The People’s Republic of China on Monday signed a $5 million partial debt cancellation facility with the Malawi Government.

The signing of the agreement follows the announcement of the package by China last year.

During the Forum on China-Africa Cooperation Conference, held virtually in August last year, Chinese Foreign Minister Wang Yi said the Chinese Government has waived 23 interest-free loans for 17 African countries.

Briefing reporters in Lilongwe on Monday, Chinese Ambassador to Malawi Long Zhou said the waiver of the relevant debts of Malawi can effectively help Malawi reduce its debt burden, improve its investment environment and seek more international support, so as to achieve a steady recovery of its economy.

On his part, the Finance Minister Hon Sosten Alfred Gwengwe MP hailed the People’s Republic of China for the partial debt cancellation.