Somehow the misfortune of the Leone should have some benefits - if all things were to be equal as we are wont to say in basic economics - for the Salone economy. Unfortunately that is not the case presently. The Leone has continuously halved in value against the dollar for a long time. Ordinarily that should make Sierra Leone exports (products and services) extraordinarily cheap. That itself should incentivize the on shoring of supply chains and trigger the mother of all tourist booms in Sierra Leone as global travel picks up. A weak currency should deliver record profits for export oriented businesses. Except for some good news from agricultural sector where palm oil exports sold seven fold to 2.26 million metric tons in the second half of 2021 reverse is the case. Our screaming lead story in this edition is a testament to the devastating effect of an abysmally performing export sector.

Even now with ease on travel restrictions globally the demand for foreign exchange for international travel is likely to increase, and exert greater pressure on the Leone's international exchange value. In the foreseeable future therefore this trend might continue except that the government move in quickly and stimulate increased private sector investment in our country

In the four quarters to the end of the fourth quarter of 2021, total UK exports to Sierra Leone amounted to £53 million (an increase of 10.4% or £5 million compared to the four quarters to the end of the fourth quarter of 2020. Of all UK exports to Sierra Leone in the four quarters to the end of the fourth quarter of 2021, £35 million (66.0%) were goods and £18 million (34.0%) were services. In the four quarters to the end of Q4 2021, UK exports of goods to Sierra Leone increased by 20.7% or £6 million compared to the four quarters to the end of the fourth quarter of 2020 while UK exports of services to Sierra Leone decreased by 5.3% or £1 million compared to the four quarters to the end of the fourth quarter of 2020. In the four quarters to the end of December 2021, total UK imports from Sierra Leone were £6 million (a decrease of 25.0% or £2 million compared to the four quarters to end December 2020). Any surprise therefore that Salone suffered over £47 million loss in trade deficit with Britain alone.

Prior to this damning report, the apex bank - the Bank of Sierra Leone had reported a widened trade deficit arising from decreased exports in the last three months of last year. 'External sector performance was mixed in 2021 Q4. The trade deficit widened from US$ 146.65 million in 2021Q3 to US$245.66 million in 2021Q4. This is due to the combined effects of increased imports and decreased exports'. The bank explained away the depreciation of the Leone to reduction in supply of foreign exchange in the face of increased demand. Even now with ease on travel restrictions globally the demand for foreign exchange for international travel is likely to increase, and exert greater pressure on the Leone's international exchange value. In the foreseeable future therefore this trend might continue except that the government move in quickly and stimulate increased private sector investment in Sierra Leone.

It is instructive to note that the rise in Palm oil export came as a result of the private sector investment in that sector in Daru and Sahn Marlen in Kailahun and Pujehun districts.

……And SENTINEL arrives….

A new sheriff might be coming to town to transform the telecom sector and give present providers serious run for their efforts. FS sources hinted SENTINEL's coming might spell a new lease of life for telecom service users in Sierra Leone. Details are still sketchy but FS would keep y'all posted.