Official websites use .gov
A .gov website belongs to an official government organization in the United States.

Secure .gov websites use HTTPS
A lock ( ) or https:// means you’ve safely connected to the .gov website. Share sensitive information only on official, secure websites.

Liberia Compact

The $257 million Liberia Compact aimed to encourage economic growth and reduce poverty in Liberia by addressing the inadequate access to reliable and affordable electricity in the country and the poor quality of road infrastructure.

The compact included:

  • Funding for the rehabilitation of the Mt. Coffee Hydropower Plant,
  • Development of a training program for technicians in the electricity sector,
  • Supporting the creation of an independent energy sector regulator,
  • Supporting a management services contract to the Liberia Electricity Company aimed at improving the delivery of electricity services, and
  • Building capacity and strengthening institutions for a cost-effective approach to nationwide road maintenance.
The compact planned to significantly enhance Liberia’s participation in the U.S. Government’s Power Africa initiative. As of compact development, only two percent of the population had access to the electric grid, and 84 percent of Liberians were living on less than $1.25/day.

This partnership was designed to complement the U.S. Government’s efforts to help Liberia recover from the Ebola outbreak. The Liberian Government’s efforts to address the epidemic required reallocating resources planned for development of the energy sector. Over the next 20 years, MCC expects 528,000 people to benefit from the compact.

  • Original Amount at Compact Signing:
    $256726000
  • Amount spent:
    $236586078
  • Signed:
    October 2, 2015
  • Entry Into Force:
    January 21, 2016
  • Closed:
    January 21, 2021

Project Results

Energy Project

  • $208,750,770
    Original Compact Project Amount

Estimated Benefits

Estimated Benefits for the Energy Project
Time Estimated Economic Rate of Return (ERR) over 20 years Estimated beneficiaries over 20 years Estimated net benefits over 20 years
Not specified 528,000 $207,000,000

Estimate excludes water pipeline costs and benefits

Project Description

The Energy Project is comprised of interconnected activities aimed at:

  • Enhancing power generation,
  • Strengthening the capabilities of utility commercial operations, and
  • Supporting the development of an independent electricity regulator.
The Mt. Coffee Rehabilitation Activity aims to increase the amount of electricity generated in Liberia, facilitate lower overall electricity rates, and contribute to increased reliability and adequacy of electricity. This activity addresses the lack of access to affordable and reliable electricity by targeting the insufficient supply of electricity in Liberia.

In addition to rehabilitation of the hydropower plant, activities under the Energy Project include the development of a training program for energy technicians and management, the reconstruction of a water pipeline linking the Mt. Coffee dam to the White Plains water treatment plant, improved customer service for the electricity utility, the establishment of an independent electricity regulator, and support for a management services contractor to improve the electric utility’s performance.

Roads Project

  • $20,070,000
    Original Compact Project Amount

Estimated Benefits

Estimated Benefits for the Roads Project
Time Estimated Economic Rate of Return (ERR) over 20 years Estimated beneficiaries over 20 years Estimated net benefits over 20 years
Not specified 0 $0

Project Description

This project aims to strengthen national road maintenance planning. Inadequate road infrastructure significantly hinders economic growth in Liberia. The Roads Project focuses on enhancing institutional capabilities to improve road maintenance, and conducting critical periodic maintenance works on key segments of the primary paved and unpaved road network. The project consists of two activities:

The National Road Maintenance Activity provides for matching Government of Liberia contributions up to $15 million dollars into a Matching Road Maintenance Fund to conduct periodic maintenance on primary paved and unpaved roads in fair condition. Conducting periodic maintenance on these roads should improve their condition and extend their useful life.

The Roads Sector Reform Activity includes training and technical assistance in data collection, maintenance planning and institutional systems at the national level, including the Ministry of Public Works and The Office of National Road Fund. This activity aims to improve the prioritization of maintenance projects and institutional management of the National Road Maintenance Activity.

As of Wed May 12 2021 00:00:00 GMT-0400 (Eastern Daylight Time)