Sierra Leone, the West African nation that holds some of the world's richest iron ore deposits, has been approved to receive a $6.9 million loan disbursement by the International Monetary Fund (IMF).

The amount, according to the IMF on Monday, is part of a three-year $45.4 million loan passed in 2010 by the IMF.

Moreover, the release of the latest tranche was spurred by the country's increased revenues from this year that were gathered from iron ore production.

"Economic growth has been robust and broad-based, reflecting the scaling-up of infrastructure investment and the implementation of projects in mineral sectors," a statement released by the IMF said.

Mining in Sierra Leone was said to be one of the driving factors for instability in the country and one of the reasons for its recent civil war that ensued from 1991-2002. Rich in diamonds, rutile, bauxite, gold, iron and limonite, Sierra Leone's people believed the nation's mining benefits ended up more with the private companies and corrupt officials rather than the country's government and its people.

The civil war that lasted 11 years left over 50,000 people dead.

Diamonds had been traditionally the country's top revenue earner, but with the increased revenues from iron ore exports, Sierra Leone's growth could be boosted by 51.4 per cent in 2012 on new mineral revenues, the IMF said.