Freetown, 28th April 2026 — Sierra Leone’s public finances are under mounting strain as the latest fiscal operations report for March reveals a widening deficit and sluggish revenue performance. According to figures released by the Accountant General, the government collected SLE 3.3 billion in domestic revenue between January and March 2026, while expenditure commitments surged to SLE 7.17 billion, leaving a cash deficit of SLE 2.8 billion in the first quarter alone.
The report shows that income tax receipts remain the backbone of government revenue, contributing SLE 1.83 billion in the quarter. Goods and Services Tax added SLE 484 million, while customs and excise duties brought in just SLE 178 million. Road user charges were modest at SLE 10.9 million, and TSA revenue stood at SLE 290.4 million. Strikingly, mineral resource revenues — budgeted at SLE 1.28 billion for the year — recorded no inflows during the quarter, underscoring the volatility of this sector. Overall, total receipts for March were SLE 2.04 billion, with no foreign grants received, leaving the government heavily reliant on domestic collections.
On the expenditure side, the government’s wage bill continues to weigh heavily, consuming SLE 2.07 billion in the quarter. Non-salary recurrent spending reached SLE 2.03 billion, with goods and services accounting for SLE 1.18 billion and transfers and grants totalling SLE 855 million. Capital expenditure was limited to SLE 553 million, while debt servicing costs soared. Domestic interest payments alone amounted to SLE 2.42 billion, with external interest adding SLE 94 million, highlighting the growing burden of financing obligations.
Functional spending data reveal where resources were directed: education services absorbed SLE 298.5 million, health services SLE 334.5 million, and public order and safety SLE 547.4 million. Environmental protection saw significant allocations of SLE 661.8 million, while general public services dominated with SLE 1.62 billion.
To bridge the gap between revenue and expenditure, the government turned to borrowing, but financing flows remained negative. Treasury bills raised SLE 327.6 million, yet net domestic borrowing fell by SLE 416 million. External debt amortization cost SLE 618 million, further eroding fiscal space. Overall, net financing flows stood at negative SLE 1.16 billion, contributing to a sharp decline in bank balances of SLE 3.96 billion during the quarter.
The March 2026 fiscal report paints a sobering picture: revenues are lagging far behind expenditure, mineral inflows have stalled, and debt servicing costs are consuming a growing share of resources. With a deficit of SLE 2.8 billion in just three months, Sierra Leone faces urgent pressure to expand its revenue base, strengthen fiscal discipline, and rein in recurrent spending if it is to stabilize its public finances and meet development priorities.
