ECAMA projects 24 yrs for Malawi to become lower middle-income economy
The Economics Association of Malawi (ECAMA) has said it will take up to 24 years or more for Malawi to become a lower middle-income economy.
The country’s president launched the first ten-year implementation plan of the Malawi 2063 in November this year. The plan seeks to take Malawi to 2030 where it wishes to become a lower middle-income economy. It is assumed that the economy will be growing at an average of 6% per annum.
But ECAMA through its Executive Director, Frank Chikuta, thinks at the rate the Malawi economy is growing, it will need up to 24 years to see the vision of becoming a lower middle-income economy realised.
Chikuta was speaking in Lilongwe on Monday during a pre-budget consultation meeting chaired by Finance Minister, Felix Mlusu.
“If we continue growing at the rate of 3% or so, it might take us 24 years or more to double our national income. At the level our national income is now, for us to reach the lower middle-income status by 2030, we need it to be doubled. And for it to be doubled, we need to grow at a higher rate than the 3% that we are growing at, at the moment,” explained Chikuta.
Minister of Finance, Felix Mlusu, said government has put in place a number of strategies to ensure that the economy can be growing by over 6% per annum.
“Last week, the President launched the National Export Strategy and that strategy entails that we should produce more and manufacture more locally so that we can be exporting our products outside with much higher value.
“We need to create more exports for us to be able to have foreign reserves and for us to be able to pay our foreign creditors,” explained Mlusu.
In 2009 Malawi’s economy registered strong growth when it grew by 9.2%. That year, it was named the second fastest growing economy after Qatar.
The economy has over the years been affected by factors such as cyclones, droughts, foul army worms and the Covid-19 pandemic.
The factors affecting the economy of Malawi ate not specific as many other countries get equally affected in the same manner and by similar conditions.
What is perhaps specific to Malawi is how endemic and how deep the root of corruption has taken hold of the country’s economic infrastructure.
Check this; I’ve developed a toilet soap whose samples got sent to Malawi Bureau of Standards on 3rd November 2021 with a 21 days waiting period; am yet to hear about the result. It’s going to be 2 months come next week; January 3rd.
By now I could have employed salesmen, marketers and administration office workers. Enemies of progress are occupying positions they don’t deserve. Think of what happens at MRA, Customs, Roads Authority and many other government institutions. It’s pathetic.
Many high profile individuals have been charged but we are yet to see who has been successfully prosecuted and sent to jail. Thom Mpinganjira is really an exception. May be there was a personal vendetta.
Dignitaries in foreign offices belonging to the previous administration are failing to come to Malawi on pure frivolous grounds. That has made it difficult for the current administration to send envoys to those countries and their future and that of their children is simply hanging in the balance.
With all these problems appearing almost everywhere; the current government needs to show that it has what it takes to tackle challenges head on. Individuals found to be incompetent and or corrupt need to be dealt with forthwith, period. Perception is reality.
Lay back attitude will not help us to progress and bring us economic emancipation. We will forever remain poor. A lot of individuals deserve to be in jail right now but are happily enjoying life with stolen money. It’s just sad indeed!!!