The inflation rate is on record to be coming down to as low as 9.3 percent with the country running its affairs without full donor support, as well as recovering from two tragedies which had hit the country in the past four years, namely the flooding which affected millions and cash gate financial scandal which drained billions of government resources forcing donors to pull off their aid.
President Peter Mutharika who has been leader since 2014 set aside several reforms that included stripping off ministers some privileges like entitlement to several posh cars, reducing his internal and external travels, refusing salary increment for himself and institution a public finance management policy which has helped the country to get back on its feet economically.
In July 2017, the inflation rate was 10.2 percent. The inflation eased for the eighth straight month to the lowest since November 2011.
Inflation Rate in Malawi averaged 15.22 percent from 2001 until 2017, reaching an all-time high of 37.90 percent in February of 2013 and a record low of 6.30 percent in December of 2010.
Spokesperson in the Ministry of Finance, Davis Sado said the development is due to Government’s sound economic policy.
“This is a very positive sign. As Government, we will continue following and implementing good fiscal policies to contain this inflation and also propel growth of the economy,” said Sado.
Consumers in Malawi have all reasons to smile and have money in the pocket with a great buying power, with their economy being on track.