Malawi Gets Boost to Unlock more Financial Support from Development Partners
Prominent African leader delivering a speech at a conference, emphasizing development and unity in Africa.
The International Monetary Fund signed off on a $178 million loan for Malawi to boost its foreign-exchange reserves, support the debt-ridden nation’s economic revival and catalyze grant financing, a week after the southern African nation devalued its currency. The 48-month extended credit facility “will support the authorities’ macroeconomic adjustment and reform agenda aimed at restoring macroeconomic stability,” the IMF said in a statement. “The decision is a big breather for us and our economy… Two major benefits expected are the resumption of budgetary support from our traditional donors and the easing of foreign currency supplies, ” Finance Minister Simplex Chithyola Banda said. The World Bank could give Malawi $60 million for trade finance, a $217 million package linked to fiscal reforms and $250 million for agriculture, Chakwera said.