It never rains but pours on Malawi government under the leadership of Dr Joyce Banda.

Few weeks after Malawi government through Minister of Foreign Affairs pleaded with Donors to resume financial aid to Malawi, Germany has pulled out from the group of donors that give direct budget to Malawi(Common Approach to Budget Support   ( CABS).

Germany Ambassador to Malawi Peter Woeste explained that the decision had been arrived at after an in-depth analysis of the usefulness of the general budget support as a development instrument in Malawi.

“This is at present the number one forum where we have fair and frank discussions with the government of Malawi not only on financial issues, but also on government and political issues. So it will not be appropriate to leave that and no longer having this access,” said Ambassador  Woeste.

He said Berlin will be exploring alternative means of assisting the Malawi people.

In his response to the development, Minister of Finance Spokesperson, Nations Msowoya said  the development is regrettable.

“The decision is regrettable and we hope that Germany will revisit its decision. However, while Germany was a member of CABS, they last made their direct budget support in 2011,” he said.

Meanwhile the government of Malawi is working on a Zero-aid budget as an alternative solution to the withholding of donor support to the country.

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