Mutharika cited inflation figures, forex reserves and a new International Monetary Fund (IMF) Extended Credit Facility as a sign that his administration has improved the economy.
“Mr. Speaker, Sir, our macro-economic outlook is very bright. Nobody says we have achieved economic perfection. Nobody should say we don’t have challenges. But we agree that there is now a clear sense of economic direction and that we can count our achievements as a nation.
“In general, we have achieved macro-economic stability, inflation reduction and a rebound in economic growth.
“The International Monetary Fund has just given us a vote of confidence. This week, the IMF has approved a new Extended Credit Facility for the next three years. This means the IMF is satisfied with our economic management,” he said.
He threw at the House impressive economic figures that four years ago inflation was at 24 percent but now it is in single digits and that interest rates have dropped from 25 percent to 16 percent.
“We have taken our foreign currency import cover from the lowest point to the highest point in our economic history. From an import cover of below two months, our import cover now stands at 6 months. Our local currency is now stable and predictable,” boasted Mutharika.
He hastened to add that in four years, the DPP-led government has taken gross domestic product (GDP) growth rate from 2.4 per cent to projected growth of 4 percent this year.
“ But everybody can see the struggle of Malawians,” he said.