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-416-<br />

they numbered 126,452. But an important characteristic of<br />

Liberia's international air traffic is that most passengers are<br />

transit passengers. Thus, in 1979 86.5$ of total international<br />

air passengers consisted of transit passengers, (47).<br />

Unfortunately, reliable data on the (growth of the) number of<br />

domestic air traffic passengers are not available. <strong>The</strong>re seem to<br />

be indications that the number of domestic air traffic passengers<br />

dropped during the 1960's, partly as a result of the opening up<br />

of the interior of the country by new roads, partly owing to the<br />

reduced activities of the national airline company, which in<br />

1970 owned only one plane, a 20 year old DC-3. In the late 1970's<br />

the number of domestic air traffic passengers reported increased<br />

significantly (48).<br />

CONCLUSION<br />

It may be concluded that the Liberian Transport Sector is<br />

characterized by three features which at the same time act as<br />

major constraints for future economic development. First, the<br />

neglect of the "Hinterland". This hinders or slows down the<br />

transition from a subsistence-economy to a modern, monetary,<br />

economy. As a consequence the tribal population is prevented from<br />

(full) participation in "Twentieth Century Liberia". <strong>The</strong><br />

Unification Policy, introduced by the late President Tubman, if<br />

at all sincere and real in political sense, decidedly does not<br />

exist from an economic point of view. <strong>The</strong> second feature is the<br />

export-oriented character of the network of transportation<br />

facilities. This characteristic is closely connected with-the<br />

first one. As a consequence, the transportation facilities mainly<br />

serve the interests of the foreign investors who use them to<br />

export the produce of their operations. <strong>The</strong> investments of these<br />

companies are the backbone of the monetary economy. <strong>The</strong>y are<br />

supply-oriented rather than market-oriented. This explains why the<br />

railroad and seaport sectors were financed by foreign investors<br />

and the Governments of their countries of origin respectively.<br />

Processing industries do virtually not exist in Liberia. <strong>The</strong>re<br />

are only two companies in the country which use locally produced<br />

raw materials: Liramco (created in 1976) and the Liberian Matches<br />

Corporation (created in 1959)- <strong>The</strong>ir output, employment, forward<br />

and/or backward linking effect, and foreign exchange earning<br />

capacity are, however, insignificant in the context of the<br />

national economy. As will be shown below the output of the major<br />

investors (rubber, iron ore, diamonds, forestry products) are<br />

exported as raw materials.<br />

Last, but not least, the Liberian transport sector is, in<br />

general, characterized by a lack or shortage of trained and<br />

qualified manpower for management and operational positions.<br />

Consequently, and despite the existence of legal texts to the<br />

contrary, foreigners (also) dominate this sector of the economy.<br />

This predominance is based either on concession agreements and<br />

management contracts concluded with the Liberian Government or<br />

on the tacit approval of Liberia's ruling class.

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