Malawi has been promised $50 million assistance by the World Bank to rehabilitate roads following last month’s devastating floods.
Finance Minister Goodall Gondwe told reporters the money will be used in rebuilding damaged roads, bridges, schools and houses that were washed away by the floods.
“I am pleased to inform Malawians that the bank is going to assist us with some $50 million that will be channeled to rehabilitate places affected by floods,” Gondwe said.
The announcement follows a visit by a World Bank mission to Malawi to assess the damage caused by the floods, which killed 176 people and displaced 200,000 others.
The high-level bank delegation met on Friday with Malawian President Peter Mutharika at Kamuzu Palace in Lilongwe .
The President said the country was facing numerous economic challenges and it was in desperate need of the donor support.
“We took leadership of this country nine months ago and for your information we inherited a number of problems. The government was almost bankrupt because most of our donor partners left after the cash gate scandal.
“As you might be aware 40 percent of our recurrent budget was from donor support and by sizing the assistance it meant hardships for the country. The Minister of Finance has tried his best but suffice to say that we need your support,” said Mutharika.
World Bank and IMF are yet to unlock budgetary support to Malawi following the Cashgate scandal where over $100 million was stolen from the public purse.
But Alinter Smith, who leads the bank’s delegation, told journalists that the bank decided to help because of the diverse impact of the flooding.
“We are very much concerned with the loss of lives and properties hence the coming in to the support,” he said.
“As a bank we say sorry for tragic loss and we promise to support in every area that we can,” Smith said.
Before coming to Malawi, these World Bank directors visited Ethiopia and will proceed to Kenya.Follow and Subscribe Nyasa TV :