Overall Assessment Liberia has now reached a point where it is well positioned to reduce poverty and build a more inclusive society. The World Bank Group has contributed through analytic work that supports the overall efforts – through assistance for public finance and institution building, and through major support for infrastructure. Although the World Bank Group has not been a key player in the agenda for growth and human development, it has made a good start and supported other partners. A key part of the World Bank Group’s contribution has been its role in coordinating the assistance of many partners. In some areas, the World Bank Group has taken the lead, but even in areas led by other partners, it has been willing to fill gaps. If the Liberia program succeeds, it will be judged as one of the better examples of a concerted program where partners work together to limit transaction costs to the government – as well as an instance where the common good took precedence over institutional prerogatives.
Lessons The Liberia program has been distinctive in many ways, including the initial conditions of total collapse, which are seldom seen among member countries. Since 2006, the government has shown exceptional ownership of the assistance program. These factors have enabled the World Bank Group to tackle many difficult issues – often with good results. Some of the lessons gleaned from this experience are: In developing the capacity of public-sector agencies in FCSs, an integrated package of policy advice, financial and technical assistance as well as logistic support, can help deliver results. This is illustrated by the assistance of the World Bank on public financial management, where the package included economic and sector work, technical assistance projects, budget support, as well as the contractual provision of consultants and professional staff, and training and facilities. In FCSs, unemployment is likely to be pervasive and often constitutes a major risk factor for peace and stability. It may be helpful to integrate explicit job creation objectives in the assistance program. In Liberia, job creation took on an increasingly larger role over time in World Bank Group assistance. Early projects sometimes needed funding supplements or were restructured for this purpose, which delayed project completion. In supporting infrastructure, a programmatic approach may provide more scope for efficiency gains compared to a series of investment projects. With a flexible program in place, the World Bank Group is better equipped to respond to unexpected changes, such as the collapse of a bridge or a shift in government priorities, which have occurred from time to time in Liberia. Partnerships with the private sector (foreign or domestic) can help address major issues, such as shortages of capital, management and skills. In Liberia, the
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Liberia Country Program Evaluation: 2004–2011