The Country and its Economy

The economy of the Country is based on the theory and principle of the Free Enterprise System. The Goverment adopts the “Open Door Policy” to encourage investors and business participate productively in the economy. The Country is endowed with a tremendous natural resource potential and excellent commercial opportunities.

The “Open Door Policy” which permit the inflow and outflow of foreign capital and profits, continue sto attract a number of large foreign investors mainly in the production of the primari products for export. Export are dominated by iron ore, rubber and logs which together accounted for
85%-95% percent of export earnings throughout 1980’s.

The Country have a very large underutilized natural resource potential thus creating a tremendous scope for the development of processing industries designed for import substitution and export orientation.

Rural incomes in the 1980’s have been estimated at US$ 160 per capita, average per capita incombe in the formal sector of the economy was US$ 1,620.

The Liberian Dollar (currency) has served as legal tender since 1944 operating side by side with the United States Dollar on a one to one partity. In view of the depreciation of the Liberian dollar with respect to the United States Dollars, the cost of labour has significantly reduced.