Malawi govt formulates 2014-2015 national budget without donor aid

The Malawi government has started working on the 2014-2015 national budget that does not encompass direct budget support from the donors, according to Finance Minister Maxwell Mkwezalamba.

Mkwezalamba denies that the government will be implementing the controversial zero deficient budget, which was widely criticized during the Bingu wa Mutharika era.

It comes after donors have clearly said that they will not resume direct budget support to Malawi in the absence of tight public finance paying system.

On his part, Common Approach to Budgetary Support (CABS) Co-Chairperson, Alexander Baum hails the move saying donor aid is always conditional.

Speaking on the same issue, Malawi Economic Justice Network (MEJN) Executive Director, Dalitso Kubalasa says donor aid suspension results into untold suffering of the poor thereby challenging the authorities to walk the talk in building donor confidence.