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What Sierra Leoneans Ought to Know About Trump’s 10% Tariffs


Sierra Leone’s exports to the USA will confront a 10% tariff, but specific products affected aren’t listed. Be that as it may, considering Sierra Leone’s export profile, likely impacted products may include:

Rutile and other minerals.

Agricultural Products: Exports like cocoa, coffee, and other agricultural commodities might also face the 10% tariff.
Other products : The country also exports other products like titanium ore, aluminum ore, and fish, but these might not be specifically destined for the US market.



Exports to the USA account for a moderately small portion of its GDP. According to the available data, in 2024, Sierra Leone’s total exports were valued at $1.54 billion, with the majority going to countries like China, South Korea, and the Netherlands.

As for GDP, Sierra Leone’s economy is valued at $7.41 billion in 2024, with a GDP per capita of $856.

IMPACT

A 10% US tariff on Sierra Leone’s exports would likely have a negative impact on the country’s GDP. Sierra Leone’s economy relies heavily on exports, particularly in the mining and agricultural sectors.

An increase in tariffs would make Sierra Leone’s exports more expensive for US consumers, potentially leading to a decrease in demand and subsequently, a decline in exports.

This decrease in exports would likely have a ripple effect on Sierra Leone’s economy, impacting various sectors, including employment, investment, and government revenue. As a result, the country’s GDP could contract, exacerbating poverty and inequality.

Trade Imbalance: Sierra Leone has a trade deficit with the US, which means it imports more from the US than it exports. A 10% tariff on Sierra Leone’s exports to the US could worsen this imbalance, potentially hurting Sierra Leone’s economy.

Key Trade Figures :

US Exports to Sierra Leone: $109.67 million
US Imports from Sierra Leone*: $29.61 million
So, as of 2024, the trade balance is $80.06million in favor of the US.

– Trade composition : Sierra Leone’s exports to the US are mainly raw materials like diamonds, iron ore, and cocoa beans. These products might become more expensive for US consumers due to the tariff, potentially reducing demand and affecting Sierra Leone’s export revenue.

– Economic impact: The tariff could lead to higher prices for Sierra Leonean goods in the US market, making them less competitive. This might result in reduced exports, lower government revenue, and a potential decline in GDP.

With Sierra Leone’s current GDP at $7.41 billion, let’s recalculate the impact of a 10% tariff on its exports to the US.

Sierra Leone’s Trade with the US

– Export Value : Sierra Leone’s exports to the US are valued at $27 million.
– Tariff Rate: A 10% tariff would increase the cost of these exports by $2.7 million.

Impact on GDP
– Tariff Cost as a Percentage of GDP*: The $2.7 million tariff cost would be equivalent to about 0.036% of Sierra Leone’s GDP ($7.41 billion).

It’s worth noticing that Sierra Leone is not alone in facing US tariffs . Numerous African countries are subject to varying tariff rates, ranging from 10% to as high as 93% in the case of Madagascar. However, the impact of these tariffs can be particularly severe for smaller economies like Sierra Leone, which depend heavily on international trade to drive growth and development.

Any slowdown in China would matter more to Sierra Leone. The share of Sierra Leone’s exports going to China is triple that going to the US. It does not look likely that US taxes will cause a very high amount of pain to China, or to its trading partners.

Top Export Partners :
– China: 18.3% of Sierra Leone’s global exports, with a value of $1.03 billion in 2023
– India: 96.5 million
– Belgium: 72.5 million

Sierra Leone should be worried because taxes are inflationary, and they might prompt the US Federal Reserve to raise interest rates, or cut interest rates.

In conclusion, whereas the 10% USA tax might have a negative impact on Sierra Leone’s GDP, the extent of this impact will depend on various factors, including trade agreements and diversification efforts. Sierra Leone must diversify our exports, the trouble is President Bio doesn’t understand the ECONOMY.



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Sierra Leoneans Express Concern Over Rejection of Five-Cent Coin by Bus Drivers, Businesses


Sierra Leoneans are voicing their concerns and demanding clarification on the functionality of the Sierra Leone 5 cent coin, commonly referred to as “five block.” Many citizens are experiencing difficulties as business establishments, including drivers and merchants, are increasingly refusing to accept these coins, asserting that they are impractical for transactions within the country.

In an interview conducted by Sieraloaded, citizens shared their frustrations and sought answers from the authorities. Susan Wright, a student at FBC University in Sierra Leone, expressed concern about drivers and their apprentices consistently rejecting the five-cent coins. She urged the Sierra Leone Bank Governor to provide an explanation regarding the significance of these coins and where they are intended to be used in the country.

On the other hand, Abu Sesay, a businessman operating in the central business district of Freetown, contested the claims made by customers. He argued that customers themselves are refusing to accept coins as change, leading to a situation where many business owners, in turn, are reluctant to collect these coins from their patrons.



This growing issue appears to be a two-sided problem, with both customers and businesses contributing to the reluctance surrounding the acceptance of five-cent coins. As a result, a considerable number of citizens find themselves grappling with a limited usability of these coins in everyday transactions.

The plea from citizens, especially students like Susan Wright, highlights the urgency for an official explanation from the Sierra Leone Bank Governor. Addressing the concerns raised by the public and providing guidance on the appropriate use of the five-cent coins could help alleviate the prevailing confusion and foster a smoother circulation of these coins in the economy.

The situation emphasizes the need for effective communication between monetary authorities and the public to ensure a harmonious flow of currency in daily transactions. As the discussions around the functionality of the five-cent coin continue, it remains to be seen how the authorities will respond to the citizens’ demands and work towards resolving the challenges surrounding the acceptance of these coins in Sierra Leone.



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Super Advertis Reportedly Defrauds Sierra Leoneans of 9 Billion Leones


Super Advertise, an online business platform operational in Sierra Leone from October 2023 to late December 2023, finds itself in a startling situation as it faces allegations of fraudulent activities. According to reports from the Gleaner Newspaper, Super Advertis is accused of defrauding Sierra Leoneans, amounting to over Le 9,000,000,000.00 ($369,000.00) through task commissions.

Adding complexity to the situation, Super Advertise asserts that Orange-SL, a prominent mobile operator, has frozen all its accounts. This move by Orange-SL not only raises concerns but also intensifies the dispute as the online promotion service platform accuses the mobile operator of obstructing its operations.

Responding swiftly to the serious accusations, Orange-SL issued a statement on January 3rd, 2024, vehemently refuting any involvement or contractual association with Super Advertise. Orange-SL clarified that there are no frozen accounts linked to the accused company on their Orange Money platform.



The conflicting narratives from Super Advertise and Orange-SL have created unease within the Sierra Leonean community. Authorities are now tasked with the challenging responsibility of uncovering the truth behind these allegations and assessing the extent of Super Advertise’s alleged fraudulent activities.

The reported defrauded amount of Le 9,000,000,000.00 ($369,000.00) adds financial distress to an already sensitive matter, prompting affected individuals to seek justice and accountability for their losses.

This unfolding saga underscores the risks associated with online platforms and emphasizes the importance of exercising due diligence in engaging in online transactions. It serves as a reminder for users to be cautious and prompts regulatory bodies to enhance oversight in the continually evolving landscape of online services in Sierra Leone.



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