President Julius Maada Bio and Commissioner General Jeneba Bangura
The National Revenue Authority (NRA) is under intense scrutiny as the Ministry of Finance demands increased revenue collection to fund the government’s lavish spending. Recent meetings have highlighted President Julius Maada Bio’s dissatisfaction with the NRA’s ability to generate revenue, which is critical for meeting the government’s rising wage bill and other excessive spending.
During a recent meeting at the Customs Department, Finance Minister Sheku Ahmed Fantamadi Bangura delivered a stern message on President Bio’s behalf, expressing frustration with the NRA’s failure to meet revenue targets. He emphasised that the country’s revenue-to-GDP ratio is only 8.1%. Given the high level of government spending, he emphasised the critical need for increased revenue mobilization. Minister Bangura urged NRA employees to accept their responsibilities and fully enforce tax laws and reforms.
He cited a staggering 25% shortfall in revenue collection since January 2025, as reported by Commissioner General Jeneba Bangura. This shortfall raises serious concerns among tax experts about the government’s aggressive push for revenue generation, particularly as economic activity in the country continues to decline. An anonymous tax expert expressed concerns about the long-term viability of robust tax collection efforts in a struggling economy. He noted that many businesses are facing closure due to high taxes and declining sales, which are exacerbated by unreliable electricity supply, forcing business owners to rely on expensive generators.
This expert also urged the government to reconsider the tax breaks granted to large importers, arguing that these breaks frequently fail to benefit the country effectively. “The government’s urgent revenue collection efforts appear to be more focused on financing an inflated wage bill than promoting genuine economic growth,” the expert observed. According to the Finance Minister, the wage bill in 2025 increased to NLe 7.9 billion (7.9 Trillion Old Leones), up from NLe 6.5 billion (6.5 trillion Old Leones) in 2024.
This increase has a significant impact on public finances, as wages have accounted for 50-54% of domestic revenue over the last five years. Critics argue that a significant portion of this wage bill goes to government political employees, many of whom contribute little to the economy. Citizens have called for a reduction in the creation of jobs for political loyalists who fail to drive the country’s economic development. “To relieve the strain on public finances, the government should consider merging or closing redundant agencies,” said the tax expert. For example, the National Protected Areas Authority (NPAA) and the Environmental Protection Agency (EPA) could be combined into a single department within the Ministry of Environment.
Additionally, the Ministry of Youth and Sports could be streamlined, and there is an urgent need to reduce staff numbers at embassies around the world and eliminate ghost workers in various Ministries, Departments, and Agencies (MDAs). Hon. Abdul Kargbo, the opposition leader in the Sixth Parliament, has also spoken out on the issue, citing a report from the Budget Advocacy Network-Sierra Leone. He revealed that President Bio has spent an astonishing NLe 191.8 million on overseas travel in just one year since retaking the presidency following the contentious June 2023 elections. Kargbo pointed out that travel expenses alone account for 38% of domestic interest payments on domestic borrowing, which represents a sizable portion of domestic income.
The current situation raises serious concerns about the government’s fiscal policies and priorities. As revenue collection efforts increase, the long-term viability of such measures in the face of a declining economy remains uncertain. The government’s emphasis on financing an inflated wage bill, combined with mounting pressure from both the NRA and the public, suggests a need for a rethinking of spending patterns and economic strategies. As the NRA works to meet the government’s revenue demands, the overarching challenge remains: how to strike a balance between the need for more revenue and the realities of a struggling economy and the well-being of everyday Sierra Leoneans. As stakeholders try to navigate these turbulent economic waters, the call for a more prudent approach to public spending and a rethinking of tax policies grows more urgent.
