Sierra Leone

Sierra Leone's recent history has been marred by a devastating civil war that ended in 2002. Despite significant economic growth in the years following, the country still grapples with the lingering impacts of the war, recurrent pandemics, and polarized politics, which hinder its progress. The majority of Sierra Leoneans are engaged in subsistence agriculture, yet the nation boasts abundant natural resources, including iron ore, diamonds, gold, bauxite, and rutile. Post-war governments have faced the formidable challenge of reconstructing the nation's physical and social infrastructure and promoting reconciliation.

On June 24, 2023, Sierra Leone conducted its sixth general election since the end of the civil war. The incumbent, President Julius Maada Bio of the Sierra Leone People’s Party (SLPP), secured re-election with 56% of the vote. The ruling party also gained a majority in Parliament with 81 seats, surpassing the opposition All People’s Congress (APC), which won 54 seats. The current Parliament, unlike its predecessor, which comprised four political parties and independents, is now a two-party legislature. Post-election tensions between the ruling and opposition parties posed a risk to national stability. However, intervention by regional organizations such as the African Union and ECOWAS, with support from the Commonwealth, led to the signing of the 'Agreement for National Unity' in October 2023. This accord has been pivotal in maintaining peace.

The government unveiled the new Medium-Term National Development Plan (MTNDP) for 2024-2030, which outlines the administration's short-term and long-term objectives.

Read More

Read Less

Real GDP grew an estimated 4.5% in 2025, up from 4.4% in 2024, supported by robust agriculture under the Feed Salone program and stronger services — particularly retail and wholesale trade — which offset weaker mining output. Private investment and household consumption, aided by lower inflation, drove demand-side growth, while government consumption declined amid fiscal consolidation. Growth is projected to hold at 4.5% in 2026 due to higher energy costs and tight macroeconomic policies, rising to 4.7% in 2027, before softening temporarily in 2028 amid election-related uncertainties.

Inflation fell to a multi-decade low of 4.3% in December 2025, supported by a stable currency, moderating reserve money growth, stronger domestic food production, and lower international prices, prompting a cumulative 800 basis point cut in the monetary policy rate to 16.8%. Inflation rebounded to 8.1% in February 2026, reflecting a 14% pump price increase in January, and is projected to average 10.4% in 2026 as Middle East conflict pushes up freight, fertilizer, and oil costs — triggering a further 12% domestic pump price increase in March 2026.

The fiscal deficit narrowed to 4.3% of GDP in 2025 from 5.1% in 2024, with a primary surplus of 0.5% of GDP versus a primary deficit of 2.1% in 2024. Revenues rose to 13.2% of GDP (including grants), though arrears to domestic suppliers and Independent Power Producers accumulated. The current account deficit narrowed to an estimated 7.7% of GDP in 2025, with exports supported by cocoa and iron ore. Gross international reserves rose from $345 million in 2024 to $412 million in 2025, aided by IMF disbursements and $85 million in FX-bond purchases, though import cover remains critically low at 1.7 months.

The outlook hinges on sustained fiscal consolidation, tax administration, and public financial management reforms. Key downside risks include the conflict in Iran and climate shocks threatening agricultural growth.

Read More

Read Less

The Quality Essential Health Services and Systems Support Project ($60m - $40m IDA and $20m GFF) aims to increase utilization and improve the quality of reproductive, maternal, newborn, child and adolescent health and nutrition services, especially for the poor and vulnerable in five districts in Sierra Leone.

Free Education Project ($50 million) and Additional Financing ($35 million) aim to improve the management of the education system, teaching practices, and learning conditions in primary and secondary education. A total of 1.8 million students, 56,000 teachers in 7,900 primary and secondary schools have benefited from the project.

Skills Development Project ($20 million) supported increased access to demand-led skills training and helped build the foundations for a demand-led skills development system. A total of 18,277 students benefited from the training, out of which 7,565 are currently enrolled, and 10,712 completed training as of August 2022.

Productive Social Safety Net and Youth Employment Project ($42 million) aims to improve access to social safety nets and income-generating opportunities for targeted beneficiaries.

Energy: The Bank has stepped up its support to energy with an integrated strategy focusing on (i) ensuring regional energy trade with ECOWAS countries, (ii) ambitious targets for grid and off-grid energy access, and (iii) turnaround of energy sector utilities to enable private sector investment in power generation.

Smallholder Commercialization and Agribusiness Development Project reached 143,556 direct beneficiaries—43% of whom are women—exceeding the target of 40%. All PDO-level indicators have been surpassed.

West Africa Food Systems Resilience Program has made significant progress in addressing both immediate and long-term food insecurity challenges.

The Bank's support for structural reforms in Sierra Leone has been channeled through the Development Policy Operation (DPO), facilitating advancements across various sectors.

Read More

Read Less

The Country Partnership Framework (CPF FY21-FY26), approved in May 2020, has three focus areas: (i) sustainable growth and accountable governance; (ii) human capital acceleration for inclusive growth; and (iii) economic diversification, enhanced competitiveness and resilience; and three cross-cutting themes: governance, gender, and technology. The Performance and Learning Review (PLR) was presented by the WBG Board on July 1, 2024. For the remaining period of the CPF (FY24-FY26), the PLR made changes to the Results Framework, adjustments to risk mitigation measures to align with the new National Development Plan (NDP, 2024-30), the WBG’s Evolution Roadmap, and consolidated programs further in preparation for the next CPF.

The Sierra Leone portfolio comprises 17 projects with a combined total amount of almost $1 billion (13 national projects totaling $680.7 million and 4 regional projects with a total of $258.6 million). The portfolio is dominated by Infrastructure composed of energy and transport (34%), followed respectively by Prosperity: financial inclusion and governance (25%), Planet: agriculture and urban development (19%), People: education, social protection, and health (16%), and Digital (6%).

Read More

Read Less

International Finance Corporation (IFC)

IFC’s Country Analytic Note (CAN), a core diagnostic that identifies the barriers and untapped private investment opportunities, has presented three sectors with strong potential to attract private investment and advance Sierra Leone’s development objectives: agriculture, renewable energy, and financial sector. These sectors have been identified as having the greatest potential for job creation, economic diversification, and export growth. IFC’s current investment portfolio in Sierra Leone is focused on agribusiness and financial sector, with on-going engagements in energy, telecom, and agriculture value-chains.

World Bank Group Guarantee Platform

As of February 28, 2026, the World Bank Group Guarantee Platform, housed at MIGA, has an active exposure of $139.05 million in Sierra Leone – all of which represents MIGA-issued guarantees. This exposure covers three projects across the Telecommunications, Energy and Manufacturing (Agribusiness) sectors. Under the new WBG Guarantee Platform, MIGA will deepen collaboration across the Group to de-risk foreign investment and focus on projects that reflect the Platform’s core objectives to scale impact, mobilize private capital, support climate-aligned investments, and drive economic growth and job creation.

Read More

Read Less