Members of Parliament have approved the FY 2026 Supplementary Budget presented by the Minister of Finance, Sheku Ahmed Fantamadi Bangura, as Sierra Leone moves to address the economic pressures caused by rising global oil prices and the ongoing conflict in the Middle East.
The supplementary budget, themed “Strengthening Budget Credibility to Safeguard Macroeconomic Stability and Protect the Livelihoods of Citizens,” seeks to revise the original fiscal framework and maintain economic stability amid emerging global challenges.
Presenting the budget to Parliament, Minister Bangura explained that international oil prices have risen above the government’s earlier projection of US$70 per barrel since March 2026. According to him, the increase has affected economic growth prospects, contributed to inflationary pressures, and worsened the country’s terms of trade.
He noted that the surge in global oil prices has increased government expenditure, including the introduction of fuel subsidies in April 2026 and additional energy subsidies to the Electricity Distribution and Supply Authority (EDSA) to support payments to Independent Power Producers.
Finance Minister further disclosed that revenue shortfalls recorded during the first half of the year are expected to continue due to reduced demand for petroleum products and slower economic activity.
“To offset recurrent expenditure pressures, government must rationalise the domestic capital budget in line with the updated Public Investment Programme and the revised capital spending envelope,” Minister Bangura stated.
He emphasised that the adjustments contained in the supplementary budget are aimed at protecting budget credibility, sustaining macroeconomic stability, and safeguarding citizens’ livelihoods during a period of global economic uncertainty.
Minister Bangura also highlighted that Sierra Leone entered 2026 with stronger economic fundamentals after achieving significant macroeconomic stability in 2025 through prudent fiscal and monetary policies.
He said the economy recorded a growth rate of 4.8% in 2025, exceeding projections and performing above the average growth rate for Sub-Saharan Africa. The growth, he explained, was driven by increased agricultural production under the Feed Salone Programme, improved iron ore output, and expansion in the manufacturing and services sectors.
The Minister added that inflation declined significantly, falling to 4.4% in December 2025 from 13.8% in 2024 and 52.2% in 2023. He attributed the improvement to tight monetary policy, fiscal consolidation, exchange rate stability, and declining global food and oil prices.
During the debate, Members of Parliament from both the ruling Sierra Leone People’s Party (SLPP) and the opposition All People’s Congress (APC) commended the Ministry of Finance for the economic reforms and policies that contributed to stabilising the economy.
However, lawmakers urged government to strengthen domestic revenue mobilisation, improve accountability, and ensure prudent management of public resources.
The approved supplementary budget is expected to serve as a corrective fiscal measure to protect Sierra Leone’s economic gains, maintain fiscal discipline, and reduce the impact of global economic shocks on citizens.