By Chrispin Lwanja:
The Centre for Democracy and Economic Development Initiatives (CDEDI) has intensified pressure on the government over Malawi’s foreign exchange (forex) crisis, calling on Finance Minister Joseph Mwanamvekha to step down if he fails to present a clear solution.
In a statement released Thursday in Lilongwe, CDEDI Executive Director Sylvester Namiwa said the ongoing forex shortage is the main cause of fuel scarcity and rising economic challenges in the country.
“The forex shortage is at the centre of the fuel crisis and the economic hardships Malawians are currently facing,” said Namiwa.
The organization said remarks by Information Minister Shadrick Namalomba confirmed that Malawi is struggling to access enough forex to import fuel and other essential goods.
Namiwa explained that the shortage is affecting key sectors such as health, agriculture, manufacturing and electricity, while also weakening the Malawi kwacha.
Meanwhile CDEDI Executive Director has challenged Mwanamvekha to outline a clear and practical plan to resolve the crisis, reminding the ruling Democratic Progressive Party (DPP) that it promised to fix forex shortages within six months of taking power.
The organisation has further challenged the Minister of Finance to immediately present a clear forex turnaround strategy in line with the DPP manifesto.
Namiwa has since warned that failure to act should lead to resignation.
Despite the criticism, Namiwa noted that gold sales by artisan miners, through the Reserve Bank of Malawi, could help ease the forex shortage.
