Selling to the Government

U.S. companies are strongly encouraged to contact the Economics Section of the U.S. Embassy in Freetown for assistance prior to bidding on government projects in order to receive information on the market, which can be helpful when preparing a successful proposal. It can also assist in obtaining more information about a proposed project and to ensure that the commercial opportunity is legitimate. 

The estimated value of annual procurement in Sierra Leone varies from year to year. In 2021, it was estimated to be about $82 million. Sixty-six percent of this was for goods, 25% for works, and 9% for services. Sierra Leone is not a party or an observer to the plurilateral WTO Government Procurement Agreement. Procurement is governed by the Public Procurement Act (amended in 2023) and overseen by the National Public Procurement Authority (NPPA). Bid invitations and procurement plans are published on the NPPA website, government gazette, local newspapers, and donor portals such as the World Bank, AfDB, and MCC. Many contracts require a resident representative for after-sales service and spare parts support.

According to the World Trade Organization in its 2025 Trade Policy Review of Sierra Leone, open bidding is the preferred procurement method, though some government entities do not use competitive methods. National competitive bidding can be used for procurements of goods less than Sierra Leonean Leone of 5 million and works 8 million. The government should use international competitive bidding for procurements above those thresholds. The method of procurement used most frequently (in rank order) is: request for quotation (where at least three quotes are required); national competitive bidding; (other – local purchase orders, direct purchases); international competitive bidding; procurement executed with no stated method; and sole source.

Foreign companies can bid directly but benefit from local preferences for partnering with locally registered firms under the Local Content Agency Act 2016. Sierra Leone maintains the following national preferences in procurement: 

•  On procurements, there is a preferential margin of 10% for domestic firms; 
• On bid evaluation, a 5% price preference is granted, provided that the local content of the selected bid is at least 5% higher than that of its closest competitor. 
   

When competing for tenders in Sierra Leone, price competitiveness is essential due to tight budgets and reliance on donor funding, but lifecycle value, operator training, and fast technical support can influence awards, especially for donor-funded projects. Turnkey solutions backed by export credit or concessionary financing are often decisive, given Sierra Leone’s limited fiscal capacity for upfront purchases. U.S. bidders should expect long evaluation cycles, late payments, and challenges like favoritism, limited procurement capacity, and uneven transparency. Risks are lower for multilateral-funded projects, which follow World Bank or AfDB guidelines, compared to government-funded procurements.

Procurement responsibilities vary by government tier. Central ministries, departments, and agencies handle large contracts for power, telecom, ports, and nationwide health programs. Local councils manage smaller projects, such as feeder roads, clinics, and schools, often paid in local currency and exempt from international competition but subject to NPPA thresholds. State-owned enterprises like Sierra Leone Water Company (SALWACO) and EDSA conduct their own procurement but report to NPPA. Understanding the controlling authority and donor involvement is key for tailoring bid strategies and compliance.

U.S. companies bidding on foreign government tenders may also qualify for U.S. Government advocacy. Within the U.S. Commerce Department’s International Trade Administration, the Advocacy Center coordinates U.S. Government interagency advocacy efforts on behalf of U.S. exporters in competition with foreign firms in foreign government projects or procurement opportunities. The Advocacy Center works closely with our network of the U.S. Commercial Service worldwide and inter-agency partners to ensure that exporters of U.S. products and services have the best possible chance of winning government contracts. Advocacy assistance can take many forms but often involves the U.S. Embassy or other U.S. Government agency officials expressing support for the U.S. exporters directly to the foreign government. Consult the Advocacy Center’s program web page on trade.gov for additional information.

Fraud and Scams in Procurement: U.S. companies should be wary of unsolicited offers from agents or others purporting to connect them to procurement opportunities in West Africa. There is a very high incidence of advanced fee fraud schemes operating in the procurement space. Many of these fraudulent solicitations include fake tender, letter of credit and other documentation, and even websites that mimic Government and international organization websites. If an alleged buyer or procurement agent purporting to be from an entity in a West African country like Sierra Leone asks you to pay advance fees such as taxes, registration, bank fees, attorney fees, etc. related to an export transaction, it is very likely a scam. If you have already lost money or believe you may currently be involved in a fraud scheme, please contact your local Secret Service field office and file a complaint with the FBI’s Internet Crime Complaint Center (IC3). Please contact U.S. Embassy Freetown for advice before engaging in any procurement-related deals, especially if you did not initiate communication on the transaction. The U.S. Embassy can assist U.S. companies in finding a local business partner or conducting due diligence on a potential partner through services such as International Partner Search and International Company Profile.   

Financing of Projects 

Major projects in Sierra Leone are primarily funded through multilateral donor support, bilateral development assistance, PPPs, and, to a lesser extent, commercial loans and government budget allocations. Given limited domestic resources and fiscal constraints, the government depends heavily on external funding for infrastructure, energy, health, education, and ICT development. Key funding sources include the World Bank, AfDB, and IMF, which provide concessional loans and grants often paired with technical assistance and procurement oversight to promote transparency and effectiveness.

U.S. government financing agencies are active in Sierra Leone. The U.S. Trade and Development Agency (USTDA) provides funding for feasibility studies, while the EXIM Bank supports the export of goods manufactured in the United States. The DFC collaborates with the private sector to finance solutions for critical challenges facing the developing world today.

Multilateral Development Banks and Financing Government Sales

Price, payment terms, and financing can be a significant factor in winning a government contract. Many governments finance public works projects through borrowing from the Multilateral Development Banks (MDBs). The Guide to Doing Business with MDBs overviews how to work with MDBs. Sierra Leone remains eligible for concessional borrowing from MDBs, such as the World Bank Group, the AfDB, and the IMF. The country is classified as low-income and debt-vulnerable, which qualifies it for grants or highly concessional loans with long maturities, low interest rates, and grace periods.

Successful companies usually have a “ground game” in the country where the project will be implemented. This often includes relationships with implementing ministries and local MDB officials, local partners, or local presence. Companies need to be able to evaluate opportunities as they know their capabilities, bandwidth, and risk tolerance. Companies are most successful in projects in markets where they already have relevant experience and are willing to put in the time; project development can take one to three years. 

The U.S. Department of Commerce’s (USDOC) International Trade Administration (ITA) has a Foreign Commercial Service Officer assigned to each of the five different Multilateral Development Banks (MDBs): the African Development Bank; the Asian Development Bank; the European Bank for Reconstruction and Development; the Inter-American Development Bank; and the World Bank. The U.S. Commercial Service’s Commercial Liaison Office to the African Development Bank is located in Abidjan, Côte d’Ivoire. See the Commercial Services’ African Development Bank resources and contact Elvire Kodio at Elvire.Kodio@trade.gov; Telephone: + 225 05 54 001 241. Connect with our Commercial Liaison Offices to the World Bank and European Bank for Reconstruction and Development or EBRD. (The EBRD is starting to lend in Africa, primarily on private sector projects.)