Thursday, July 18, 2024
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President Chakwera Returns Home After Concluding Business in Ghana, Secures K2.6 Trillion from Afreximbank  

 

The Malawi leader, President Lazarus Chakwera has returned home last evening after concluding his business in Accra, Ghana where he attended AFREXIMBANK conference alongside other heads of states and governments.

President Chakwera attended the AFREXIMBANK meeting to promote trade and investment linkages in order to stimulate economic growth for Malawi.

He has since arrived home with US$2.6 billion (about 2.6 trillion in local currency) from the Afrexim Bank which has committed to finance the implementation of mega farms in Malawi as well as establishment of industrial parks and special economic zones aspired by the Chakwera administration.

The financing undertaking has been confirmed with a signing of a Memorandum of Understanding (MoU) that the bank signed with Malawi Government officials on Monday, in a ceremony that was witnessed by President Chakwera.

On his return, the Malawi leader landed through Kamuzu International Airport (KIA) at exactly 10:00 Hrs GMT and was welcomed by the Vice President, Saulos Chilima in the company of senior Government and ruling party officials.

The President was initially scheduled to return home today, Wednesday, 21st June all things being constant. However, things have not remained constant as the President and his delegation concluded his business ahead of schedule, according to announcement from Ministry of Foreign Affairs made prior to his departure from Accra.

During his Ghana trip, the President was, on the sidelines, engaged in bilateral talks with other African leaders on matters of mutual interest.

Afrexim Bank, which has committed to support Malawi in mega farms implementation, has been very instrumental in supporting the country’s economic development and has, during the meeting held with the Malawi Government, agreed to a debt restructuring plan with Malawi that the latter proposed.

Minister of Finance, Sosten Gwengwe, who was among the delegates of the Malawi Government in the discussions with Afrexim has disclosed that one of the conditions that the IMF placed for Malawi to qualify the much-needed Extended Credit Facility (ECF), is for the country to work on its current liabilities.

Gwengwe stated that the discussions of debt restructuring plan with Afreximbank is very important as it lightens the liability burden on Malawi, giving it adequate breathing space to conveniently service its loan owed to the bank, thereby assuring the IMF that the ECF funds will not be used by Malawi to service the loans owed to other institutions such as Afreximbank.

The ECF is described by many economic commentators as a major game changer and sustainer of Malawi’s economic posturing, a perspective that has been shared by the Finance Minister who has hailed the Afreximbank for easing the burden on Malawi so that it can benefit the ECF.

 

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