US Rate Climbing Again
By Varney K. Sirleaf
The increase in the exchange rate between the Liberian dollar ($L) and the United States dollar ($US) at the latter and early stages of both 2013 and 2014 which became a national issue for concern is again resurfacing on the exchange market.
The daily auction by the Central Bank of Liberia release yesterday, March 18 read as LD$84.0 to US$1 selling rate and LD$85.00 to US$1 as buying rate.
According to sample views from street vendors yesterday, some blamed the situation on the slow pace in business transactions in the last few weeks, while others said they are afraid of the recurrence of what happened before.
“I don’t understand what is happening with this rate issue; it has refused to go below 80,” one of the vendors who asked for anonymity said.
Others said the Central Bank and the Ministry of Finance have to work together to strengthen the economy in order to avoid the continuous increase in the exchange rate.
It can be recalled that in the early part of January the US rate fluctuated between 87/88 Liberian dollars to a single United States dollars something which caused serious economic problems in the country.
The CBL and the Ministry of Finance have always said Liberia operates a free economy where the exchange rate is determined by the market.