound fiscal management practices by strengthening Audit Service Sierra Leone. ### Key targets - By 2023, ensure that full annual performance audits are conducted. - By 2023, conduct a revenue audit annually and submit it to Parliament. - By 2023, set up a system to fully implement and follow up on all financial audit recommendations and those from the Auditor-General’s Annual Report. ### Key policy actions - Strengthen the capacity of Audit Service Sierra Leone. - Increase access to necessary revenue-related information. - Undertake and coordinate specialized audits, including a procurement audit, an ICT audit, and an environmental audit. - Support non-state actors to track and follow up on audit reports and engage the public in this direction. - Increase collaboration with the Anti-corruption Commission and other stakeholders to enforce audit recommendations and strengthen sanctions. --- ### 4.5 Promoting inclusive and accountable justice institutions ### Context and findings - Judiciary and justice sector reforms are critical to advancing the rule of law, promoting justice, and guaranteeing human rights; reforms need acceleration, particularly in access to justice and mechanisms for rule of law application. - Current justice sector capacity (national totals): - 35 judges, - 47 state councils, - 30 magistrates, - 14 legal defence councils, - 40 paralegals nationwide. - Despite formal justice structures, justice delivery services are inadequate, especially for marginalized and deprived populations; access to and expedition of justice are limited for the majority. - A 2017 Public Perception Survey by the Justice Sector Coordination Office found public scepticism about impartiality, neutrality, and independence of the justice sector; perceptions that judiciary and police engage in corrupt practices and are political tools. - Contributing factors to negative perception: operations, financing, and recruitment procedures that do not ensure independence and operational autonomy. - Sector challenges: limited resources; shortage of staff and limited capacity; lack of public trust in judiciary and police; inadequate funding for justice sector reform; poor data and records management systems. - Government commitment to overhauling the judiciary and justice delivery system to restore public confidence and make justice accessible. ### Strategic objective - Ensure all citizens benefit from a fair, impartial, and effective justice sector by increasing access to justice, expedition of justice, protection of human rights, and equal opportunities for economic development. ### Key targets - By 2023, ensure that the number of cases awaiting judgement for six months is considerably lower than in 2018. - By 2023, increase public confidence and trust in the justice sector as measured in periodic surveys. - By 2023, all administrative districts have at least one resident High Court Judge. ### Key policy actions - Review and ensure that appointments and recruitment of justice sector actors are on merit and competency in effectiveness and efficiency in service delivery. - Strengthen the Judicial and Legal Service Commission to become more independent in the discharge of its role and functions. - Strengthen the Judicial and Legal Training Institute for continuous development of the judicial and legal profession in Sierra Leone. - Support the expansion of legal aid services nationwide. - Introduce courtroom technology to be in line with emerging issues for efficiency, especially the expediting of cases. - Improve case management systems, including roll-out and linkages across the sector. - Pursue the amendment of the Criminal Procedure Bill. - Harmonize bail application processes and procedures. - Strengthen access to and protection of witnesses, including victims and jurors. - Strengthen alternative dispute resolution mechanisms across the sector. - Strengthen the juvenile justice system, the Juvenile Justice Strategy, and other provisions of the Child Rights Act. - Strengthen the Integrity Management Committee within the judiciary and roll it out across the sector. - Strengthen service delivery mechanisms to ensure protection of rights. - Pursue compliance to national, regional, and international reporting obligations by strengthening M&E and other systems across the sector. - Build the capacity of the justice sector MDAs to improve communication, collaboration, and coordination among actors. - Improve the policy and legislative framework to accelerate the justice sector reform process. - Strengthen data, information, and statistical systems across the justice sector for effective records and information management. - Pursue the establishment of specialized environmental, anti-corruption, labour, and tax courts, among others. --- ### 4.6 Building public trust in state institutions ### Context and findings - Public trust in state institutions is crucial for building a civil coalition around sustainable development programmes and ensuring fair, effective social service delivery. - Over the past decade, public trust has dwindled due to perceived pervasive corruption, political patronage, and nepotism replacing professionalism in the public sector. - Core challenges: - Lack of independence of some state institutions (judiciary, National Electoral Commission, police); - Weaknesses in human rights and democratic institutions; - Patronage and nepotism in public service delivery; - Abuse of power and state authority by government officials; - Acrimonious political division and lack of patriotism affecting objectivity among citizens. - Public trust varies by political affiliation, with opposition supporters tending to have less trust. ### Strategic objective - Build trust in state institutions by implementing strategies to strengthen national cohesion and ensure a peaceful, just, and inclusive society; promote cultural voluntarism, public participation in development, and citizens’ confidence in service-providing institutions. ### Key targets - By 2023, the level of public trust in state institutions is significantly improved compared to 2018. - By 2023, about 50 percent of the adult population express satisfaction that state institutions are functioning better than in 2018. - By 2023, create a favourable space for human rights organizations to effectively promote transparency and accountability in an unfettered manner. - By 2023, create a citizens’ bureau that will meet annually with public authorities to review a wide range of issues stemming from the previous 12 months. ### Key policy actions - Establish a Peace and National Cohesion Commission to build and promote national cohesion, promote national unity, foster national identity, inculcate a national philosophy and ideology, and encourage continuous dialogue on national cohesion. - Expand the capacity of human rights organizations and organizations promoting democracy, and sensitize the public on their work throughout the country. - Build and promote national cohesion through the eradication of tribalism, nepotism, and other forms of discrimination; promote national unity and ensure togetherness; foster a national identity and inculcate a national philosophy and ideology; and encourage continuous dialogue on national cohesion. - Strengthen the independence of the judiciary and the rule of law. - Strengthen human rights and democratic institutions by promoting democracy and ensuring free and fair elections. - Review the recommendations of the Constitutional Review Report (2018) and the Government White Paper (2018) with the aim of pursuing a constitution that would address the needs and aspirations of the people. - Develop the capacities of democratic institutions through adequate funding, qualified and competent human resources, as well as efficient and effective systems and procedures. *Sierra Leone’s Medium-term National Development Plan 2019–2023* ### 4.7 Strengthening public ### 4.7 Strengthening public service delivery ### Overview - The public service of Sierra Leone is described as the bedrock for the implementation and delivery of the government’s ideas and plans. - Civil service is defined per the Civil Service Code as the service of the state in respect of the Government of Sierra Leone in a civil capacity and comprises all employees of government, whether appointed on a permanent or contract basis. - The Public Service Commission’s role is “to appoint persons to hold or act in offices in the public service (including power to make appointments on promotion and to confirm appointments) and to dismiss and to exercise disciplinary control over persons holding or acting in such offices”. ### Recent progress and reforms - The Public Service Commission has implemented internal reforms: a new organizational and administrative structure, institutionalized merit and competence-based recruitment, three regional offices, and a new records management approach. - Efforts to strengthen civil service capacity include filling critical vacancies (Grades 6–13), confirming appointments and promotions, mainstreaming local technical assistants, and re-designating officers. - Reforms to the Public Service Bill and review of the Public Service Regulations of 1982 have led to improved discipline, accountability, and human resource management. - A key operational lesson identified: the need for the Public Service Commission application process to be automated to avoid long queues of applicants collecting application forms. ### Persistent challenges - Absence of a central authority responsible for policy design and standardization of procedures in management of all public service human resources. - Lack of clarity regarding institutional responsibilities and division of labour. - Lack of coordination, collaboration, and accountability within the public service. - Obsolete and antiquated legislation. - Delays in receiving recruitment requests. - Low female participation at all levels of the public service. - Uncompetitive remuneration for public servants. - Limited performance management systems. - Inadequate implementation of the recommendations of management and functional reviews. ### Strategic objective - Create a lean, performance-oriented, highly motivated, modern, and efficient public service that delivers high-quality services to the people of Sierra Leone in a timely and cost-effective manner. ### Key targets - By 2023, quality social service delivery is available to every Sierra Leone. - By 2023, automate the processes for personnel recruitment and retirement. - By 2023, establish and support the Wages and Compensation Commission. ### Key policy actions - 1. Rationalize the structure of the public service with a view to having clear political leadership and direction. - 2. Restructure the Human Resources Management Office by creating the necessary departments that will be staffed by career Human Resources Officers with the right competencies and skills, with a view to modernizing the civil service to face the challenges of the 21st century. - 3. Develop a new architecture of state governance and a national civil service organogram. - 4. Establish a National Civil Service Capacity Enhancement scheme. - 5. Reintroduce and scale up a ‘hire purchase scheme’ and housing scheme for serving members of the civil service and related services to enable them to acquire capital items (with values consistent with their official emoluments). - 6. Review of the Public Service Regulations of 1982, enact the Public Service Bill, and review the Civil Service Code, Regulations, and Rules. - 7. Decentralize the Public Service Commission interview process to the regions. - 8. Conduct a human resource audit in at least 30 MDAs. - 9. Conduct administrative inquiries in at least 20 MDAs. *Source: 4.7 Strengthening public service delivery (Sierra Leone’s Medium-term National Development Plan 2019–2023).* ### 5.1 Women ### 5.1 Women ### Situation overview - According to the 2015 Sierra Leone Population and Housing Census, women account for 50.8 percent of the population. - Despite significant efforts from the government, donors, and civil society, significant gender inequality and discrimination remains deeply entrenched in Sierra Leone at household, community, national levels. - Sierra Leone historically stands in the bottom ten of the Gender Development Index, ranking 177 out of 182 ranked countries in 2013 (UNDP, 2013). - Gender discrimination is largely a result of long-standing social and cultural norms and gender stereotyping that dictate relationships, roles, and responsibilities between men and women, as well as access to power, resources, and privileges. - Discriminatory laws, including statutory and customary laws, further reinforce inequality. Effective enforcement of national laws is a major challenge due to deeply held traditional practices and sociocultural norms. - Example of weak enforcement: the Gender Equality and Women’s Empowerment Bill, which establishes a minimum of 30 percent representation of women in governance at all levels, is largely ignored. - Over the past decade, the government has developed and enacted a range of laws, policies, and strategies, including passage of the three ‘gender justice laws’ addressing domestic violence, inheritance access to land, and strengthening women’s rights in marriage and divorce through a registration process. - The 2012 Sexual Offences Act defines all sexual activity without consent as an imprisonable crime. - Government structures with gender and women’s empowerment mandates include: the Ministry of Social Welfare, Gender and Children’s Affairs; the Human Rights Commission; the Family Support Unit in the Sierra Leone Police; and the Legal Aid Board. - These institutions have proved insufficient to address gender inequality in all its forms. - The report argues that bold action similar to the establishment of the National Children’s Commission in 2014 is required; specifically, the establishment of a Gender Affairs Commission is urgently required to monitor gender equality issues and ensure leadership and focused attention across sectors and levels. - Key challenges facing women and girls include: domestic and sexual violence; discrimination; weak systems/institutions to address gender issues; and poor collaboration among the agencies responsible for addressing women’s issues. - Entrenched culture and traditions often accentuate the position of the male over the female, leading to exclusion of women and girls in the socio-economic transformation of the country. - A key lesson: political will is important but society as a whole must create the needed socio-economic and cultural milieu. National laws, policies, and community by-laws provide a point of departure, but must be implemented and enforced, which requires concerted political will and financing. - Gender equality actions must be integrated into development plans of all line ministries, departments, agencies, and local governments; they should not be confined to a single line ministry. ### Strategic objective - The strategic objective is to promote the overall empowerment of women in the political, social, economic, and cultural spheres. ### Key targets 1. By 2023, ensure that there are more women in leadership positions in government than in 2018. 2. By 2023, ensure that more women are supported to engage in entrepreneurial activities than in 2018. 3. By 2023, develop and implement a national data and information management system on gender-based violence cases. 4. By 2023, drastically reduce by more than 50 percent the number of women experiencing GBV compared to 2018. ### Key policy actions 1. Review and increase budgetary resources for the implementation of the Sexual Offences Act of 2012. 2. Strengthen the capacity of the Ministry of Social Welfare, Gender and Children’s Affairs and national non-governmental organizations to provide psychosocial services to all victims. 3. Strengthen knowledge about the referral pathway for sexual abuse. 4. Stigmatize perpetrators of sexual violence. 5. Increase the capacity of the Family Support Units, the Ministry of Justice, and the Judiciary to investigate and prosecute reported cases and punish the perpetrators without any exception, including by not accepting any out-of-court settlements in such cases. 6. Strengthen protection, rehabilitation, and reintegration support for victims of sexual abuse. 7. Strengthen legislative frameworks to promote gender balance, including electoral frameworks; quotas with sanctions legislated and enforced; the criminalization of violence and enforcement of laws; and the modification of discriminatory laws. 8. Support legislation on political party registration/regulation that will require more women in leadership at all levels of political parties and institutions. 9. Review policies and laws to ensure that they are gender responsive, and strengthen institutional frameworks to prevent and respond to violence against women and girls. 10. Review, finalize, and implement existing policies and strategies, such as the National Referral Protocols on Gender-based Violence, the National Strategy for the Reduction of Female Genital Mutilation/Cutting, and the National Strategy for the Reduction of Adolescent Pregnancy; ensure that services are funded and provided in line with each policy. 11. Review existing and pending legislation, including the Matrimonial Causes Act, the Child Marriage Bill, and others, and advocate for their passage into law. *Source: Sierra Leone’s Medium-term National Development Plan 2019–2023 (Section 5.1 Women).* ### 6.1 Youth ### 6.1 Youth ### Overview - Youth entrepreneurship offers innovative solutions for economic growth among young people, but youth enterprise initiatives are still relatively new to development processes. - A nation’s workforce is the most valuable asset and needs to be constantly motivated to ensure economic and social transformation. - Conditions of service for workers in Sierra Leone are among the worst in the subregion, resulting in significant unemployment for both skilled and unskilled workers. - Since over half of the population cannot read or write, the need to educate and train the youth is paramount, as literacy and essential skills are a prerequisite for productive employment. - Employment laws and regulations need be reviewed and enforced to ensure that they are attractive to the national workforce, particularly given that Sierra Leone has a relatively young population with high unemployment. - Addressing employment will require addressing youth empowerment, as the youth are untrained and lack the requisite skills for the job market. - The Government of Sierra Leone and its development partners have made tremendous strides towards ameliorating the challenges that face young people; despite policy interventions and actions, young people still face: - a lack of skills relevant to the contemporary job market; - limited development programmes for youth; - exclusion of young people in top-level decision making; - inadequate access to finance; - limited jobs and poor work conditions for youth; - inadequate policy and legislation that protect the welfare of young people; - drug use and abuse, among others. - Growing awareness among youth of their role in development and the willingness of the political class to include young people in development at all levels are opportunities the government seeks to leverage to improve the socio-economic condition of all young people in Sierra Leone, irrespective of location or political persuasion. ### Strategic objectives - Support the youth to undertake viable and innovative business activities through start-up protects and to promote collaboration among them by taking advantage of their ingenuity for job creation. - Ensure the enforcement of labour laws for the benefit of youth in employment and business. ### Key targets - 1. By 2023, increase youth employment by 15 percent, with special attention to gender equity. - 2. By 2023, ensure that the number of young people involved in entrepreneurial activities is higher than in 2018. - 3. By 2023, ensure that the National Youth Service and the Skills Development Project (technical and vocational education and training) is fully operational. ### Key policy actions - 1. Conduct skills training for youth through technical and vocational education and training. - 2. Review the current design of the National Youth Service and enforce its implementation. - 3. Establish a Youth Empowerment Fund to support youth to engage in small and medium-sized entrepreneurship ventures. - 4. Promote youth engagement in agriculture. - 5. Monitor and enforce labour laws and the local content law to ensure compliance and protect national workers and businesses. *Source: 1sleea2019002 - 6.1 Youth (Sierra Leone’s Medium-term National Development Plan 2019–2023)* ### Box 9.1: A snapshot of the environment in Sierra Leone ### Box 9.1: A snapshot of the environment in Sierra Leone ### Snapshot indicators - Emissions of CO 2 (million tonnes)1 - Proportion of terrestrial and marine areas protected (%) 5 - Number of threatened species131 - Electricity access rate (%)2 - Renewable electricity production (%)30 - Change in agricultural land area since 1990 (%) 46 - Change in forest area since 1990 (%) -13 - Rural population with access to improved drinking water source (%) 26 ### Context and current pressures - Sierra Leone is well endowed with natural resources (arable land, forests, fresh water, wetlands, wildlife, fisheries, and mineral resources) but has experienced environmental degradation from unregulated use of land and resources in rural and urban areas. - Environmental compliance and enforcement are governed by the Environmental Protection Agency Act of 2008, amended in 2010; capacity building is underway for stakeholder institutions including the security sector, the judiciary, and civil society. - Persistent sector challenges: - Weak legislation and an inadequate legal framework. - Limited funding and investment. - Weak capacity of regulatory institutions and weak enforcement. - Insufficient data and information on the environment. - Weak coordination among line MDAs. - Traditional practices and limited public knowledge about the environment, biodiversity, and conservation. - Restricted livelihood opportunities. ### Strategic objective (environment) - Protect the environment while making rehabilitation and management efforts to increase Sierra Leone’s capacity to reduce vulnerability to external shocks and effectively respond to future emergencies. ### Key targets (environment) — by 2023 - Put in place an environmental court to prosecute cases related to environmental infractions. - Ensure that a policy is in place for the management of toxic chemicals and hazardous substances. - Review and pursue land degradation neutrality targets. - Progressively amend regulations on ozone-depleting substances. ### Key policy actions (environment) - Review the Environmental Protection Agency Act and other legislation to strengthen and enhance the legal framework for enforcement and compliance. - Increase the proportion of terrestrial and marine areas protected. - Control land degradation and minimize pollution. - Increase the coverage of terrestrial sites of biodiversity importance to protect biodiversity and endangered species. - Educate and raise awareness about changing traditional and cultural practices that are harmful to the environment. - Formulate regulations and enact legislation on environmental standards and the management of chemicals and toxic and hazardous substances. ### Forestry management and wetland conservation — context and values - Sierra Leone has extensive forests, wetlands, and water resources; eight major river systems (Great Scarcies, Little Scarcies, Rokel/Seli, Bankasoka, Jong, Sewa, Moa, and Mano) supply water via tributaries and streams. - Inland wetlands (e.g., Lake Idrissa, Lake Mape) provide sustainable domestic water supplies, fertile land, irrigation, and fish; floodplains and inland valley swamps support year-round agriculture. - Coastal ecosystems along 520 kilometres of coastline include four major estuarine systems: Scarcies River, Sierra Leone River, Yawri Bay, and Sherbro River; these hold the largest combined mangrove cover and support the largest number of coastal/marine species. - Forests and wetlands are critical for: - Preservation of the environment and biodiversity conservation. - Supply of products (wood for furniture, construction, domestic energy), especially for the poor. - Supply of bush meat, medicinal plants, and non-timber products. - Watershed protection, soil protection, and climate change mitigation. - Biodiversity statistics cited: - Indigenous flora and fauna exceed 2,000 species of vascular plants. - 46 amphibian species. - 69 reptile species. - 600 bird species. - Almost 200 species of mammals, including 15 types of primates and 18 types of antelopes. ### Threats to forestry and wetlands - Poor use and management driven by heavy dependence of large numbers of people on these resources. - Limited conservation efforts. - Key challenges identified: - Weak regulatory and legal framework. - Limited management of marine resources. - Massive environmental degradation. - Lack of awareness among the population. - Limited data and information. - Uncoordinated conservation efforts. - Financial constraints. ### Opportunities and institutional anchors - Sierra Leone is party to the Ramsar Convention on Wetlands of International Importance. - Establishment of the National Protected Area Authority under the National Protected Area Authority and Conservation Trust Fund Act of 2012 provides an anchor for sustainable management. ### Strategic objective (forestry and wetlands) - Enhance holistic conservation and management of Sierra Leone’s biodiversity in all ecosystems for the benefit of present and future generations through an integrated approach. ### Key targets (forestry and wetlands) — by 2023 - Establish a National Timber Agency. - Declare at least two new Ramsar Convention sites for wetlands management. - Ensure that a Wetlands Act is in place. ### Key policy actions (forestry and wetlands) - Improve legal and enforcement mechanisms with appropriate laws. - Enhance the management and oversight capacity of regulatory agencies. - Combat environmental degradation and manage forests and wetlands. - Promote conservation through educating and mobilizing the population via awareness raising. - Increase marine protection and maintain the number of forest reserves and conservation areas. ### Disaster management governance — context and exposure - Sierra Leone is exposed to a range of natural and human-made hazards, including localized floods, landslides, windstorms, fires, and rock falls; vulnerability is linked to climate, geography, high poverty levels, and limited environmental management systems. - The Office of National Security (established by the National Security and Central Intelligence Act 2002) coordinates national emergencies; the Department of Disaster Management in that Office coordinates MDAs, local government, development partners, NGOs, private sector, and civil society. - National instruments and systems: - National Policy for Disaster Risk Reduction developed and awaiting launch. - National Platform for Disaster Risk Reduction established under the Office of the Vice President. - District Disaster Management Committees established in 14 districts (Karene and Falaba remaining). - National Hazard Profile developed in 2005 and reviewed in 2017. - Climate Information, Disaster Management and Early Warning System (CIDMEWS) developed to collect and process climate and environmental information. ### Prevailing hazards and risks (2005–2015) — areas of prevalence and impacts (selected highlights) - FLOODS: Freetown, Pujehun, Kambia, Bonthe, Kenema, Moyamba - Human casualties; Loss of crops; Loss of livestock and poultry; Infrastructure damage; Deterioration of drainage systems; Outbreak of waterborne diseases - FIRES (domestic, wild/bush, electrical/industrial): Urban and local areas - Human casualties; Damages of housing; Economic loss - STORMS AND LIGHTNING: Mainly eastern and northern provinces - Human casualties; Fires; Infrastructure damage - EPIDEMICS: Nationwide - Ebola, human casualties - MUD / LANDSLIDES: Kono District, Tonkolili District, Western Area - Human casualties; Infrastructure damage - PEST INFESTATION: Kambia, Bombali, Koinadugu, Moyamba, Kailahun, and Pujehun Districts - Loss of crops; Loss of livestock and poultry - POLLUTION: Predominantly urban; mining areas nationwide - Biodiversity loss; Outbreak of waterborne diseases - TRANSPORT-RELATED ACCIDENTS: Sea, road, air transport (Freetown peninsula waters and coastal communities; Freetown to provincial areas; Lungi International Airport) - Human causalities; Injuries; Infrastructure damage - UNPLANNED URBANIZATION: Mainly urban Sierra Leone - Poor sanitation; Increased trend in disaster events - DEFORESTATION: Mainly Eastern and Northern provinces, and Western Area - Reduction in water catchment area; Water shortage; Loss of biodiversity; Increase erosion; Increase land/mudslides - MINING (sand, aggregate stone, mineral): North, East, South, and the Western Area rural districts - Human casualties; Land degradation; Coastal erosion; Food insecurity; Pollution - CLIMATE CHANGE: Nationwide - Increased magnitude of extreme weather events; Food insecurity; Coastal erosion; Overall increased magnitude of natural disasters ### Disaster management strategic objective - Build and institutionalize a robust early warning and response system to effectively respond to disasters through reinforced governance and management architecture for national disaster-related issues. ### Key targets (disaster management) — by 2023 - Achieve 100 percent completion status for the functioning and operations of a National Disaster Risk Management Agency. - Achieve 100 percent completion status in the development of Local Disaster Preparedness and Response Plans based on the Vulnerability and Capacity Assessment. - Achieve 100 percent completion status in the development of a flexible information system for data on disaster victims, internally displaced persons, missing persons, damaged and lost properties, and the reunion of families. ### Key policy actions (disaster management) - Develop policies and a legal framework on vulnerability and disasters. - Improve disaster response within the country at all levels. - Strengthen early warning mechanisms and legal frameworks. - Enhance coordination and collaboration among key actors. - Increase community involvement in responding to disasters and implement the Climate Information, Disaster Management and Early Warning System developed for climate information dissemination. *Source: Box 9.1, Sierra Leone’s Medium-term National Development Plan 2019–2023* ### 8.1 Implementation ### 8.1 Implementation arrangements ### Overview - Implementation is carried out at both national and local levels, depending on the nature of the activity. - Despite a policy of decentralization, most key infrastructural programmes are implemented from the national level due to the limited capacity of the districts to appropriately manage those programmes. - The system is described as both “top down” and “bottom up”, with the districts designated as the basic planning unit and the Ministry of Planning and Economic Development (MoPED) as the apex body to coordinate the system. - The MTNDP will be implemented within this framework in collaboration with cluster/subcluster working groups. ### Roles and responsibilities of central and sector institutions (MDAs) - The implementation of a significant proportion of programmes in this MTNDP will be carried out by the MDAs. - To ensure adequate coordination, harmonization, alignment, and mutual accountability, all sector projects must be implemented within the development framework. - The MDAs will specifically ensure the following: - Effectively and efficiently facilitate and implement projects/activities as stipulated in the National Development Plan. - Ensure programmes and/or activities are well aligned to national development priorities. - Ensure coordination at the sectoral level and collaboration with other actors in the implementation of activities. - In collaboration with MoPED, monitor, evaluate, and report on the activities implemented by other actors in their respective sector. ### Roles and responsibilities of regional administrations - Regional administrations are to ensure that the decentralized MDA plans: - Provide guidance to the decentralized departments at the district level on how to implement their sector M&E plans. - Collate and validate sector data from the decentralized district departments through site inspections and regional workshops. - Forward the collated district M&E reports to the policy, planning, monitoring, and evaluation departments and MoPED. - Ensure that all programmes and projects in the provinces and districts are systematically monitored and evaluated in accordance with the district monitoring and evaluation set-up. ### Roles and responsibilities at district, chiefdom, and local council levels - The district is a strategic unit of operations for all developmental programmes and coordination of national activities at the district level shall be done by the sector ministry and within established district structures (planning officers, monitoring and evaluating officers, etc.). - The chiefdom and local councils shall specifically ensure the following: - Facilitate the work of all players at local and district levels, supporting their partnerships with sectoral and national oversight institutions and actors, as well as community institutions and actors. - Ensure all activities at the district level are aligned with the National Development Plan. - Constantly liaise with MoPED and the line MDAs on the operations, reporting, and implementation of programmes at the district level. ### Plan implementation structure and budget linkages - Implementation of the plan is the responsibility of the MDAs individually and in some cases collectively, as shown in the policy matrix and indicator framework. - Performance contracts will be signed with the Office of the President. - Coordination and monitoring of the plan’s progress will be led by the Ministry of Planning and Economic Development. - The annual national budget is the instrument of financial expression of the development plans and presents the quantum of financial resources needed each financial year; implementation largely depends on budget allocations. - Timely and adequate budget funding is imperative to ensure successful implementation of the MTNDP and subsequent sector and district plans. - The Ministry of Finance, in collaboration with MoPED, will: - Organize policy and technical hearings on draft budgets submitted by MDAs to ensure alignment to the MTNDP and sector plans. - Provide final budget ceilings for finalization of budgets by the MDAs and districts. - After passage of the Appropriation Bill by Parliament, implementation of the MTNDP will commence. - Over the MTNDP implementation period, MoPED will ensure effective linkage of the plan and the annual national budget (in collaboration with the Ministry of Finance) and will lead monitoring and evaluation of programmes and projects, including flagship projects, on a real-time basis to identify bottlenecks and take remedial actions quickly. - MoPED will strengthen internal capacity to engage relevant MDAs and districts in implementing priority policies and strategies identified in the MTNDP. - The Office of the President will ensure public sector reform and strengthening of public institutions to deliver efficient public services and execute the government agenda. - The Ministry of Finance will concentrate on resource mobilization and allocation based on priority policies and programmes under the MTNDP, tracking revenues and expenditures, and collaborating with other institutions to produce annual performance reports as part of the budget documents. ### Supervisory and coordination arrangements - Ministerial Oversight Committee - Composed of all ministers of government and chaired by the Minister of Planning and Economic Development. - Responsibilities: - Ensure that all projects and programmes implemented are aligned to the priorities identified in the MTNDP. - Review the results framework and reach consensus on the indicators to be monitored and reported on. - Ensure that programmes and projects are coordinated and complementary. - Review and endorse reports from the sector working groups. - Facilitate round table discussions to address challenges to implementation and resource mobilization. - Ensure that new programmes and initiatives are adequately discussed at the committee level prior to submission for funding. - Sector working groups - Comprise all sectors and development partners providing support to these sectors; chaired by the professional head of the respective ministries and co-chaired by the lead donor agency in the sector. - Responsibilities: - Coordinate the collection of relevant sectoral data that will be used to monitor progress in the implementation of the MTNDP. - Identify critical funding gaps and, in collaboration with MoPED, facilitate round table discussions to mobilize resources to finance funding gaps. - Monitor sector progress on MTNDP targets and prepare summary reports on progress for presentation to the Ministerial Oversight Committee. - Provide quality assurance for sector and district reports. - District working groups - Comprise local and district council representatives, development partners, NGOs and civil society organizations working in the district, representatives of MDAs in the district, lead operating in the district, and District Budget Oversight Committee members. - Mirror the sector working groups at the district level. - Responsibilities: - Identify cross-cutting issues that impede the implementation of the MTNDP at the district level. - Provide regular updates to the Ministry of Planning and Economic Development on the implementation of the MTNDP. - Provide reports on the progress of the implementation to the sector working groups. ### Government–development partner dialogue - Development partners and the government will hold bilateral meetings to: - Establish development partners’ portfolios. - Provide an effective mechanism for planning and monitoring progress. - Address specific challenges in a timely manner. - Structured and regular dialogue: - Quarterly Development Partnership Committee meetings between the government and development partners will be held to review and discuss development progress and challenges; these will be chaired by the Minister of Planning and Economic Development; co-chairing arrangements will be agreed upon between MoPED and the development partners. - Annual Development Partnership Committee meetings between the government and development partners will be held with a wide range of stakeholders to review and discuss development progress and challenges and agree on the strategic direction for the forthcoming year; this will be chaired by the President. *Source: 8.1 Implementation arrangements, Sierra Leone’s Medium-term National Development Plan 2019–2023* ### 8.2 Financing the plan ### 8.2 Financing the plan ### Overview - Total projected cost of the five-year MTNDP: US$8.15 billion. - Direct project–related costs: US$5.49 billion. - Government’s statutory expenditures to support project implementation: US$2.66 billion. - Projected to be raised from internal and already committed external resources: US$6.60 billion. - Financing gap to fully finance the National Development Plan: US$1.55 billion. - Estimated per capita contribution required to fill the financing gap: US$40 per annum. ### Cost breakdown (aggregate and key line items) - TOTAL Direct Project-related Costs (2019–2023): US$5,493.02 (sum across policy clusters). - Government’s Statutory Expenditures: US$2,660.64, comprising: - Wages and Salaries: US$1,610.12 - Debt Service Obligations: US$936.18 - Contingency and Others: US$114.34 - GRAND TOTAL NATIONAL DEVELOPMENT PLAN COST: US$8,153.66 - less Total Projected Available Resources: US$6,601.64 - Financing Gap (grand total): (US$1,552.02) ### Projected available resources for direct project financing (by component) - Non-salary, non-interest recurrent (GRAND TOTAL 2019–2023): US$1,744.60 - Annual totals: 2019: US$256.07; 2020: US$296.29; 2021: US$349.72; 2022: US$403.28; 2023: US$439.23 - Development estimate, foreign (GRAND TOTAL 2019–2023): US$638.19 - Annual totals: 2019: US$151.61; 2020: US$207.78; 2021: US$215.23; 2022: US$37.38; 2023: US$26.20 - Development estimate, domestic (GRAND TOTAL 2019–2023): US$1,558.19 - Annual totals: 2019: US$109.90; 2020: US$152.07; 2021: US$205.44; 2022: US$517.21; 2023: US$573.57 ### Year-by-year financing gap analysis (US$m) - Total Projected Expenditures: - FY2019: 1,164.21 - FY2020: 1,334.76 - FY2021: 1,471.44 - FY2022: 2,208.61 - FY2023: 1,974.66 - FY2019-23 Total: 8,153.67 - National Development Plan Incremental Costs: - FY2019: 646.63; FY2020: 723.96; FY2021: 766.51; FY2022: 1,116.71; FY2023: 958.88; Total: 4,212.68 - Direct Project–Related Costs (annual and total): - FY2019: 155.27; FY2020: 183.26; FY2021: 211.48; FY2022: 593.37; FY2023: 408.67; Total: 1,552.04 - Administrative and Statutory Costs (annual and total): - FY2019: 491.36; FY2020: 540.70; FY2021: 555.03; FY2022: 523.34; FY2023: 550.21; Total: 2,660.64 - Current Committed Expenditures (annual and total): - FY2019: 517.58; FY2020: 610.80; FY2021: 704.93; FY2022: 1,091.90; FY2023: 1,015.78; Total: 3,940.99 - Component details of projected resources (annual and total): - Non-salary, non-interest recurrent: FY2019: 256.07; FY2020: 296.29; FY2021: 349.72; FY2022: 363.27; FY2023: 399.25; Total: 1,664.60 - Domestic Capital: FY2019: 109.90; FY2020: 152.07; FY2021: 205.44; FY2022: 696.45; FY2023: 590.33; Total: 1,754.19 - Foreign Capital: FY2019: 151.61; FY2020: 162.44; FY2021: 149.77; FY2022: 32.18; FY2023: 26.20; Total: 522.20 - Total Projected Resources (annual and total): - FY2019: 1,008.95; FY2020: 1,196.85; FY2021: 1,325.42; FY2022: 1,481.21; FY2023: 1,589.21; Total: 6,601.64 - Breakdown of Total Projected Resources (FY2019-23 totals): - Domestic Revenue: US$5,064.49 - Grants: US$554.15 - External Budgetary Support: US$223.10 - Projects: US$327.72 - Others: US$3.33 - Domestic Financing: US$397.61 (Bank: US$383.02; Non-Bank: US$14.60) - Loans total: US$585.38 (Programme: US$160.57; Projects: US$424.81) - Financing Gap by year (US$m): - FY2019: (155.26) - FY2020: (137.91) - FY2021: (146.02) - FY2022: (727.40) - FY2023: (385.45) - FY2019-23 Total: (1,552.04) ### Projected available discretionary resources to finance the National Development Plan (US$m) - Total Statutory Expenditures (annual and total): - FY2019: 491.36; FY2020: 540.70; FY2021: 555.03; FY2022: 523.34; FY2023: 550.21; Total: 2,660.63 - Wages and Salaries (annual and total): - FY2019: 292.72; FY2020: 310.78; FY2021: 351.46; FY2022: 318.34; FY2023: 336.83; Total: 1,610.12 - Debt Service Payments (annual and total): - FY2019: 182.99; FY2020: 175.35; FY2021: 183.76; FY2022: 192.71; FY2023: 201.36; Total: 936.18 - Domestic Interest (FY2019-23 total): 639.74 (annual: 114.23; 120.95; 128.28; 135.06; 141.22) - Foreign Interest (FY2019-23 total): 59.14 (annual: 11.94; 11.90; 11.77; 11.39; 12.14) - External Debt Amortization (FY2019-23 total): 237.30 (annual: 56.83; 42.50; 43.71; 46.27; 48.00) - Repayment of Arrears (FY2019-23 total): 13.52 (annual: 0.99; 6.34; 6.19; -; -) - Contingency Expenditures (FY2019-23 total): 55.55 (annual: 3.67; 13.95; 13.62; 12.29; 12.02) - Clearance of previous year's unpaid cheques (total): 45.27 (annual: 10.98; 34.29; -; -; -) - Available discretionary resources to finance the National Development Plan (annual and total): - FY2019: 517.58; FY2020: 656.15; FY2021: 770.40; FY2022: 957.87; FY2023: 1,039.01; FY2019-23 Total: 3,941.00 ### Donor resource flow - Trends in donor disbursement performance during 2012–2017 towards different national development programmes amounted to US$3.87 billion. - Most donor disbursements came during the Ebola virus disease outbreak period (2014–2016). - Total bilateral disbursements during 2012–2017: US$2.00 billion. - Total multilateral disbursements during 2012–2017: US$1.56 billion. - Shares: bilateral 56 percent; multilateral 47 percent. *Source: 1sleea2019002 - 8.2 Financing the plan* ### 8.4 Resource mobilization ### 8.4 Resource mobilization ### Context and priorities - Public finance and development assistance continue to dominate the financing landscape; private finance remains nascent. - Domestic revenues have grown in recent years but have not kept pace with rising spending; public debt levels have risen. - Tax revenues equate to just 1 million leones (US$120) per person. - The Government of Sierra Leone is committed to fiscal consolidation to ensure that domestic revenue mobilization increases from 14 percent of GDP to 20 percent of GDP by 2023. - It is estimated that over a three-year period, at least US$500 million could be mobilized from identified sources to reduce the MTNDP financing gap. ### Public finance measures and reforms - Modernization steps already undertaken: - Integrated Tax Administration Systems - Automated System for Customs Data - Electronic cash registers for Government Service Tax - Automated Payment Gateway and Reconciliation Systems - Additional measures highlighted: - Consider creation of a tax lottery integrated with electronic cash registers to strengthen taxpayer incentives. - Publish tax expenditure reporting: estimates of revenue foregone through each tax exemption; periodic review of costs and benefits. - Boost large taxpayer auditing capacity by working with Tax Inspectors without Borders. - Revise levies and departmental charges to ensure costs are covered and align to regional and international standards. - Build outcome information into the budget process and create systems to track public spending on gender and climate within IFMIS. - Numeric and fiscal notes from the analysis: - GST accounts for over one-fifth of total revenue. - Levies account for 8% of total revenue. ### Private sector development and private participation in public investments - Key sectors with private sector growth potential: agriculture, fisheries, tourism. - Constraints: non-availability of long-term finance; administrative and bureaucratic bottlenecks; out-of-date laws and policies; fiscal instability can deter private investment. - Policy tools and initiatives: - Promote development of long-term finance and adjust government borrowing to reduce crowding out of private actors from debt markets. - Expanded use of public–private partnership mechanisms for infrastructure and other strategic investments, while managing capacity challenges and risks. - Promote investment of pension assets in infrastructure to match long-term finance needs. - Promote longer-term lending to businesses via financial sector reforms and consider restructuring the stock exchange. - Encourage public sector banks to increase private sector lending and limit purchases of public debt. - Establish a platform for public–private dialogue on mobilizing inclusive, sustainable private investment. ### Development cooperation, diaspora engagement, and innovative instruments - Official development assistance and south–south cooperation remain significant; development partners account for an important proportion of new investment, particularly in social sectors. - Opportunities to broaden development assistance focus into economic sectors that promote new financing sources (e.g., development impact bonds, impact investment). - Diaspora engagement: - Potential to mobilize new development funds through diaspora bonds and promoting commercial investment by the diaspora. - Diaspora bonds can provide longer-term, lower-cost financing for strategic development projects; successful programs can yield regular issuances as a repeat financing source. - Consider measures such as a one-stop shop for diaspora investment, creation of diaspora bank accounts, and relaxation of capital controls for diaspora businesses. - Reduce the cost of sending remittances by reviewing the tax on remittances and promoting digital and mobile financial services and greater interoperability. ### Summary of Tabled donor disbursements (key totals) - Donor disbursement TOTAL (US$ million) by year: 2012: 396.32; 2013: 442.63; 2014: 921.24; 2015: 1,053.90; 2016: 523.06; 2017: 529.28. - Bilateral disbursement TOTAL (US$ million) by year: 2012: 176; 2013: 183.8; 2014: 570.5; 2015: 517; 2016: 287.1; 2017: 270.3. - Multilateral disbursement TOTAL (US$ million) by year: 2012: 185.7; 2013: 225.6; 2014: 278.6; 2015: 474.1; 2016: 200; 2017: 192.4. ### Potential resource mobilization initiatives (summary of Table 8.8) - Public finance initiatives: - Introduce a Goods and Services Tax lottery: Potential impact — Increased GST receipts; Complexity — Medium (technically complex); Note: GST accounts for over one-fifth of total revenue. - Boost large taxpayer auditing capacity via Tax Inspectors without Borders: Potential impact — Increased company tax receipts; Complexity — Low. - Revise levies and departmental charges: Potential impact — Increased levies and departmental receipts; Complexity — Low; Note: levies account for 8% of total revenue. - Build outcome information into the budget process: Potential impact — Stronger results focus and alignment between budget and MTNDP; Complexity — Medium. - Create systems to track public spending on gender and climate within IFMIS: Potential impact — Significant within these sectors; Complexity — Low/medium. - Publish tax expenditure reporting: Potential impact — Increased fiscal space and more strategic promotion of private investment; Complexity — Low. - Private participation in public investments: - Establish a diaspora bond: Potential impact — Likely specific investments of interest to diaspora; Complexity — Medium/high. - Promote investment of pension assets in infrastructure: Potential impact — Investments in infrastructure; Complexity — Medium/high. - Development cooperation and thematic funds: - Engage south–south cooperation (SSC) providers: Potential impact — Increased assistance in economic sectors from SSC providers; Complexity — Low. - Access Millennium Challenge Corporation funding: Potential impact — Compact programmes offering significant five-year grants; Complexity — Low; Note: neighbouring countries have established five-year programmes with a value between US$250 and 550 million. - Trial development impact bonds in key sectors: Potential impact — Significant within area of focus (education, health, employment creation); Complexity — Medium. - Access untapped thematic funds (e.g., Green Climate Fund, Climate Investment Funds): Potential impact — Funding for climate vulnerability and resilience; Complexity — Low. - Private sector investment and financial services: - Promote longer-term lending to businesses with financial sector reforms: Potential impact — Economic growth and diversification; Complexity — Medium. - Encourage public sector banks to increase private sector lending: Potential impact — Economic growth and diversification; Complexity — Low. - Promote diaspora commercial investment and reduce remittance costs: Potential impact — Boost spending in areas such as education and health; Complexity — Reviewing tax: low; Promoting fintech and interoperability: medium. - Reduce illicit financial flows by boosting anti-corruption and auditing capacity and strengthening customs detection and international cooperation: Potential impact — Increased government revenues; Complexity — High. ### Spending quality, results framework, and integration - Increasing fiscal space is critical, but the quality of spending is as important as the quantity. - Opportunities to build on earlier budget reforms to enhance outcome-basis of the budget. - Systems to manage investments in cross-cutting MTNDP areas (gender equality, women’s empowerment, climate and environment) should be established. - A stronger results framework for the MTNDP would strengthen integration of public planning and budgeting and boost the efficiency of government investment. ### Risks and mitigating strategies - Identified risks to successful implementation: - Susceptibility of the economy to external shocks and dependence on aid (commodity price volatility, e.g., iron ore price slump in 2014). - Reliance on donor support creates vulnerability to donor fatigue, risking abandonment of development programmes. - Mitigation measures suggested: - Effective implementation of SMART (specific, measurable, achievable, relevant, time-bound) macroeconomic policies. - Increasing capacity for domestic resource mobilization. - Boosting domestic revenue mobilization through the reforms and initiatives outlined above. *Source: 8.4 Resource mobilization, Sierra Leone’s Medium-term National Development Plan 2019–2023* ### introduction of a lottery system to encourage ### 1sleea2019002 - introduction of a lottery system to encourage ### Tax compliance and fiscal measures - Proposals and measures noted: - introduction of a lottery system to encourage greater compliance by taxpayers; - strengthening auditing of large taxpayers; - revising and updating levies to cover costs and reflect international standards; - putting in place structures to issue and manage diaspora bonds; - evaluating the potential to invest pension fund assets in infrastructure. ### Data and information availability - Key findings: - Access to credible and reliable sources of data and information, and its sustainable production, is a huge challenge in the country. - Data and information are fragmented across various sectors and it is often difficult to ascertain their credibility and relevance. - Currently, the various actors pursue their individual data and information needs entirely by themselves. - Policy response: - Strengthening and capacitating Statistics Sierra Leone will mitigate this risk, helping it respond to the data and information needs of the country through a coordinated and concerted approach with the various stakeholders, thereby fulfilling its statutory mandate. ### Inadequate capacity of MDAs (ministries, departments, and agencies) - Observations: - The capacity within and across MDAs is weak and underdeveloped. - Expected outputs of the institutions are very low, below expected standards, delaying task completion and affecting quality of service delivery. - Recommended mitigation: - Build the capacity of the MDAs beyond the normal civil service system. - Recruitment needs to be open and flexible for bespoke positions, especially in the professional and evolving ICT fields. ### Governance architecture - Problems identified: - The current government inherited a bloated governance system of parallel structures with overlapping functions. - The legal instruments, especially the acts that created the MDAs, are conflicting, cumbersome, and full of gaps, creating rivalry and unhealthy competition for resources and attention. - Proposed approach: - A streamlined structure to mitigate overlap, clearly define roles and responsibilities, and create synergy among actors. - Review those acts and laws that create confusion and conflict among MDAs. - Extensive studies and consultation are envisaged as part of the background work for the 20-year plan to address root causes of incongruity, including: - how best to exploit regional opportunities to overcome the constraints of size; - how best to fuse the parallel systems inherited from the colonial era and convert them to support the developmental state model underlying the plan; - how best to undertake a comprehensive reform of the tax system to bring it in line with evolving subregional and national trends. ### Monitoring and evaluation (Section 8.6 and related figures) - Rationale: - Effective monitoring and evaluation is paramount for ensuring that the results and impacts of programmes and projects are assessed periodically. - A key lesson from implementation of the Agenda for Prosperity: need for a national system linking MDAs and local councils. - Current state: - There are M&E units in MDAs and M&E officers at district councils, but no national monitoring system that links MDAs and councils and conducts periodic monitoring of key projects. - Government commitments for the MTNDP: - Establish a robust monitoring and evaluation system that will: - Reinforce the institutional arrangements with adequate capacity to support and sustain effective monitoring and evaluation. - Strengthen, harmonize, and effectively coordinate existing mechanisms for monitoring and evaluating the effectiveness of public sector service delivery. - Develop an efficient system for generating relevant, reliable, and timely quantitative and qualitative gender-disaggregated information. - Manage an effective feedback mechanism that makes statistical information available in useable form to the government, private sector, development partners, and civil society. - Ensure a holistic approach to M&E that would include monitoring of inputs (including resource allocation and use) as well as processes and outputs, in addition to evaluating the outcomes. - Foster participatory M&E. - Improve coordination between central management agencies and MDAs to strengthen demand for M&E. - Build the technical capacity for M&E at all levels. ### Institutional arrangements for M&E (Section 10.5.1) - Framework and roles: - The M&E framework will link the national and central government with the local council level for implementation of the MTNDP. - At the national level, the Office of the President, MoPED, and the Ministry of Finance will provide leadership and policy guidance; a ministerial M&E committee will be set up. - At the central level, the M&E department in MoPED will lead on technical work related to monitoring and evaluating the MTNDP, including establishing sector or cluster working groups for MDAs. - At the district level, working groups will be set up by the M&E department in MoPED in close collaboration with the district councils. - MoPED is mandated to coordinate the decentralized M&E system, and Statistics Sierra Leone is responsible for the production of statistics. - The Office of the President provides strategic leadership at both national and local levels; the Chief Minister in the Office of the President serves as the Chair of the Core Technical Team, which comprises MDAs and development partners. - Parliament and Parliamentary Select Committees (on Finance, etc.) play oversight and monitoring roles and may influence government policies through the annual budget and interaction with civil society. - The Ministry of Planning and Economic Development (MoPED): - plays the lead role in coordinating all MDAs, regions, and districts in monitoring and evaluating the MTNDP to ensure efficient and effective utilization of resources; - provides oversight in implementation of activities in line with national priorities; - serves as an interface between the government and other stakeholders; - shall coordinate intra-governmental activities relating to national development and shall develop a database (by sector and region) of all support and interventions (from development partners, the private sector, and civil society organizations). - Functions to be established: - Establish a Monitoring and Evaluation Department within the Ministry of Planning and Economic Development mandated to: - Lead the monitoring and evaluation of all public-sector programmes and projects, including donor-funded projects. - Design and implement a national monitoring and evaluation system, including manuals and guidelines, that link the MDAs, local councils, MoPED, and the Office of the President to ensure effective monitoring and evaluation. - Establish and maintain a database on projects and prepare periodic reports on all projects under the MTNDP. - Conduct evaluation studies as well as baseline and mid-term review reports on all projects and programmes. ### MTNDP and performance management - Linking performance management and the MTNDP: - Setting goals and targets is not enough; performance management will be directly linked with the MTNDP to increase accountability and improve execution of government programmes. - The Office of the President will be supported by MoPED in implementing performance contracts with government institutions and line ministries. - Effectiveness of programmes will be measured against an agreed set of indicators (governance, economic, and social), mostly informed by the results framework set out in the MTNDP; rewards or corrective actions will be taken accordingly. - Performance of government institutions and senior policymakers will be discussed annually; outcomes will inform contracting, planning, and the review of targets where possible. - Institutional steps: - The government is establishing a Monitoring and Evaluation Department and a Performance Management Programme Unit within the Ministry of Planning and Economic Development. *Source: Sierra Leone’s Medium-term National Development Plan 2019–2023 (excerpts provided in the content unit).* ### 8.7 Strengthening ### 8.7 Strengthening statistical systems ### Overview - The National Statistical System (NSS) is responsible for generation of micro and macro data, survey and administrative data; it is coordinated by Statistics Sierra Leone. - Statistics Sierra Leone was created by the Statistics Act 2002 as a semi-autonomous corporate institution with the statutory mandate to coordinate, collect, process, and disseminate official statistics. - The first National Strategy for the Development of Statistics covered 2008–2012; the second strategy covers 2016–2021 and a mid-term review has just been completed. - The NSS comprises Statistics Sierra Leone, all ministries, departments, agencies (MDAs), local councils, non-governmental organizations, private firms, and universities that generate data in the course of their mandates. ### Importance and uses of official statistics - Official statistics provide information and evidence for formulation, implementation, monitoring, and evaluation of government policy and programmes. - Statistics are needed to monitor international agendas such as the UN Sustainable Development Goals and Agenda 2063 of the African Union and to domesticate these agendas into national development plans. - Major users: government, parliamentarians, development partners, researchers, and the general public. ### Recent efforts - Second National Strategy for the Development of Statistics launched in 2016 as a five-year road map for coordination of statistical activities. - Statistics Sierra Leone signed memoranda of understanding with some MDAs and deployed staff in nine MDAs to strengthen data collection systems and procedures. ### Key challenges - Weak governance structures and institutional coordination among MDAs in the NSS. - Legal and policy framework is weak; the Statistics Act of 2002 is inadequate and there is no accreditation policy for official statistics, resulting in MDAs producing divergent statistics on the same indicator. - Inadequate physical infrastructure for Statistics Sierra Leone; many MDAs lack viable statistical units; equipment is inadequate; paper-based instruments are still used. - Skills gap: few trained staff to support statistical activities. - Funds allocated to Statistics Sierra Leone and statistical activities in the NSS are grossly inadequate; disbursement is irregular and untimely, affecting the statistics production calendar; staff conditions remain challenging. - Limited awareness among policymakers about the importance of statistics, which affects demand; low donor confidence has negatively impacted donor funding. ### Opportunities and enablers - High demand for data to monitor national and international development agendas opens opportunities to expand statistics for various indicators. - Political and donor goodwill exists to support statistical activities critical for monitoring SDGs and the MTNDP. - Widely available ICT equipment can be used for collection, processing, and dissemination of high-quality statistics. ### Strategic objectives - Credible statistics in policy design, monitoring, and evaluation produced and disseminated in a well-coordinated environment by well-trained and motivated staff. - Transformation from paper-based to modern ICT infrastructure-based systems supporting large-scale surveys and administrative data collection for timely delivery of quality statistics. - Expansion of the range, coverage, and frequency of high-quality statistics and statistical activities to monitor the economy and implementation of the MTNDP and SDGs for better service delivery. ### Key targets - Strengthen the legal framework and infrastructural capacity of the NSS for coordination of statistical activities to support evidence-based policy design and implementation. - Build modern ICT and geographic information system infrastructure for harmonization and delivery of statistical methods, products, and services. - Conduct more frequent and relevant statistical activities to provide credible data for monitoring economic, health, social, and demographic indicators of the MTNDP. ### Policy actions (numbered) 1. Review the Statistics Act 2002 to strengthen the mandate of Statistics Sierra Leone to coordinate the entire NSS. 2. Construct a six-storey Statistics Sierra Leone headquarters building plus district offices to enhance statistical coordination at the local council level in the regions. 3. Strengthen MDAs and local councils to establish viable statistical units and develop statistical plans to guide the compilation of administrative statistics. 4. Develop and implement the third National Strategy for the Development of Statistics through a bottom-up approach. 5. Develop a data certification and data access policy. 6. Strengthen the staffing, skills capacity, and emoluments of personnel at Statistics Sierra Leone, MDAs, and local councils to collect, analyse, and disseminate high-quality data required for the monitoring of the MTNDP. 7. Provide a basket fund to be managed by both the government and development partners to support sustained statistical activities in the country in terms of finance, training, material, and equipment. 8. Migrate data collection methods and procedures from paper-based systems to ICT-based systems. 9. Develop a national database that integrates all MDA/local council databases. 10. Use geographic information system and spatial technology for data collection and dissemination. 11. Expand the range, coverage, and frequency of high-quality statistics and statistical activities by undertaking the following specific surveys and rebasing: - Rebase consumer price index and national accounts to a more recent year (e.g. 2018) - Sierra Leone Integrated Household Survey 2021 - Multiple Indicator Cluster Survey 7 2022 - Demographic Health Survey 2023 - Labour Force and Employment Surveys 2020 - Agricultural census in 2020 - Business Establishments Census 2019 - Other socio-economic data collection activities needed to monitor the economic and social impact of policy *Sierra Leone’s Medium-term National Development Plan 2019–2023 — Section 8.7* --- _Source: https://www.imf.org/-/media/files/publications/cr/2019/1sleea2019002.pdf_