The recent Mid-Year Budget Statement has caused quite a stir, with opposition parties and Parliament’s Budget and Finance Committee raising alarms about Malawi’s struggling economy.
And honestly, who can blame them? Inf lation is through the roof at 33.8 percent, and the economy is growing at a much slower pace than expected. Things are tough, and people are feeling the pinch.
T h e D e m o c r a t i c Progressive Par ty (DPP) spokesperson on finance, Jos eph Mwanamv ek ha , didn’t hold back. He said the government is spending too much on day-to-day running costs instead of focusing on projects that can grow the economy.
According to him, this overspending floods the economy with too much cash, which drives up prices and weakens the kwacha even more. It’s like pouring water into an already full cup— things just overflow.
Ismail Mkumba, who spoke for the United Democratic Front (UDF) on finance, raised similar concerns. He’s worried about how inflation and high interest rates are making life difficult for small businesses.
One idea that keeps coming up is the need to improve Malawi’s foreign exchange reserves. Basically, we need to save up more dollars to make sure we have enough to pay for imports. Mkumba suggested this too, but no one’s talking about how to actually do it. That’s the frustrating part.
Let’s be honest: It’s not enough to point out the problems – we already know them. What we need are solutions. Parliament has the power to approve or block government budgets. If lawmakers don’t like how money is being spent, they should use that power to demand changes and propose alternatives that actually work.
One bright spot in all of this is the Budget and Finance Committee’s push for more investment in mega farms. This is a solid idea because agriculture is still the backbone of our economy. If we can grow more and export more, we can earn the foreign currency we desperately need. Plus, improving agriculture can help keep food prices down, which would go a long way in easing inflation.
But here’s the catch, we can’t just focus on mega farms. Smallholder farmers, who make up the bulk of Malawi’s farming community, need support too. They need better access to seeds, fertilisers, and markets to succeed. If we leave them behind, we’re missing a huge part of the puzzle.
Another thing that’s been dragging us down is how badly we manage donor funds. Mary Navicha from the Budget and Finance Committee pointed out that we often fail to use the money donors give us for development projects.
Sometimes, we even send the money back. How does that even happen when we have so many problems to solve? This is something Parliament should dig into and fix.
N o w, a b o u t t h e government’s decision to spend more on everyday costs while cutting back on development projects, it doesn’t make much sense. Development spending is what builds roads, schools, and hospitals. It’s what drives long-term growth. Cutting it should be the last option, not the first.
At the end of the day, it’s clear we’re in a tough spot. But pointing fingers and complaining won’t fix things. Parliament and the opposition need to step up and do more than just criticise. They should be offering real, practical ideas on how to save money, bring down inflation, and grow the economy.
The tools are there, Parliament has the power to push back on budgets that don’t prioritise what’s important. They just need to use that power wisely. If they can work together to come up with solutions, we might have a fighting chance to get back on track.
