The World Bank has introduced two significant reports aimed at guiding Sierra Leone toward sustainable growth amidst climate challenges. The Sierra Leone Country Economic Memorandum (CEM) and the Country Climate and Development Report (CCDR) provide insights into the nation's economic and environmental issues, proposing strategic pathways for resilience.
“These reports provide a comprehensive roadmap for addressing the economic and climate challenges facing Sierra Leone,” stated Abdu Muwonge, World Bank Country Manager for Sierra Leone. He emphasized that while the CEM addresses economic hurdles requiring ambitious reforms, the CCDR highlights urgent climate action needs. Muwonge assured of the World Bank's commitment to supporting Sierra Leone in implementing these strategies.
The CEM identifies persistent poverty and lower GDP per capita growth compared to other low-income countries as key concerns despite Sierra Leone's resource wealth. It points out macroeconomic instability due to weak fiscal policies, governance issues, high public debt, and a small private sector as major obstacles. The report recommends a growth strategy focusing on sectors like mining, agriculture, agro-processing, and labor-intensive industries. Proposed actions include restoring macroeconomic stability through fiscal consolidation, recalibrating state roles by investing in climate-resilient infrastructure, enabling private sector access to resources, and enhancing human capital through improved education.
“The CEM is a vital tool in understanding the economic challenges facing Sierra Leone," said Smriti Seth, World Bank Senior Economist and lead author of both reports. She noted that the country possesses resources with potential for significant growth.
The CCDR evaluates socio-economic development prospects within climate change contexts. With Sierra Leone ranking among the 15 worst-affected economies by climate impacts such as temperature increases and erratic rainfall patterns threatening agriculture and infrastructure, it projects GDP losses of 9-10% by 2050 if no action is taken. The report suggests three pathways: developing green energy through resilient infrastructure investments; promoting climate-smart agriculture; strengthening social resilience via improved health infrastructure.
To achieve these goals requires substantial financial investment from domestic taxes, green private sector investments, and international support.
“The CCDR complements the CEM by showing that climate change is not only a threat to Sierra Leone’s development goals but also a powerful lens for identifying opportunities,” added Sabrina Haque, World Bank Environmental Specialist.