Joyce Banda secures K35bn for Malawi

President Joyce Banda has secured K35 billion (€98 million) meant for Agriculture Sector Wide Approach and Social Transfer Program, a State House statement states.

“Her Excellency Mrs. Joyce Banda has secured a total of K35 billion from the European Union through the signing of two Financing Agreements, to support the implementation of the Agriculture sector wide approach (ASWAp) and the social cash transfer program,” the statement says.

It further states that the signing ceremony took place on Wednesday in Brussels on the side-lines of the European Development Days (EDDs).

“This marks yet another milestone in the cordial relations that exist between Malawi and the European Union,” it stated.

In his remarks, the EU Commissioner for Development, Andris Piebalgs, assured Malawi of EU’s continued support to ensure that Malawi achieves its development goal of eradicating poverty.

The statement says the Social Cash Transfer Programme is a key component of the social safety net the government is putting in place to cushion the short term effects of the Economic Reforms currently underway.

The European Union is the largest multilateral donor to Malawi.

The resources announced are drawn from the Tenth European Development Fund (EDF) as well as the Millennium Development Goals Initiative.

The EUs total aid budget for all countries stands at €100 billion with the organisation setting itself a target to increasing this aid by up to 20 percent in the next eight years.

On Tuesday, President Banda held 10 bilateral meetings with various world leaders during which she raised Malawi’s profile to investors.

Banda also outlined Governments Economic Recovery Program aimed at bringing the economy back on track.