Business and Finance

As concerns grow over Malawi’s stalled Extended Credit Facility (ECF) with the International Monetary Fund (IMF), civil society organizations (CSOs) and economic experts are offering divergent views on what went wrong — and what should happen next.

Economist and senior DPP official Dr. Paul Gadama has raised concerns over Malawi’s deepening economic crisis, citing persistent inflation, fuel shortages, and foreign exchange instability. He criticizes the government’s inadequate response, particularly its reliance on monetary policy without addressing structural weaknesses. Gadama calls for a holistic approach that includes targeted agricultural investment, energy reforms, and forex management to prevent further economic decline and social unrest.

The World Bank January 2025 edition of the Malawi Economic Monitor (MEM) has stressed the need for urgent economic reforms to stabilize Malawi's economy warning that failure to do so could lead to deeper fiscal distress, increased poverty, and economic stagnation.

The meetings provided space for stakeholders to submit their recommendations to the national budget.

Economics expert Kingsley Jasi says the move will impact individuals and businesses as the country grapples with forex scarcity

High-ranking officials, including the President, Vice President, Members of Parliament, and senior judiciary and government officials, will no longer enjoy VAT waivers on motor vehicle imports.

Operations of three fuel service stations have been suspended by the Malawi Energy Regulatory Authority (MERA) for selling fuel to customers in jerrycans and...