Goodbye to a rough year, keep pushing

Three days from now the world will drift into the New Year 2023 on January 1 after bidding farewell to the year 2022.

The year 2022 has generally been a rough ride for many Malawians who had to endure skyrocketing prices of goods and services worsened by the 25 percent devaluation of the kwacha the Reserve Bank of Malawi (RBM) implemented on May 27.

The devaluation came on the back of prolonged hours of power rationing by Electricity Supply Corporation of Malawi (Escom) due to insufficient generation capacity by Electricity Generation Company (Egenco) which lost about 130 megawatts (MW) after Cyclone Ana damaged its infrastructure at Kapichira Hydro Power Station in Chikwawa.

The foreign exchange situation did not improve in the past year as Malawi struggled to generate enough to foot import bills. The situation became more glaring when, between August and November, Malawians experienced fuel shortages that further stalled economic activity.

From the look of things, the situation in 2023 may not be any better as the problems are being carried forward.

However, despite the circumstances, it is important for people to keep pushing by making adjustments where necessary to make ends meet.

Investment is one area individuals and companies alike cast their nets to in a bid to earn returns. There are various avenues where one can invest, including buying shares on the Malawi Stock Exchange for the long-term, insurance policies, businesses as well as property development.

But in making investments, especially on the money market, it is important to be on guard against conmen masquerading as investment fund managers.

Memories are fresh of some 1 000 Malawians who are in the cold after investing in a financial institution called Greenlights Business Investors Portfolio for purported high returns. RBM told our sister newspaper Weekend Nation of December 24 2022 that it was aware of the investors’ predicament, but there was little it could do as the firm was not registered. There is K3 billion investors’ money at stake.

In 2023 and beyond, whenever an agent dangles a mouth-watering offer pointing to high returns on investment, make it a point to check prevailing market rates for deposits and securities such as treasury bills and RBM bills. Where the gap is too wide take it as a red flag.

Where in doubt, strive to check with reputable portfolio investment managers and advisers such as Nico Asset Managers Limited, Bridgepath Capital Limited and Cedar Capital Limited.

Besides the Greenlights revelation, during the year, we also learnt how investment deals with portifolio and investment management firm Alliance Capital Limited ended in tears for some individuals and corporates as they are not guaranteed their anticipated returns on money saved. This case confirmed that all that glitters is not gold, as such, it is important to do some due diligence before entrusting anyone with your hardearned money.

There is generally desperation to make more money and conmen know this; hence, they approach individuals they know have something and offer them tempting deals in terms of returns on investment. Please do not get swayed, take your time.

This being the last entry for the year 2022, I would like to take this opportunity to wish you all a happy New Year 2023. May the New Year bring positive results to your efforts and may God bless you all.

Happy New Year 2023! Please, celebrate responsibly and, above all, be safe.