Government through the Ministry of Finance has urged banks in the country to promote bank products that would assist Micro and Medium Enterprises (SMMEs) to grow.
Minister of Finance, Simplex Chithyola-Banda made the remarks when he met a delegation from Ecobank Group in Lilongwe on Tuesday.
Chithyola-Banda indicated that the government is committed to promoting SMMEs, however banks should provide products that would assist the growth of SMMEs.
“Government is grateful for the assistance banks have and continue to render during its most difficult time. Ecobank has several projects in the country and we are particularly happy because as an African bank, all African problems will be resolved by African solutions.
“Malawi’s economy is private-sector led hence the 2023-2024 production budget at 30 percent needs both technical and financial capacity which banks could provide. Radical reforms and expenditure control measures government embarked on necessitate that banks should have confidence in government,” said Chithyola-Banda.
In her remarks, Ecobank Group Country and Sovereign Risk Manager, Veronica Kalema said among other interests, Ecobank has an interest in the development of Industrial Parks (IP) and the Salima-Lilongwe Water Projects.
“Ecobank has confidence in what the government is trying to do to turn around the economy and hence we will continue to provide Letters of Credit [LC] in the interest of developing the economy. We ask the government to seriously pursue mining and tourism to grow the economy,” she said.
On his part, Secretary to the Treasury, Betchani Tchereni said that banks in Malawi should also consider assisting the government in the development of Mega Farms and Commercial Agriculture by providing access to financing.
