“Deeper Disruption”, IMF Warns Malawi Over Political Pressure and Covid-19 Outbreak

The International Monetary Fund (IMF) has warned that Malawi risks a “deeper disruption” in economic activity due to the COVID-19 pandemic.

While commending authorities for regaining control over budget in the first half of the 2019/20 financial year, IMF, however, says maintaining such a performance in the second half of the fiscal year will be challenging due to pressures emanating from COVID-19 as well as political pressures ahead of the fresh election, all of which it says will weigh in on government revenue.

IMF has said this in a statement issued this evening at the end of its mission in the country held between March 10 and 23, 2020 to conduct a fourth review of its three-year Extende Credit Facility (ECF).

The mission was led by IMF Mission Chief for Malawi Pritha Mitra.