Malawi: Development Aid

(asked on 15th November 2023) - View Source

Question to the Foreign, Commonwealth & Development Office:

To ask the Minister of State, Foreign, Commonwealth and Development Office, whether he has had discussions with his (a) international counterparts and (b) delivery partners in Malawi on the impact of the devaluation of the Malawi Kwacha on the delivery of UK aid-funded programmes in that country.


Answered by
Andrew Mitchell Portrait
Andrew Mitchell
Minister of State (Foreign, Commonwealth and Development Office) (Minister for Development)
This question was answered on 22nd November 2023

The approval of an $178 million Extended Credit Facility (ECF) in Malawi reflects important reform progress by the Government of Malawi to boost economic growth. The recent 44 per cent exchange rate realignment was a tough, but necessary measure to secure an ECF, as foreign exchange reserves were critically low and the overvalued currency was hampering export competitiveness. The UK development programme in Malawi will continue to provide support over this period of economic adjustment. In coordination with other partners, this support will include prioritising additional support for those facing food insecurity, through providing cash and food.

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