By Burnett Munthali
Dr. Dalitso Kabambe, a distinguished economist and former Governor of the Reserve Bank of Malawi, has raised a serious alarm regarding the country’s worsening economic conditions. In response to today’s front-page news stories, Kabambe has described the Malawian economy as displaying “alarming signs of sustained decline,” emphasizing that these issues cannot be overlooked.
The recent news highlighted two critical concerns: Malawi’s escalating debt, which now stands at K15 trillion, and a 10% increase in water prices. Kabambe points to these developments as clear indicators of economic mismanagement by the current administration.
“Our economy is in a dire state,” Kabambe asserted. “Inflation rates are soaring, essential goods are becoming increasingly unaffordable, and our currency’s value is plummeting. Yet, this administration seems to be in denial about the situation.”
Kabambe’s warning comes at a time when many Malawians are struggling with rising costs of living and diminishing purchasing power. The steep rise in water prices further exacerbates the financial strain on households already grappling with the effects of inflation.
The former central bank governor’s comments reflect growing concerns among economists and the public about the government’s handling of the nation’s economic challenges. Kabambe’s critique underscores the urgent need for effective policies and transparent governance to address the mounting economic pressures facing Malawi.
As the situation continues to evolve, Dr. Kabambe’s insights provide a crucial perspective on the country’s economic trajectory and the pressing need for corrective measures
