Prior
to the establishment of the BANK OF SIERRA LEONE,
the West Africa Currency Board was responsible for
the issue of currency in Sierra Leone. It was
obliged to buy and sell the currency it had issued,
the West African Pound, at fixed rates against the
Sterling in London.
Following the attainment of independence in 1961
however, the need was felt for a separate monetary
institution controlled by Sierra Leone. In his
1962/63 Budget Speech, the then Minister of Finance
asserted, "No independent country can regard itself
as truly independent until it has its own national
currency. The time is not too distant when Sierra
Leone too will have its own central bank".
Preliminary arrangements for the establishment of
a central bank including the drafting of the
legislation then commenced. On 27th March, 1963, the
Bank of Sierra Leone Act became law and the Bank
began operation on 4th August, 1964, the day Sierra
Leone changed to the decimal system of currency.
What does the Bank do
The objectives of Bank of Sierra Leone as spelt
out in the Bank of Sierra Leone Act 2000 are :-
-
The promotion of
monetary stability and a sound financial
structure;
-
The maintenance of
the internal and external values of the Leone;
-
The promotion of
credit and exchange conditions conducive to the
balanced growth of the economy;
-
The issuing and
distribution of notes and currency in the
country;
-
The formulation and
implementation of monetary policy;
-
Banker and adviser
to the Government in financial and economic
matters;
-
The managing of
domestic as well as foreign debt;
-
Acting as custodian
of the country's reserve of approved foreign
exchange;
-
Acting as banker to
the Commercial Banks;
-
The supervision and
regulation of the activities of commercial banks
and other Financial Institutions to ensure the
health of the financial system;
-
The administration
of the operations of Structural Adjustment
Programs where the bank has specific
responsibilities.
Non Traditional Role
- Rural Banking
- Diamond Certification
Ownership
The Bank of Sierra Leone is a body corporate and
is 100% state-owned.
