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(NYASATIMES) Muluzi says doesn’t know what has gone wrong with Malawi economy

Muluzi says doesn’t know what has gone wrong with Malawi economy
By Nyasa Times
Published: January 7, 2010

Former president Bakili Muluzi said he is wondering what has gone wrong with the country’s economy which was reported to be the fastest growing world economy after that of Qatar; but is now suddenly facing what commentators have said is Malawi’s “worst economic crisis ever”.

Muluzi, who has retired from politics, was featured on the in-depth interview program Straight Talk on Capital Radio aired on Thursday evening. Programme host Brian Banda asked Muluzi to comment on the shortage of forex, fuel and on problems with basic social amenities such as the supply of electricity and water.

“I am meant to believe that the economy is going very well. Now if the economy is going very well, naturally that goes with the availability of foreign exchange because import cover for the country, like during our time, was three to four months for foreign exchange availability. There wasn’t a problem. We now hear the import cover is about two weeks. That is very dangerous.”

Muluzi, however, pointed out that the government machinery is not likely to be idle on the issue.

“I am sure, that the government has not just sat down looking at this problem,” he said.

But he added: “I read in the paper today, however, that the Chamber of Commerce and Industry have indicated that the problem is worsening on foreign exchange availability.”

Muluzi, who ruled Malawi from 1994 to 2004, said he has no clue regarding what has gone wrong with the country’s reportedly growing economy.

“I don’t have the answers for it because I don’t know what has gone wrong,” he said.

He pointed out that during his reign, the country run from 2001 to 2004 without donor support but there were no problems of forex and fuel shortages.

“We cannot afford to have no electricity; we cannot afford to have no water, we cannot afford to have no fuel because that’s life for the people. That is economic life for our country,” said Muluzi.

Asked to give his views on the proposal by government to change the national flag, Muluzi said he would like people to be asked to decide.

Muluzi announced his retirement from active politics last year in December, stepping down as chairman of United Democratic Front (UDF).

Labels: BAKILI MULUZI, ECONOMY, GREAT DEPRESSION II, MALAWI

posted by MrK @ 12:29 AM