Afana, I like your piece. I used to write posts like these earlier in my short Malawiana history. I however noticed that I did not put any suggestions as to how Malawi can pull itself out of the abyss it is now in. Just like you i would write about all its woes and maintain that there is still potential. Afana, if you were at the helm of control in Malawi, what policies would you suggest the government undertake to pull itslef out of its debt, lack of infrastructure ..etc ? You see we have to stop complaining, debating and looking knowledgable with nothing but rhetoric . Lets bring something to the table then lets see how we can implement it with the appropriate controls and information feedback loops.

Action speaks louder. If every one here were to spare 10 dollars every 2 months, they would contribute sixty dollars a year. If we had 20 members that would be 1200 dollars, which is only MK135,000  enough to put 20 students through a govt/catholic secondary school for the year(tuition). We just need a Lawyer to set up the trust fund then appoint trustees. This scenario doesn't even factor in interest earned on the deposits held by the trust fund. Well, I guess im just a dreamer....

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Originally posted by: Njiba
"Afana, I like your piece. I used to write posts like these earlier in my short Malawiana history. I however noticed that I did not put any suggestions as to how Malawi can pull itself out of the abyss it is now in. Just like you i would write about all its woes and maintain that there is still potential. Afana, if you were at the helm of control in Malawi, what policies would you suggest the government undertake to pull itslef out of its debt, lack of infrastructure ..etc ? You see we have to stop complaining, debating and looking knowledgable with nothing but rhetoric . Lets bring something to the table then lets see how we can implement it with the appropriate controls and information feedback loops. Action speaks louder. If every one here were to spare 10 dollars every 2 months, they would contribute sixty dollars a year. If we had 20 members that would be 1200 dollars, which is only MK135,000  enough to put 20 students through a govt/catholic secondary school for the year(tuition). We just need a Lawyer to set up the trust fund then appoint trustees. This scenario doesn't even factor in interest earned on the deposits held by the trust fund. Well, I guess im just a dreamer...."

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The follow are some of the policies which the government has to put in place to get out of the high debt situation and poor state of infrastructure in Malawi:

First of all, fiscal discipline is very important. Government should spend within it's budget. The entire budget will need to be restructured to get red of unnecessary expenditures....I am sure billions of kwachas could be saved for important sectors like education and health....and pro-growth sector like mining, tourism, commerce and industry and agriculture. Fiscal discipline will also have a positive impact on the macro-economic enivornment...with interest rates going downing.  This will stumulate investments thus more money for the government coffers. Low interst rates will also help to reduce the huge Muluzi's internal debt with the government spending less on interest for government treasury bills. For the external debt, that is not a problem becuase Malawi is under the HPIC initiative. Malawi reached decision point way back in 2001 but has not moved on to completion point becuase the government was required to implement MPRP (Malawi Poverty Reduction Paper), fiscal discipline, structural reforms and the question of good governance.....So Malawi has not yet got debt forgiveness becuase government was failing to implement the above conditions. The government will also need to seek export diversification insteady of depending on tobacco.  The opportunities are there.  This is an area where the private sector will be involved.  For instance, promote tourism by building infrastructure.....look at the road in Mangochi.  The government could also promote mining.  There are other crops that could be grown in Malawi for export such as cutflowers and winter vegatables for export, macadamia nuts and other high valued crops. Through the Ministry of Agriculture the government could promote co-operatives at village level and empower the village farmers with technical know how and easy access to credit for them to get involved in growing high valued cash crops and also link them to markets.  There is AGOA----African Growth Opportunity Act.  Malawi could be exporting among other things garments to the US and also kick start a jewelry industry in Malawi...Malawi is rich in gemstones.  These are initiatives that will be taken up by private sectors, especially encouraging foreign direct investments. But, a policy should be put in place to help build Malawian owned businesses through training of Malawians in specialised fields in technical schools we have in Malawi and providing venture capital to qualified and capable Malawians or credit gaurantee schemes....

In terms of infrastructure, ....there is a need to upgrade the country's rail link to Nacala and Beira...These are projects, which can be financed through NEPAD initiative. NEPAD is looking at financing spitial initiative insfrastructure projects.  When it comes to telecommunication, privatizing or commercializing of MTL....This does not mean government has to sell 100 % of its share...they can still hold a minority share in the company.  For the cellphone and internet....opening up the sector and giving incetives to private operators. Government money will be used to upgrade the road network in Malawi and there donors who are willing to finance such project on grants as long as there are sure that the government is not corrupted. The issue of good governance is important here. 

So this is just broad outline of what the government should do to get out of the debt situation and the poor state of infrastructure in Malawi....As I said Malawi is not a basket case.  However, the country is loosing time by having politicians who have no plans in terms of economic development.  I believe if we could get a government with the right policies....within five years things can changed a lot.  Ten years, the country is also transformed. It does not take ages to change things in a country and in the sames way it does not take ages to f***k up things in country.....Malawi is loosing time.