Minister of Finance, Economic Planning and Decentralisation Joseph Mwanamvekha is today scheduled to present the 2025-26 Mid-Term Budget Review Statement expected to outline what government has in store between now and the completion of this fiscal year.
Ahead of that task , stakeholders have in separate interviews weighed in on which areas the minister should pay attention to, with food security, economic growth and debt restructuring high on the list of expectations.
In an interview yesterday, Economics Association of Malawi (Ecama) president Bertha Bangara-Chikadza said their expectation is that the statement will address the debt that is burdening Malawi and that the budget will guide debt restructuring while reducing public borrowing and avoiding waste.
She added that the statement should show how domestic revenue will be increased while broadening tax band and allocation that are linked to outcomes and enhanced in accountability measures.
Said Bangara-Chikadza: “We want to see how government is doing beyond talking. Given the food crisis we are in, we want to see government allocating enough resources to food production through irrigation and beyond the subsidies. As a country, we need to increase exports and that will start with allocation.”
On her part, Centre for Social Concern (CfSC) economic governance officer Agnes Nyirongo said they expect the budget review to clearly put in place measures that guide investment in food security.
She said food prices drive the country’s overall inflation; hence, calling on government to give clear direction on implementation of the Farm Inputs Subsidy Programme (Fisp).
Said Nyirongo: “Malawi’s inflation is determined by availability of food. Food security
and social protection for vulnerable groups should be a priority in this budget. Fisp is under implementation but there are a number issues that are not clear.
“The budget should be able to tell where they are getting inputs, at what cost and how soon will Malawians get them so that we have a clear plan on availability of food in the upcoming year.”
Her sentiments were also shared by National Planning Commission (NPC) research manager Andrew Jamali, who expects government to consider Malawi’s long-term development plan, the Malawi 2063 (MW2063) pillar on increasing agriculture productivity.
He said it is important for agriculture productivity and commercialisation to be given priority as one of the three pillars of Malawi Implementation Plan I.
“Agriculture diversification through development of value addition is key. Again, introduction of government owned anchor farms through Public Private Partnerships for agriculture productivity and commercialisation with export orientations should be given priority,” said Jamali.
Malawi Economics Justice Network (Mejn) executive director Bertha Phiri said their expectation is that the Mid- Term Budget Review will provide a comprehensive update on the country’s economic performance, fiscal position and policy direction.
She said the organisation also expects the minister to give a clear update on tax revenue and expenditure as well as cost-saving measures that government will undertake between now and the end of the financial year.
Observed Phiri: “Malawians want to hear a clear update on economic growth projections and actual performance, the current inflation rates, trends and their impact on citizens.
“As it is now, Malawians are operating in opaqueness, wondering whether the kwacha has been devalued further or not, as we are witnessing the rising cost of commodities. We would like to hear from the minister whether the inflation is contained or not, job market trends, unemployment rates and strategies for job creation.”
Meanwhile, Leader of Opposition Simplex Chithyola Banda said this week that the Mid-Year Budget Statement is an opportunity for the new administration to outline a clear plan for the nation.
The budget statement is coming at a time the country is struggling with fuel and foreign exchange shortages, a hunger crisis that has left over four million Malawians in need of relief food and a debt hovering around K20 trillion.
The 2025/26 National Budget was pegged at around K8 trillion, with K6 trillion for recurrent expenditure and K2
