Germany provides K21bn for social and economic transformation

The Government of Germany has provided K21 billion grant to the Malawi Government for the implementation of various safety net programmes.

The grant comes on top of another Germany’s funding totalling about EUR2, 700, which is currently being implemented in ongoing programmes in these sectors.

Speaking after signing the agreement in Lilongwe on Monday, the German Ambassador to Malawi, Ralph Timmerman, promised that his government will provide more assistance towards Malawi’s programming.

Timmerman said Malawi is a great partner and will stand together during this time when the country is using much of its resources in fighting Corona Virus.

“This is a most challenging time for Malawi and the whole world, Germany stands by the Malawian people,” he said.

The envoy said a new commitment of up to EUR4 million was agreed to support improvements in health service delivery in Malawi within the framework of the Health Sector Strategic Plan through the Health Services Joint Fund (HSJF).”

“Secondly, a new commitment of up EUR 4.0 million was agreed to support improvements in access to high quality sexual and reproductive health and rights information, products and services with particular focus on youth and rural populations.

“Another commitment of up to EUR 9.0 million was agreed to support improvements in living conditions of households, which have been identified as ultra-poor and labour-constrained in project districts through receipt of cash transfers under the Social Cash Transfer Programme.

“Lastly, EUR 6.0 million was committed for private and financial sector development in Malawi.

“In addition to supporting improvements in health, social protection, and economic development parts of these new commitments will simultaneously directly and indirectly support activities outlined in the Covid-19 National Response Plan,” Timmerman said.

In his remarks, the Minister of Finance and Economic Affairs, Sosten Alfred Gwengwe, commended the German Government for the timely intervention.

Gwengwe promised that the Malawi Government will use the resources prudently and in line with Chakwera’s Hi5 agenda, which takes a hard stance against corruption.

“Our cooperation dates back to 1964 when Malawi became independent, and this financial cooperation agreement will contribute to transformation of agriculture value chains, provide income security to the most vulnerable and ensure that our people have access to reproductive health,” said Gwengwe.

He said the funding will be provided for health, social protection and private sector development.

Gwengwe said the money will contribute to social, economic and environmentally sound development to the Malawi Government.

On the other hand, the Minister of Gender Patricia Kaliati said the support will improve the social and economic status of beneficiaries of the safety net programmes in Malawi.

Meanwhile, the Minister of Health Khumbize Kandodo Chipondo said the ministry has finalised construction of 14 health centres with support from Germany.

“You have just funded procurement of CT scanners this again is very important,” said Chiponda.

Just few days ago, Gwengwe signed USD14Million grant, which is close to K12 billion with African Development Bank at Capital hill in Lilongwe.

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