Sierra Leone’s total public debt increased to Le74.4 billion in the 2025 fiscal year, up by about Le4.5 billion from Le69.9 billion recorded in FY2024, the Public Debt Management Director has disclosed.
Addressing participants at the National Debt Sustainability Workshop recently, Director Matthew Sandy said the rise reflects continued borrowing to finance development priorities, but warned that sustainability will depend on stronger domestic revenue mobilization.
According to figures presented at the workshop, external debt accounts for Le40.5 billion, or 54.4% of the total portfolio, while domestic debt stands at Le33.9 billion, representing 45.6%.
Mr. Sandy told the gathering that debt management cannot be separated from revenue performance.
“When we are not paying our taxes, it makes our debt unsustainable,” he said. “We must all play our part. Meeting our tax obligations is the surest way to reduce our reliance on borrowing and to keep debt at manageable levels.”
He urged citizens, businesses, and institutions to honour their tax responsibilities, noting that increased domestic revenue would provide fiscal space for government to service existing obligations without accumulating new debt at an unsustainable rate.
The National Debt Sustainability Workshop brings together policymakers, development partners, and civil society to review borrowing trends, debt servicing capacity, and strategies to ensure long-term fiscal stability.
Economists at the forum stressed that while borrowing remains necessary for infrastructure and social programs, the composition of the debt and the pace of growth require close monitoring to safeguard macroeconomic stability.