IMF Calls for Patience on Economic Recovery

Amid rough economic times in Malawi, the International Monetary Fund on Monday pleaded for patience from Malawians to give the economic recovery plan a chance.

The plan is an 18 month initiative the southern African country has put in place to cushion its citizens from the effects of recent economic reforms that the Joyce Banda administration implemented including the devaluation of its currency by 49 %.

It includes the rolling out of public works where villagers are paid for piece works that mainly involve clearing bushes along the roads so that they have money to buy basic necessities.

IMF Resident Representative to Malawi Mrs. Ruby Randal exclusively told Zodiak Online that the reforms which the Joyce Banda administration undertook need to bring the much desired results.

Since the devaluation following pressures from IMF and other institutions prices of basic commodities have skyrocketed impacting negatively on a country the majority fail to raise one dollar a day.

“It’s important to keep in mind what the country was facing when the policy measures were being implemented and the situation could have been much worse in the absence of these corrective measures,” said Mrs. Randal.

“Adjustments take time, it’s not reasonable to expect that all problems in the foreign exchange market would have been immediately resolved. You have to keep in mind that these problems took years to develop.”

The IMF boss also denied reports that the money laundering body is remote controlling Malawi by imposing policies without looking at the possible repercussions.

Mrs. Randal also commended the 30 % cut in salaries of President Joyce Banda and her vice Khumbo Ckachali, saying this displays commitment that the leaders are in the front taking austerity measures.