Former Speaker of Parliament Sam Mpasu has observed that President Peter Mutharika and his government are to rescue the country from the hunger and economic crisis, offering tips on number of things that government can do to deal with the situation.
Mpasu pointed ou that “Malawi can liberate itself” from the economic turmil and hunger crisis.
“For instance government should emphasize on local production so that it should start exporting things and minimize importing goods,” tipped Mpasu, who served as Trade and Commerce Minister in the Bakili Muluzi administration.
According to Mpasu, if the country starts exporting its local production, it will generate foreign currency which may in turn stabilize the economy.
During the opening the 2016/2017 budget meeting on May 20 in Lilongwe, President Peter Mutharika said his administration continues to implement the National Export Strategy to build the economy’s productive base.
“During the 2016/2017 financial year, government will continue implementing reforms in order to enhance Malawi’s attractiveness as an investment destination. The reforms will now include reviewing the regulations to establish Export Processing Zones, which will in turn facilitate the promotion of industrialisation,” said Mutharika.
According to Mutharika, the reforms will also attract private investment, which is necessary for economic growth, job creation and poverty reduction
Mpasu also emphasized on the need for government to start using tourism industries as another alternative way of dealing with the economic crisis.
“We have different kind of creatures that can attract tourists in the country thereby getting foreign currency,” said Mpasu.
Recently, British High Commissioner, Michael Nevin, advised that growing the country’s economy requires a more private sector-led approach, which reduces State dominance and allows non-State actors to operate without fear of political interference or pressure.
Given that the Malawi economy is agro-based, Nevin also urged government to fix distorted markets and incentives, including amending the Control of Goods Act to encourage more growers to grow and export their produce.
He also advised the private sector in the country to reform.