Virus Disease outbreak in Liberia, the International Finance Corporation (IFC), a member of the World Bank Group, has announced an agreement with GTBank Liberia to provide a $7.5 million liquidity facility.
Dubbed the Ebola Emergency Liquidity Facility, it is a rapid response facility that combines working capital and trade support to provide US dollar liquidity in order to finance the importation of basic goods in Liberia. According to a local Liberian newspaper, the facility will support the importation of basic goods, including energy, food and agricultural commodities, and other manufacturing goods that will help strengthen the economy following the Ebola crisis.
This initiative is part of the World Bank Group’s consistent efforts and commitments to provide support during the Ebola epidemic and prepare for economic recovery in countries most affected by the crisis.
“As the Ebola crisis continues, trade and business activity is declining and so we are facing increased liquidity risks. IFC, our long term partner, is demonstrating its commitment to development through this timely liquidity facility. Together, we hope to ease the pressure on the economy, and give Liberia a hope for recovery,” said Dan Orogun, Managing Director, GT Bank Liberia.
The implications of the outbreak has been clearly seen in a significant loss of human lives in the thousands, but has also wrecked whatever economic development had been achieved by the affected regions as trade has come to an almost absolute halt and investments are not forthcoming at the moment. Poverty has worsened and will increasingly deteriorate if these prevailing conditions continue, hence the frantic efforts by development institutions around the globe to restore economic sanity.
A recent World Bank Group report provided economic updates indicating that the economies of Guinea, Liberia and Sierra Leone will likely experience negative or contracted growth next year. The current outlook suggests it will take many more months to reverse the disaster caused by the epidemic.
Apart from this liquidity, the World Bank Group has already mobilized nearly $1 billion in financing for the three countries hardest hit by the Ebola crisis, including a $518 million for the emergency response. The funding is helping the three West African countries provide treatment, improve public health systems and contain the spread of infections as well as helping member communities cope with the economic impact of the crisis.
Recently, hopes emerged over a possible Ebola vaccine following a successful first human trial; however, efforts are ongoing to determine just how suitable this antidote could be for the entire human race.
By Emmanuel Iruobe
