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    Home » Minister of Commerce Leads Signing of Controversial MIP Resolution in Alleged Breach of PPCC and PFM Laws
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    Minister of Commerce Leads Signing of Controversial MIP Resolution in Alleged Breach of PPCC and PFM Laws

    Chester SmithBy Chester SmithNovember 2, 2025No Comments3 Mins Read
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    IPNEWS: A resolution approving a US$429,009 budget for rehabilitation works at the Monrovia Industrial Park (MIP) has sparked sharp criticism, with procurement and financial governance experts warning that the move may have violated Liberia’s Public Procurement and Concessions Commission (PPCC) and Public Financial Management (PFM) laws.

    The resolution, reportedly signed during the Inter-Agency Advisory Board’s second called meeting on October 22, 2025, was chaired by the Ministry of Commerce and Industry (MoCI) and endorsed by representatives from the Ministries of Public Works, Justice, Labor, and Finance, among others.

    According to the document, the Board authorized immediate interventions, including construction, security, and publicity services within the industrial park. It also empowered the Commerce Ministry to engage a private developer under a Public-Private Partnership (PPP) or Build-Operate-Transfer (BOT) arrangement to undertake long-term development works.

    Possible Legal Violations

    Procurement experts have raised red flags, alleging that the Board’s decision bypassed mandatory competitive bidding and feasibility review procedures required under the PPCC Act. The Act mandates open and competitive procurement for all public contracts exceeding certain thresholds, except under clearly defined emergency circumstances.

    “The law allows for emergency procurement, but it still requires transparency, documentation, and approval through the PPCC,” said a senior procurement specialist familiar with the issue. “This resolution appears to have sidestepped those processes entirely.”

    Sources further indicate that the move may also contravene the PFM Law, which requires all public spending commitments to be authorized in advance by the Ministry of Finance and Development Planning (MFDP) and vetted by the PPCC.

    Critics argue that the alleged unilateral approval of the US$429,009 budget, without these statutory clearances, could expose public resources to misuse and create potential conflicts of interest.

    Government’s Defense

    Officials at the Ministry of Commerce have defended the resolution, insisting that the decision was driven by the urgent need to “fast-track rehabilitation works” at the MIP to prevent further land encroachment.

    A senior MoCI official, speaking on condition of anonymity, explained that “the park’s infrastructure is deteriorating rapidly, and immediate action was necessary to preserve the remaining 200 acres.”

    However, governance experts maintain that urgency does not negate compliance. “Even in emergencies, the PPCC Act provides specific procurement procedures,” one expert noted. “Skipping those steps undermines transparency and accountability.”

    Concerns Over Legal Representation

    The resolution also authorizes the hiring of a private legal practitioner to help reclaim encroached lands — another move that analysts say could breach procurement regulations if executed without a proper solicitation process.

    Calls for Investigation

    The controversy has prompted calls for Liberia’s anti-graft institutions, including the PPCC and the General Auditing Commission (GAC), to investigate the Board’s actions and determine whether any statutory violations occurred.

    Observers say the dispute reflects broader concerns over accountability, fiscal discipline, and transparency in the management of public resources — issues that have long plagued Liberia’s public sector.

    “This is a test of institutional integrity,” said a civil society advocate. “If these laws are ignored at will, it sets a dangerous precedent for governance.”

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