Malawi government has received a boost with German announcing that it will pump about 10 million euros to Lilongwe before the year end and pledged more future support.
Finance Minister Dr Maxwell Mkwezalamba confirmed that German announced its support after he led led a Malawi delegation to Berlin, Germany on Saturday to meet with Germany’s Federal Minister of Economic Cooperation and Development, Dirk Niebel, and his senior officials.
The Malawi delegation included the Minister of Justice and Constitutional Affairs, Fahad Assani; the Malawi’s Deputy Ambassador to Germany and Charge d’Affaires, Oliver Kumbambe and other Government Officials.
“Following the fruitful discussions that took place, Mr. Niebel appreciated Malawi Government’s efforts aimed at addressing weaknesses in the Public Finance Systems in Malawi and the measures that have been put in place to address the fiscal gap emanating from the delayed budget support,” Mkwezalamba said in a statement seen by Nyasa Times.
German minister shared the concerns of the Malawi Government regarding the likely negative socio-economic impact of the delayed budget support by cooperating partners.
“To support Malawi Government’s current efforts in improving public finance management, he announced that the Germany Government will disburse, by the end of the year, €8.5million (about K 4.73 billion),” said Mkwezalamba.
The Malawi Finance Minister said German purse keeper also announced that his government will disburse €5.0 million (about K 2.76 billion) to support Maternal and New born health.
Furthermore, Germany will provide support to governance institutions, including the National Audit Office, to build their capacity.
In the case of suspended General budget support, Niebel indicated that Germany will make a decision between January and March next year after IMF’s board meeting and assessment of further progress the Government of Malawi will have made in the implementation of its Action Plan and other measures.
“On behalf of the President, Her Excellency Dr. Joyce Banda, the Government and the People of Malawi, the Malawi delegation thanked the Germany Government for the cordial and fruitful discussions, as well as the timely financial and technical support.,” said Mkwezalamba.
He said the delegation assured the German Government of the “commitment” of the Joyce Banda administration to “remain the course in implementation various measures aimed at strengthening public finance management in Malawi and ensure macroeconomic stability.”Follow and Subscribe Nyasa TV :