Malawians reduced to economic refugees, says MP Yeremiah: Tips Finance Minister on restoring economy

Alliance for Democracy (Aford) lone  legislator Yeremiah Chihana has bemoaned deepening economic hardship in the country, saying  Malawians are being reduced to economic refugees.

Yeremiah Chihana: Malawi economy is bleeding

Outspoken Chihana, who is legislator for Mzimba North, said in parliament that new Minister of Finance, Economic Planning and Development, Joseph Mwanamvekha has “a very big challenge” to manage the country’s economy.

Chihana, who was the evaluator of former president Bingu wa Mutharika’s deceased estate, said the international capital market  is showing that even Kayelekera uranium mine in Karonga which was managed by Australian company Paladin, its assets are being sold from a value of US$700 billion to US$5 million, almost at an exit value.

“That is showing that the economy is bleeding, it is overcrowding. Malawians are now economic refugees in this country. They are not even being paid for their tobacco that is sold on time. They are not having even a minimum wage and not even having a minimum receipt to sustain their families,” he said.

He said Malawi is in economic meltdown, saying at Queen Elizabeth Central Hospital  in Blantyre, patients are being turned away from admission because they cannot manage to pay their existing water bills of K15 billion.

“I am aware that this situation is also prevailing at the Army, Police and various hospitals in the country,” he said.

Chihana tipped Finance Minister Mwanamvekha on restoring the economy.

“The Reserve Bank of Malawi must have a counterpart from the Bundes Bank of Germany so that we can instil confidence in the Germans. In 1979 and 1985 when the economy was overheating, Dr Kamuzu Banda had to ask for the assistance of the one of the states in Germany, it will not be strange for you to ask for the same. The economy is not at the same level.

“Secondly, at the same time you can get a consultant from Norway to help with the economy and it is important to strengthen again the operations transactions of the Reserve Bank of Malawi. We have no choice because we are failing to control our own consumption,” he said.

He also persuaded government to lobby for the debt cancellation from international lenders through G20 summit “so that we can come back to a sustainable level because our export and debt levels are unsustainable.”

Malawi, one of World’s poorest countries, has experienced major economic difficulties since the suspension of donor aid in late 2013 in the wake of the Cashgate scandal, which involved the looting of public finances.

More than half of Malawi’s citizens live below the poverty line.

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BigMan
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BigMan

I agree the economy is in freefall due to poor leadership and mismanagement especially corruption by the DPP from the simple cadet all the way up to the Presidency.

We dont need foreigners, we need a change of leadership.

Blazio
Guest
Blazio

True, Malawians living in RSA register themselves as economic refugees in order to be recognized as legal immigrants; why doesn’t the government negotiate with their South African counterparts to grant Malawians a certain form of recognition like what they are doing for Zimbabweans which they call ZSP(Zimbabwe Special Permit): Politically it may not sound well but you cannot deny what is in existence, there are a lot of Malawians in RSA. Please, who ever is responsible help the plight of your citizens who live in South Africa.

THE APOSTLE
Guest

YEREMIAH CHIHANA HAS SPOKEN WITH ECONOMIC WISDOM BUT I DOUBT IF OUR POLITICIANS WILL LISTEN

Mbusiyeni Muthembi
Guest
Mbusiyeni Muthembi

“Honourable YM you are in my blood”. I do cry for the earliest exist of Right Honourable Kusamba Dzonzi who had the same spirit. This country is being led by selfish people from a selfish tribe. Malawi needs a bail out of not more than $10billion to cusion this current gap. Therefore the country should embark on restructering the economy by reclaiming back some of the defunct/pvtzd state owned companies. The country should also put in place tough trade policies not in imports but to the already existing Asian firms. These firms are everyday engaged in capital fright. Believe with… Read more »

kgosi
Guest

good analysis but poor “acting” finance minister

Mr Truth Pains
Guest

Indeed Yeremiah that’s spot on, I didn’t know that u are such clever man till I came across
this article. Politics aside but take this advise for better use and for the benefits of the country .
Recruit Mr Yeremiah Chihana on Consultancy team to help the economy propel through this hard time.

Operation Chotsa Mbavaa
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Operation Chotsa Mbavaa

Indeed couldn’t agree more with you Mr.T.P. Hon Chihana is the type of politicians we need in the cabinet, not clueless, tired n obsolete junk n thugs we currently have. We need a complete overhaul of our country’s social political n economical systems by first getting rid of these dpp thugs…. MBAVAA n Company….then get capable and patriotic team of cabinet to drive this beautiful nation forward…. coz since attaining our economical graph has been on the decline ever since. Dpp is just painting false pictures of the economy to the people. Govt parastatels ( mra macra mera water escom… Read more »

Clement kadalie
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Clement kadalie

Very mature analysis…. Iwe Mwanavekha take note of the wise and dynamic advice from the hon MP.

Operation Chotsa Mbavaa
Guest
Operation Chotsa Mbavaa

🤣😂🤣well said… koma Joseph is silent n smooth operator but very dangerous too. That’s why he’s been put there by the chief MBAVAA. Cashgate started in 2006 under senior MBAVAA n this Joseph was the mastermind of ifmis system. My calculation is close to USD 5B is mismanaged n siphoned n stolen from the Govt purse by these chimanga branded thugs since 2006 to now. Madam JB was caught unaware n got dragged in the cashgate and was made a scape goat by these same thugs. Area 43 cashgate area has a combined value of over USD 300 to 400… Read more »

National CEO
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National CEO

The problem is that our parliament is not effective. Why do they always approve the government to get loans?

Iantana
Guest
Iantana

True but i do not subscribe to debt cancellation when we borrow and misuse the funds ash!

TOSH
Guest

HOW CAN THE ECONOMY STABALIZE WHEN PEOLE ARE STEALING OUR TAXES AND PUT THE IN THERE POCKETS

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