Goodall tells Bloomberg ‘Malawi economy understated by 40%’

Malawi  Finance Minister Goodall Gondwe has said the country’s economy may be understated by as much as 40 percent .

Gondwe told Bloomberg TV Africa in Washington on Oct. 11 that “the methodology that we are using to calculate gross domestic product has got to be looked .”

Gondwe:  Finance Minister says  Malawi to have higher GDP

Gondwe: Finance Minister says Malawi to have higher GDP

The 78 –year-old former World Bank official said: “I’m sure that once we review that, we’ll have a higher figure.”

Malawi’s economy is worth $3.71 billion, according to World Bank estimates.

The southern African nation’s economy will probably expand an average of 7.5 percent annually over the next five years, Gondwe said.

The International Monetary Fund is estimating growth of 5 percent to 6 percent this year.

“We are now about 6 percent, even with the problems that we have now,”  Gondwe said. “We think that once we have ironed out and normalized the problems here, we should be able to come up to about 7.5% or more.”

The IMF and other donors froze aid to Malawi last year in the wake of reports that almost a third of state funds were being lost through corruption. Malawi relies on donor funds to finance about 40 percent of its budget.

While Malawi’s dependence on foreign aid has eased, the country needs to restore fiscal discipline to lure donors and investors, Gondwe said.

“We need a lot of money,” he said. “Probably we need close to about $100 million or so, but more importantly we need a considerable amount of money for development projects in the country.”

Gondwe, who was finance minister between 2004 and 2009, was appointed to his current position in June after Peter Mutharika was elected president in a contested election.

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Chilungamo Chimawawa
Guest

za uidiot basi za ziiiiiiiiiiiiii. which economy is he referring to???? day dreaming at its best kkkkkkkkkkkkkkkkkkkkkkkkkkkkkkkk

Kanyimbi
Guest

I salute you Goodal. You know what these IMF do. Liberate us please.

Quota system
Guest

Text book economics. Tcheya used to say, “Tikamati chuma cha dziko chikuyenda bwino, ndiye kuti anthu azikhala ndi makobili mu ma tumba mwawo, mitengo ya zinthu izikhala yokhazikika osati kumangobalansa ma book ku capital hill”.

johnM
Guest

Atcheya was a fool and he is still a fool. I can’t believe that there are people that idolize him.

matako
Guest
Nonsense! I hope these institutions do realize that as far as the politicians are concerned in this country its (corruption)business as usual. I do hope they do not extend any credit facility to this corrupt government. Let APM bring back the $millions in foreign banks which his brother stole from he treasury. Let him explain where the MK92 Billion disappeared to. As far we are in this country we will continue to be vigilante and expose any corruption taking place. We urge all the donors to demand an explanation do not waste your tax payers resources. Assisting this country directly… Read more »
KAGUSHU
Guest

mwayambatu a Goodall Gondwe musatinamize apa. last time mumanamanso ma inflation rates inu

Mesho
Guest

Nonsense. Nowadays everybody is getting tinted spectacles so that their economy is given good adjectives and descriptions or ratings. Nigeria did it to claim the number spot in Africa, Kenya did that also, it is just like fashion. The fact is that a pig does not become green because you are putting green tinted spectacles.

Nyapapi
Guest

Ma rubbish!

JJB
Guest

If what has been writen is beyond your capabilities, it does not make it rubbish.

Imraan Sadick
Guest

Wishing the government all the best!

Imraan Sadick
Guest

Wishing the government all the best

Nabetha
Guest

And please leave Nyasa Times alone. I have noted that for the past two days DPP is deliberately messing up with this much visited website. Hope this will not happen again. Tamvana kodi a Dausi?

Kanthu Ako!
Guest

Running Nyasa Times is not free, if they do not pay the host it gets pulled down just the same way your electricity gets cut off if you do not pay.

Don’t blame things on people who have nothing to do with it.

wpDiscuz

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