Tags: IMF

2015: Sluggish year for revenue collection

  Revenue collection by public tax collector— Malawi Revenue Authority (MRA)— has been on the decline in the ending year, putting government under pressure in absence of donor aid inflows. According to the International Monetary Fund (IMF), government overspent by as much as two percent of gross domestic product (GDP) during the second half of…

IMF tips on budget support resumption

  Malawi should accelerate public financial management reforms to restore trust and confidence in the budget process and foster donor re-engagement, the International Monetary Fund (IMF) Executive Board said on Tuesday. But the global multi-lateral lender also says Malawi’s economic outlook remains difficult, encouraging authorities to implement structural reforms to remove supply bottlenecks, increase agricultural…

Malawi yet to impress IMF on targets

  Malawi will have to wait until next year to return to the International Monetary Fund (IMF) Extended Credit Facility (ECF) programme after the institution on Tuesday said uneven policy implementation, high inflation, and a weak balance of payments position, continue to pose macroeconomic challenges in the country. IMF, whose programme with Malawi is currently…

Commodification of state resources is not a way out

It seems like in Malawi we have found a solution to government’s perennial failures in running public services: privatise everything. Selling ‘failing’ public entities is now an easier substitute for our government’s lack of efficiency in running and managing state assets. Malawi Savings Bank (MSB) is sold. Indebank is sold. Now we are mulling over…

Chinese investors inject K3 billion in projects

  Chinese investors eager to attend the forthcoming investment forum has declared their interest to invest K3 billion (US$6.7 million) in 20 projects in the country. Malawi is later this month scheduled to host its first ever investment forum whose preparations government say are at an advanced stage. The Malawi Investment and Trade Centre (Mitc)…

IMF resumes aid to Malawi, gives out K7.6bn

The International Monetary Fund has resolved to immediately disburse about $18.1 million (K7.6 billion) to Malawi. The decision to release the funds was made by the IMF board at a meeting in Washington on Monday after an extended review of Malawi’s economic performance under the IMF supported programme, the Extended Credit Facility (ECF) which has…

IMF positive on Malawi

The International Monetary Fund (IMF) says preparations are at an advanced stage to bring the fifth and sixth reviews of the Extended Credit Facility (ECF) for Malawi to the attention of its Executive Board mid next month. Completion of the two reviews could bring the IMF-supported programme—which involves total lending of $147 million (about K66…

Malawi inflation rate remains high, says IMF

The International Monetary Fund (IMF) has reiterated that Malawi’s rate of inflation remains high, urging authorities to tighten further both monetary and fiscal policies. “We hope inflation is going to be brought down by further tightening monetary policy by raising interest rates so that Malawians can once again have confidence in the kwacha,” said Oral…

IMF says programme still off track

The International Monetary Fund (IMF) on Thursday said its supported programme, the Extended Credit Facility (ECF), is still off track despite the Malawi Government and IMF reaching staff level agreements. Speaking at a news conference at Capital Hill in Lilongwe, IMF Mission Chief for Malawi Oral Williams, who led the IMF team that visited the country between…

IMF team in town, tackle economy woes

A team from the International Monetary Fund (IMF) headquarters in Washington DC, USA, is in Malawi for two weeks to hold a series of discussions with various stakeholders on the economy. During its tour, the team will meet government officials, representatives of the business community, civil society organisations and Malawi’s development partners on recent macroeconomic…

Weakening Malawi kwacha not strange—Chuka

Reserve Bank of Malawi (RBM) Governor Charles Chuka has downplayed the buzz over the recent weakening of kwacha against other major foreign currencies. The local currency has continued to lose ground in recent weeks, especially against to the dollar, trading around K440 from a rate of K390 mid this year. Some foreign exchange bureaus are…

Commercial bank presence triples

Commercial bank branches, as measured by geographical presence and in relation to population tripled in the last two years consequently improving access to financial services. The International Monetary Fund (IMF) Financial Access Survey (FAS) data updated this week indicate that bank branches per 1 000 square kilometres more than tripled, rising to 3.04 in 2013…

Chuka says fiscal indiscipline frustrating economy

Reserve Bank of Malawi (RBM) Governor Charles Chuka has warned that continued over borrowing and general lack of fiscal discipline is hurting the country’s efforts to curb inflation and reduce interest rates. “Government’s continued commitment to restoring fiscal prudence and efficiency in expenditure is key to macroeconomic stability and continuation of the IMF [International Monetary…

Malawi’s inflation fall highest in Comesa

Malawi recorded the highest fall in inflation in May although the rate remained one of the highest in the region, according to the Common Market for Eastern and Southern Africa (Comesa). The Comesa Harmonised Consumer Price Index (HCPI), a regional measure of inflation released last month indicates that Malawi recorded the highest month on month…

KUM suspension will not affect economy—IMF

Global multilateral lender, the International Monetary Fund (IMF), has allayed fears that the suspension of Kayelekera Uranium Mine (KUM) in Karonga will suppress Malawi’s economic growth in 2014. The Bretton Woods institution has also backed the decision by the Australian miner to have the mine suspended until uranium prices rebound on the international market arguing…