The International Monetary Fund (IMF) has approved a new financing arrangement worth approximately US$211.5 million for Sierra Leone to strengthen the country’s resilience to climate-related shocks and support long-term economic stability.
The approval, announced on Thursday, falls under the IMF’s Resilience and Sustainability Facility (RSF), a lending programme designed to assist countries undertaking reforms aimed at addressing climate vulnerabilities and improving economic resilience. Sierra Leone is among the first countries in the region to benefit from the facility.
In a related development, the IMF Executive Board has also completed the third review of Sierra Leone’s programme under the Extended Credit Facility (ECF), resulting in the immediate disbursement of about US$31.7 million to support the government’s ongoing economic reform agenda.
The latest financing is expected to support key reforms focused on improving climate adaptation, strengthening disaster preparedness, enhancing public investment planning, and safeguarding critical infrastructure from the increasing impacts of climate change. Sierra Leone remains highly vulnerable to extreme weather events, including floods, landslides, coastal erosion, and shifting rainfall patterns that continue to threaten livelihoods and economic growth.
The approval marks another milestone in Sierra Leone’s engagement with the IMF. The country is currently implementing a reform programme supported by a US$253 million Extended Credit Facility approved in 2024, aimed at restoring macroeconomic stability, reducing inflation, strengthening public finances, and promoting sustainable growth.
Government officials have previously indicated that access to the RSF will complement ongoing reforms by providing long-term financing for climate-related investments, while strengthening the country’s capacity to withstand future environmental and economic shocks.
The combined IMF support is expected to provide additional fiscal space for Sierra Leone, as it continues efforts to sustain economic recovery, strengthen public finances, and address the growing challenges posed by climate change.