(BESTOFMALAWI) Malawi cuts donor dependence to 30%

Malawi cuts donor dependence to 30%...
Thu, 03 Jun 2010 02:54:00

Malawi has for the first time in many years reduced its dependence on
donor aid for budgetary financing; with donor funding estimated to
contribute 30% to the country's of MWK 297bn national budget for the
next financial year. Donor funding has for some time accounted for over
40% of the country's national budget, making the country highly
vulnerable to external factors. (Source: The Daily Times)

Stakeholders rate budget openness highly

A survey conducted by the Malawi Economic Justice Network (MEJN) among
"well informed people" in various sectors of the country has established
that most stakeholders in the country's national budget formulation
process are happy with the transparency and level of consultation the
government undertakes when drawing up the budget. The survey, funded by
the Overseas Development Institute of the United Kingdom, was aimed at
establishing perceptions about interrelationships between government,
parliament, civil society and the media. (Source: The Daily Times)

MSB forecasts stable macroeconomic scene

The Malawi Savings Bank (MSB) wholly-owned by the Malawi Government, has
forecast a stable macroeconomic outlook with both the exchange rate and
interest rate projected to be stable in June, while inflation is
expected to continue its downward trend up to around October 2010. MSB's
forecast comes barely three days after Finance Minister Ken Kandodo
sounded optimistic as he presented the 2010/11 National Budget, in which
he said the country is poised to attain a 6.5% economic growth rate,
higher than the 4.7% projected for the region this year. (Source: The
Nation)

Market Talk

Only two counters traded today, but turnover increased significantly to
MWK 25.4m on the back of 409,475 NBM shares, representing 94.7% of the
total market turnover. The other counter was Illovo (12,200). Demand for
NBM was sustained. The market remained flat.