Liberia’s CBL and LTA Sign MOU to Enhance Access to Financial and Telecom Services

The Central Bank of Liberia (CBL) and the Liberia Telecommunications Authority (LTA) recently signed a Memorandum of Understanding (MOU), to strengthen collaboration on improving access to financial and telecommunications services in Liberia.

This landmark agreement signed by Hon. Abdullah L. Kamara, Acting Chairperson of the LTA, and Hon. Henry F. Saamoi, Acting Executive Governor of the CBL, aims to accelerate financial inclusion and ensure the secure delivery of financial services through telecommunications network.

The MOU outlines the intent of the LTA and CBL to bridge access gaps and facilitate affordable access to financial, and telecommunications services in the country.

The MOU will also ensure service providers utilize telecommunications networks to provide financial services while complying with relevant laws and regulations and promote interoperability among financial services providers for improved customer transactions.

As part of the collaboration, the LTA and CBL will also share and exchange information necessary for the licensing, regulation and monitoring of banks, and non-bank financial institutions and the services they provide to subscribers via licensed telecommunications networks.

Speaking at the signing of the MOU in the boardroom of the CBL, Acting Executive Governor Saamoi stressed the importance of collaboration to improve the two sectors for the good of the Liberian economy, especially the ordinary people.

“The Central Bank of Liberia, as the regulator of the financial sector, recognizes the vital role that telecommunications plays in the delivery of financial services. The ability of banking institutions, non-bank financial service providers, and other entities to securely and efficiently deliver service to their customers hinges on the robustness of our telecommunications infrastructure,” CBL Acting Executive Governor Saamoi said.

“The success of this collaboration will depend not only on our leadership of the LTA and CBL but also on the commitment of all stakeholders including the Legislature, other regulatory agencies, and private sector actors. We are confident that with our combined efforts, we will achieve the goal set out in this MOU and contribute significantly to the economic stability and growth of Liberia,” Mr. Saamoi added.

The Acting LTA Boss also emphasized that the collaboration “offers enormous opportunities for inclusion, efficient service delivery, economic growth, and national development”.

“Despite the LTA and CBL having independent statutory mandates to regulate completely different sectors, innovation as we all have observed is and will continue to blur the lines that separate our sectors to enhance cooperation and more effective regulators,” said Hon. Kamara.

“We truly believe this would bring sanity to our respective roles and regulatory efforts as we strive to safeguard the rights and interests of consumers and foster innovation and sectorial development for the betterment of our society.”

The MOU reemphasizes the LTA’s role on the National Payment Systems Council (NPS) toward supporting the CBL in ensuring safe, efficient payment and securities systems, and access to modern, affordable payment instruments.

The MOU will also enhance collaborative approaches to address the issues of electronic transaction fraud, privacy breaches, cyber-attacks, and incident recovery. These measures aimed at protecting consumers’ rights and maintaining the quality, integrity, and resilience of licensed telecommunications networks transmitting financial services.

The two entities will also provide technical inputs in drafting and reviewing legal and regulatory instruments affecting service providers and customers of both sectors. This will include the conduct of joint investigations and inspections to ensure compliance with national laws.

In addition to regulatory and technical collaboration, the LTA and CBL will support public awareness activities to inform the public about relevant laws, regulations, and policies impacting service providers and consumers.

The LTA will lead efforts to develop and enforce technical standards and guidelines for telecommunications networks, while the CBL, as the regulator and overseer of the Financial Sector and Payment Systems, will develop and enforce rules, regulations, systems, platforms, and applications used to enable and provide financial services through telecommunications networks, and promoting interoperability.

This collaboration will drive financial inclusion and enhance the efficiency of Liberia’s financial and telecommunications sectors, thereby impacting the economy as envisaged in the Government’s ARREST Agenda, the National Development Plan for the Country.