The Sierra Leone Economic Era

In my findings and reviewed of our economy, I wascheck with customers in one of the busiest market
able to realised the problems and the reason for the(Dovecot), I asked one of them to comment on the
high prices of basic commodities. Prices haveprices of basic commodities. She said goods are very
escalated tremendously over the past years. Thisexpensive these days. I asked her, what type of policy
applies to both locally produced and imported items. Ashe thinks could be put in place in order to normalise
bag of cement is about Le32, 000. A Bundle of Zinc isprices. She said, “The only thing government should
about Le250, 000, whilst a bag of rice which is ourdo is to reactivate the price control system because in
staple food ranges from Le110,000 to Le120,000 andthe past it used to work effectively.
so are many other items. It appears as if there is anAs for shortage of foreign exchange and
increase in Prices for every commodity.unfavourable exchange rates, businessmen
In my researched, I noticed that Sierra Leoneexperience acute shortage of foreign exchange, and
Economic status is better than its neighbour’swhen available it is at prohibitive high exchange rates.
irrespective of the high increase in the prices of basicThe Leone has depreciated tremendously against
commodities. See an example of prices ofother foreign currencies.
commodities of one of our neighbouring country:Well as a patriot Sierra Leonean and a Research
In Liberia a bag of cement was sold between LDFellow, I will recommend the provision of urgent
280-300 during Taylor’s administration but isassistance to farmers. Meaning to provide financial
currently sold at LD 600 in present day Liberia. A 50Kgassistance to farmers in major agricultural areas to
bag of Rice was sold between LD 800-850 duringclear their farmlands and rehabilitate their plantations.
Taylor’s administration but is now sold at LD 1,750The improvement of feeder roads is also another
in present day Liberia. A gallon of gasoline was soldfactor to be urgently addressed to enable farmers to
between LD 140-150 during Taylor’s administrationtransport their goods in big towns. Improving feeder
but is now sold at LD 280 in present day Liberia. Aroads will facilitate the marketing of agricultural
pack of candle was sold between LD 25-30 duringproducts by local farmers in remote areas. Although
Taylor’s administration but it is currently soldthere are on going programmes, the government
between LD 80 in present day Liberia. A gallon ofshould consider giving priority to certain agricultural
Argo oil was sold between LD 275-300 in Taylor’sareas by providing much-needed funds directly from
administration but it is now sold for LD 650.the government budget.
The high prices of items are affecting households andIn addition, it will be good for the Government to
businesses in various spheres of life. In many cases,address some specific factors responsible for the high
prices have so prohibitive that people cannot afford tocosts of doing business. There are several of these
purchase essential items. I spoke with some businessbut I particularly concerned about the following:
people, and these were their responses. Aminata- The inefficiencies at the sea port relating to poor
Kalokoh sells local foodstuff and according to her shefacilities for cargo handling, theft, delays in
believed that increases in prices of commodities is duetransportation of goods and high shipping costs need
to the fact certain systems, which should have beento be addressed.
put in place, have not been done. I asked her to tell me- The non-availability of basic infrastructure is a cause
what exactly she meant, she said that the cost offor concern. I am particularly concerned about the
transportation is very expensive and the drivers areelectricity situation, but now it appears that the new
always increasing transport fares. Their reason forGovernment has been able to put modalities in place
doing so is that price of fuel is increasing everyday.with additional power by an Independent Power
What I gathered from our conversation was thatProvider (IPP) whilst we await the connection of the
when there is an increase in fuel there is also aBumbuna project.
corresponding increase in the prices of locally- There is need for more prudent management of the
produced commodities.economy by pursuing prudent fiscal and monetary
I went further to talk with a businessman called Juldehpolicies in order to stabilise the currency and keep
Bah who sells imported commodities like television setsinflation at acceptable levels.
and many others. His first response was that his- I also believe that certain sectors can be made to
customers claimed that money was hard to come andcreate significant and immediate positive impact on the
that business was getting stiff.economy. This is especially true of the marine sector
I further asked him why prices were increasingfor which there is considerable potential. The
everyday. He said the problem is with thegovernment should ensure the appropriate regulations
Government. Why the Government, I asked? He saidare enforced, and seriously consider the construction
the customs rate for clearing goods are too high andof fishing ports as a priority, whilst providing greater
this is reflected in their prices, as they would have toprotection to our waters.
get back their money spent. I also took my time to