Minister of Finance, Sheku Ahmed Fantamadi Bangura
Minister of Finance Sheku Ahmed Fantamadi Bangura, on Friday, 15th November 2024, delivered what many have described as a welfare, people-centred budget for 2025, titled Improving the Well-Being and Quality of Life of Sierra Leoneans.
The Minister of Finance, Sheku Fantamadi Bangura, highlighted the progress made despite the uncertainties in recent years, which adversely affected the domestic economic performance and the policies the government formulated and implemented in 2023 and 2024 to mitigate the impact of the shocks and correct policy slippages.
He further stated that the government will continue to improve access to healthcare services, essential drugs and medical supplies and health infrastructure, in line with the National Development Plan, the Universal Health Coverage 2030, and Goal 3 of the Sustainable Development Goals (SDGs) 2030.
The target is to reduce maternal mortality from 443 to 70 per 100,000 live births, infant mortality from 75 to 37.5 per 1,000 live births, increase health worker density from 13.4 to 20 per 10,000 population, and decrease pocket healthcare expenses from 50.4 per cent to 40 per cent by 2030. He noted that domestic revenue for FY2025 is projected at NLe18.9 billion (9.8 per cent of GDP). Income taxes will contribute NLe6.7 billion goods and services tax (GST), NLe4.3 billion; customs and excise duties, NLe4.1 billion mining royalties and licenses, NLe1.1 billion; fisheries royalties and licenses, NLe171.7 million parastatal dividends, NLe396.0 million; revenues from other Government departments, including Treasury Single Account (TSA) Agencies and royalty on timber exports will amount to NLe1.8 billion. Road user charges and vehicle licenses will contribute NLe249.1 million to domestic revenue in 2025. He continued that total expenditure and net lending for the 2025 fiscal year are projected at NLe35.3 billion (18.3 per cent of GDP), with recurrent expenditures projected at NLe22.1 billion (11.4 per cent of GDP) and capital expenditures and net lending are projected at NLe13.0 billion (6.7 per cent of GDP), of which, capital expenditure is NLe11.7 billion and capital transfers for the recapitalisation of the Bank of Sierra Leone is NLe1.3 billion. Foreign-financed capital expenditure is projected at NLe9.5 billion (4.9 per cent of GDP) and domestic-funded capital expenditures at NLe2.2 billion (1.1 per cent of GDP).
The minister also mentioned that the government Wage Bill is projected to increase to NLe7.6 billion (3.9 per cent of GDP) in 2025 from NLe6.5 billion (3.9 per cent of GDP) in 2025. He reiterated that the government’s commitment to a 45 per cent increase in salaries for teachers, which started in 2023, remains intact. Teachers will, therefore, receive the third and final tranche of a 15 per cent increase in January 2025. The government will also recruit 2,000 additional teachers and reassess and promote 3,043 teachers, effective September 2025 Recruitment of 3,000 health workers effective July 2025 and a 15 percent salary increase for health workers effective April 2025. Recruitment of an additional 1,000 civil servants; award a 30 per cent salary increase effective April 2025 for civil servants in Grades 8 to 14 who have not received any pay raise since 2018. Recruitment of 500 staff by tertiary educational institutions effective September 2025 as follows: Universities – 300, Colleges -100 and Technical and Vocational Institutions -100 staff. A 15 per cent salary increase is awarded to the staff of tertiary education institutions effective April 2025. Recruitment of 600 military personnel effective July 2025.
The military will receive a 15 per cent salary increase effective April 2025. In addition, 500 military health workers will be recruited effective March 2025. All military health workers will be awarded a 15 per cent salary increase effective April 2025, as in the case of the other health workers. Recruitment of 1,000 new employees for the Sierra Leone Police effective July 2025. A 15 per cent salary increase will be awarded to the Sierra Leone Police, effective April 2025. Recruitment of 1,000 new employees by the Sierra Leone Correctional Services, effective July 2025.
A 15 percent salary increase will be awarded to the Sierra Leone Correctional Services effective April 2025. Recruitment of 200 new employees by the National Fire Force effective July 2025. A 15 per cent salary increase will be awarded to the National Fire Force effective April 2025. A cost-of-living adjustment of 5 per cent for Foreign Missions and the Judiciary, effective April 2025, government pensioners will receive a 25 per cent increase in their pensions effective April 2025.
Other key areas in the budget are expenditures on Social Safety Net, the Feed Salone Programme, and Energy and Infrastructure. In his closing remarks, the Minister emphasised that government employees who retired before the establishment of the National Social Security and Insurance Trust (NASSIT) and Political Pensioners Core staff of Local Councils are awarded a 30 per cent salary increase effective April 2025 and limit the recruitment of consultants to 50 personnel in FY2025. The 2025 Budget, accordingly, seeks to improve the well-being and quality of life of all Sierra Leoneans.
