Malawi’s $500m bail out in jeopardy – donors
Malawi needs a bail out of about $500 million to get out of its economic mess. Currently on ICU, it urgently requires Western assistance but the President Bingu wa Mutharika’s vilification of donors last Sunday has jeopardised the possibility of a rescue package, diplomatic sources have confided.
Senior diplomats, in separate interviews, told The Nation in Lilongwe that the donor community plans to meet shortly to discuss and analyse the President‘s statement over the weekend—that they (the donors) are funding groups to stage protests against government.
In his address at Goliati Trading Centre in Thyolo on Sunday when he officially inaugurated the Malowa-Goliati-Chiperoni Road, President Mutharika said he is tired of continued insults from members of the opposition, civil society organisations.
He blamed donors for allegedly supporting some NGOs whom he claimed want to cause confusion through demonstrations.
“Malawi currently needs about $500million to be bailed out from the economic problems it is facing, but with such remarks, I see our readiness to bail out the country diminishing and the country is slowly sliding into another Greece scenario where it will not be able to pay its creditors in the coming months,” a senior diplomat is reported to have said.
This could be the last nail of the coffin of President Mutharika’s administration because although the president has been secretly flying around Africa with a begging bowl, he ought to have exhausted and managed local donors first.
Malawi is yet to see what sort of “aid” will come from the president’s secret visit to Abuja, Nigeria.
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