FMB’s Dikshit says Malawi economic growth 2015 target likely to be missed

Malawi is unlikely to meet its 2015 economic growth projection of 5.8 percent due to the impact of the agricultural sector of excessive rains suffered throughout the country, says First Merchant Bank (FMB) Group Managing Director Dheeraj Dikshit.

Dikshit: Economic target unlikely to be met

Dikshit: Economic target unlikely to be met

Gondwe: Floods an adverse effect on the country’s agro-based economy - which accounts for 30 percent of GDP and 90 percent of export revenues.

Gondwe: Floods would have an adverse effect on the country’s agro-based economy – which accounts for 30 percent of GDP and 90 percent of export revenues.

Malawi’s government and the International Monitory Fund projected that Malawi’s economy would grow by 5.8 percent in 2015. They based their projections largely on a “good agriculture season.”

Dikshit said in a statement he jointly signed with Finance Director John O’Neill that “reduced agricultural output may have negative consequences both for the country’s balance of payments and its fiscal deficit.”

“Accordingly, although interest rates may decline over the course of 2015, overall monetary policy is expected to be contractionary,” reads the statement from FMB.

Finance Minister Goodall Gondwe agrees that the flooding situation will, in the long run, affect that projected growth rate.

Gondwe added that although flood victims will suffer between now and June, further suffering is expected from October to about March of next year “because that’s when people’s stocks of foods come to an end.”

Torrential rains in early January washed away about 64,000 hectares of crop land – representing a food production loss of more than $8 million.

The floods, the worst to hit the southern African country in 15 years, prompted President Peter Mutharika in mid-January to declare over half of the country’s 28 districts disaster zones, and he appealed for international aid.

According to President Mutharika, the floods have cost the Malawi economy at least $54 million, excluding the cost of relief programs.

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Jekete
Guest

Khokhokho Mr. Dick-Shit!
Mmanjamo Mr. Semen
Indeinde Bambo Ukala
Ulemu wanu Wolemekezeka a Umuna

Khima
Guest

Malawians we learn for nothing timangonamizana mma company mu ndi mmabomamu…ukayenda mpamene umadziwa kuti tili kutali

lobadalobadula@gmail.com
Guest
Dikshutup who are you? you are not the minister of finance.tell ur share holders this story not the whole nation.by the way ur stupid indian ceo who is currently running FMB bank with racism.abusing vulnerable malawians with low salaries,calling them uneducated & poor.Everyone in india is rich ? Everyone in india is educated ? How many indian malawian earn a Degree or diploma in our country ? One day u will recieve pesonanon grata or to answer the racism charges in high court.malawians are not racist but u always provoke us.Even in Delhi or mumbai there is a lot of… Read more »
mbweno
Guest

I expect 4.3% maximum and 4.1187% minimum.Hope for the government to archive this also it will not be easy due to how we Malawian are in politics

kajedza
Guest

Shame on you guys who are abusing names of persons. Illitratecy personified.

If you look at some of the malawian names, Kabbage, Worried, Office, Square, Ringtone, SMS. Noworry, etc

Do not tarnish names that have religious interpretation

Yusuf
Guest

@Asset Declaration, there is nothing wrong with a commercial bank publishing their own growth projections. Growth affects investors’ decisions and hence profits of the bank. So it is very much his business to do growth projections

Asset Declaration
Guest

There is no news here. We all know that the set targets won’t be achieved due to floods. Few people knew that even without floods, the 5.8 target wasn’t going to be achieved.

Dikshit, I expected you to tell shareholders whether the floods will have an impact on FMB targets. You run FMB. You don’t run the country!

By the way, who gave you that name? And who authorized this name’s work permit application?

Pharula
Guest

Comment Abusa where in the Bible do you find the authority to worship on Sunday? The Creator of heaven and earth established Saturday to be His Day of worship .Genesis 2:1-3 His Son Jesus Christ Confirmed this by declaring that He is the Lord of the Sabbath. Please tell this deceived world the truth.

Kaka
Guest

Dick shit. Wow how can we really listen to him

Apostle chris mchanda Banda.
Guest

True that, becouse, many malawians, have, actually chosen not to observe, sunday worship, or to follow the church of God’s son. Therefore, The almighty God, will also, decide, not to make our economy grow. It is very surprising to see
people, observing the death of aperson, and yet, refusing to be his friend. People, are indeed blind.

wpDiscuz

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