Malawian president pleads with WB to resume aid

Source:Xinhua Published: 2015-2-15 14:40:39

Malawian President Peter Mutharika on Friday pleaded with the World Bank to resume aid to the developing country.

Mutharika made the appeal when hosting the World Bank's high level delegation of nine executive directors, adding that with donor-aid frozen, Malawians were suffering.

The World Bank and other donor members, who form the Common Approach to Budgetary Support, withdrew their support to Malawi's national budget following the plundering of public finance termed "cashgate" by the media.

However, the Malawian leader assured the World Bank high level team that his new administration would ensure prudent fiscal discipline.

"We have seen the economic consequences of the cashgate and I promise that nothing of that nature will ever happen in this country again," he said, adding, "However, we need that donor support."

Mutharika said the country now had a good environment for foreign investment and he appealed to the World Bank to help attract investment into Malawi.

The World Bank team leader, Alinter Smith, said the bank would resume its budgetary support to Malawi after a further scrutiny of the country's finance management systems.

"We have made it clear that the Bank is ready to support only upon
implementation of the financial management systems," Smith said.

The donor community contributes up to 40 percent of Malawi's national budget.

Posted in: Africa

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