Minister of Finance and Economic Affairs Simplex Chithyola Banda says his ministry expect a gradual economic recovery with a growth of 3.2 percent in 2024.
Chithyola made the statement during pre-budget consultation meeting on Wednesday in Lilongwe.
“Moving forward, we expect a gradual economic recovery with a growth of 3.2 percent in 2024 on account of the improvements in the availability of foreign exchange and investments made in the agriculture sector,” he said.
The minister also acknowledged the continued upward trajectory of prices experienced in 2023, with the end period and annual average inflation rates estimated at 35.7 and 29 percent, respectively.
He added that his ministry will make sure that it does its best so that the country should fully recover from the shocks it experiences in 2022 and 2023.
He said the budget remains an important tool in fostering economic prosperity and eradicating poverty especially in times like these when the economy is experiencing various economic challenges.
Chithyola noted that government is focusing on diversifying economic activities that are aimed at recovering, developing and protecting the economy, one of which is the venture into Mega farms through the Malawi Agricultural and Industrial Investment Cooperation to produce for both local and expo markets.
On his part, Economic Association of Malawi (ECAMA) Professor Betchani Tchereni said that the concept of Mega farms is a step in the right direction and has potential for enhancing agriculture productivity.
He went on to say that products from Mega farms can replace imported inputs in the manufacturing sector.
“Mega Farms and Affordable Inputs Programme should be viewed as complementary. We need to incentivize investments in mega farms,” he explained.
