Liberia
As a least-developed country (LDC), Liberia is a beneficiary of the EU's "Everything but Arms" (EBA) arrangement. The World Bank classifies Liberia as a low-income economy with a per-capita income of $772 in 2023. Total EU imports from Liberia amounted to about €610 million in 2023. As most of Liberia's exports enter the EU duty-free under the EU's normal tariff regime, the scope for preferential imports is limited - these amounted to €11.1 million in 2023.
What is the EBA?
The EBA arrangement covers all LDCs as classified by the United Nations. This arrangement enables duty-free and quota-free access for all products originating in LDCs except for arms and ammunition. Unlike beneficiaries of the Standard GSP and GSP+, LDCs are not excluded from the scheme if they benefit from other preferential arrangements or agreements with the EU.
At a glance: EU preferential imports from EBA beneficiary countries (2023, € million)
5.5M (2023)
Population
Presidential Republic
Government
4.7% (2023)
GDP Growth
10.1% (2023)
Inflation
$ 4.2B (2023)
GDP
Facts about Liberia's economy
West African Economy
Located in West Africa, Liberia is a market-based economy which is mainly dependent on its natural resources, foreign direct investment, and foreign aid.
Export Products
Liberia's most important export products in 2023 were natural rubber and palm oil. Liberia has the second largest ship registry in the world and the fleet represents about 12% of the world's ocean-going fleet.
Trade Partners
Côte d'Ivoire, India, and the EU are Liberia's most important trading partners, accounting for 22%, 14%, and 12% of overall trade, respectively (2023). Switzerland and the EU are the most important export markets for Liberian products.
Economic Structure
The Liberian economy is dominated by the agricultural sector. The most important cash crops include coffee, cocoa, oil palm, sugarcane, and rice. Additionally, rubber and timber are being produced. The country is rich in resources and has large reserves of iron ore but also possess diamond and gold deposits. Mining is the cornerstone of the manufacturing sector.
Usage of EBA Preferences
Because most of Liberia's exports enter the EU duty free under the EU's normal tariff regime, the role of EBA preferences was small in recent years - only 2% of the EU's total imports from the country used EBA preferences. However, the preference utilisation rate is high, 88% in 2023.
Trade with the EU
Total trade with the EU summed up to €386 million in 2023. The EU is Liberia's third most important trading partner with a share of about 12%.
Liberia and the EU
Imports from Liberia by product section (2023, € million)
Imports from Liberia over time (€ million)
LIBERIA AND THE EU GSP
Economic Impact
2%
Only a small share of Liberia's exports to the EU were eligible for EBA preferences in 2023.
88%
Liberia's preference utilisation rate in 2023.
100%
Share of zero-duty imports from Liberia. Most imports are duty-free under normal EU tariffs.
Preference utilisation and export diversification
EU imports from Liberia (€ million)
Preference utilisation (%) vs. total eligible imports (in € million)
Most EU imports from Liberia are duty free under the normal tariff regime, and therefore the share of EBA-eligible imports is limited. Nevertheless, eligible imports increased strongly from 2018 to 2022, although dropping again in 2023. Liberia’s preference utilisation rate was low until 2019, but since then increased to around 90% (although dropping somewhat from 97% in 2022 to 88% in 2023 amidst a sharp decline in the value of eligible exports as well). The main product group benefitting from EBA preferences is edible oils, with a utilisation rate of 96% in 2023.
The largest product sections under EBA (€ million, 2023)
With exports being concentrated on goods that already have free access to the European market, Liberia’s exports under the EBA were limited to exports of live trees and plants. In previous years, exports under the EBA also included articles of stone and plastic, as well as garments and headgear.
SUSTAINABLE DEVELOPMENT
The preferential access to the EU market granted by the EBA scheme is not bound to the ratification of international conventions. Nonetheless, Liberia maintains a high level of ratification of international conventions. The country has ratified 13 of the 15 international conventions on human and labour rights. Additionally, Liberia has ratified 8 environmental protection conventions and 4 conventions on good governance.
Core international conventions on human rights and labour standards
Ratified
- Convention on the Prevention and Punishment of the Crime of Genocide (1948)
- International Convention on the Elimination of All Forms of Racial Discrimination (1969)
- International Covenant on Civil and Political Rights (1976)
- International Covenant on Economic Social and Cultural Rights (1976)
- Convention on the Elimination of All Forms of Discrimination Against Women (1981)
- Convention Against Torture and other Cruel, Inhuman or Degrading Treatment or Punishment (1987)
- Convention on the Rights of the Child (1990)
- Convention concerning Forced or Compulsory Labour, No 29 (1930)
- Convention concerning Freedom of Association and Protection of the Right to Organise, No 87 (1948)
- Convention concerning the Application of the Principles of the Right to Organise and to Bargain Collectively, No 98 (1949)
- Convention concerning the Abolition of Forced Labour, No 105 (1957)
- Convention concerning Discrimination in Respect of Employment and Occupation, No 111 (1958)
- Convention concerning the Prohibition and Immediate Action for the Elimination of the Worst Forms of Child Labour, No 182 (1999)
Not Ratified
- Convention concerning Equal Remuneration of Men and Women Workers for Work of Equal Value, No 100 (1951)
- Convention concerning Minimum Age for Admission to Employment, No 138 (1973)
Additional Conventions
- Convention on International Trade in Endangered Species of Wild Fauna and Flora (1973)
- Montreal Protocol on Substances that Deplete the Ozone Layer (1987)
- Basel Convention on the Control of Transboundary Movements of Hazardous Wastes and Their Disposal (1989)
- Convention on Biological Diversity (1992)
- The United Nations Framework Convention on Climate Change (1992)
- Cartagena Protocol on Biosafety (2000)
- Stockholm Convention on persistent Organic Pollutants (2001)
- Kyoto Protocol to the United Nations Framework Convention on Climate Change (1998)
- United Nations Single Convention on Narcotic Drugs (1961)
- United Nations Convention on Psychotropic Substances (1971)
- United Nations Convention against Illicit Traffic in Narcotic Drugs and Psychotropic Substances (1988)
- United Nations Convention against Corruption (2004)
EU-Liberia Bilateral Development Cooperation
DG INTPA
Access all info about EU-Liberia relations on the International Partnerships website.