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How Chakwera was mislead to mess up at Reserve Bank of Malawi

Wilson Banda at Reserve Bank

By Deus Chikalaza

President Lazarus Chakwera has messed up big time at Malawi Central Bank, Reserve Bank of Malawi (RBM) after being with lied upon ascending to presidency in June 2020.

Currently, Malawi is ran out of forex for importation of essential goods including medicines, agricultural inputs and among others.


Prior to June 2020 Presidential Elections, Vice President Saulos Chilima was busy exposing ills happening at RBM while giving hope to Malawians that Tonse administration was fix the economy.

Chilima even told the nation that he would be Finance Minister which Chakwera did not offer him instead took charge of Economic and development portfolio which was later removed from him for less impact on Malawi economy.

Chakwera mess up at Reserve Bank of Malawi (RBM)

Chilima noisy on RBM prompted Chakwera to bring his own team to the central bank raging from directors to the board.

First mistake Chakwera did was to fire Dalitso Kabambe as RBM governor when his contractual agreement with the bank was intact remaing with two years.

Chakwera brought in Wilson Banda, a person who left the bank a year prior to the appointment contrary to the practice at the central bank.

Wilson Banda including Secretary to President and Cabinet Zangazanga Chinkhosi (old man that went into retirement) and Thabo Chakaka Nyirenda, current Attorney General (who happened to be RBM legal advisor) mislead Chakwera to fire Kabambe and his Deputy Henry Mathanga.

Chakaka Nyirenda is doubling as AG and RBM legal advisor while recentry pushed for his appointment as the bank’s director which does not happen at the central bank.

Nyirenda came into limelight and Chakwera favourite when he won already lost election case of two Malawi Electoral Commission (MEC) commissioners Jean Mathanga (a wife to Henry Mathanga, deputy RBM governor) and Linda Kunje

Chakwera as a leader listened to amatures; Nyirenda, Chinkhosi and Banda to fire the two while tagging them with staged deloit foresic audit report on bank during thier time.

Chakwera failed to summon the duo while appreciating their work at the bank instead paid attention to his Malawi Congress Party (MCP) zealots who suspected Kabambe and Mathanga as opposition Democratic Progressive Party (DPP) financiers.

The MCP leader who is Chakwera with personal vendatta towards DPP, fired Kabambe without basis, the time Malawi economy was performing well.

Chakwera fired Kabambe contrary practice of his predicessors who waited such political appointment done when contracts expires to avoid compasations upon unfair dismisal.

Like his predicessors the late Bingu Wa Mutharika found Dr. Elias Ngalande as the Governor and allowed him to run his contract which had some months to go. Bingu later appointed Perks Ligoya as RBM Governor.

Came, Joyce Banda (JB) found Ligoya as a Governor and she allowed him to run his contact until the end which had a year and some few month to go. Banda appointed Peter Tchuka as central bank governor.

JB appointed Tchuka whom Arthur Peter Mutharika (APM) found in 2014 and allowed him to run his contract to 2017.

APM therefore after appointed Kabambe as RBM Governor to 2022.

It’s only Chakwera who fired a central bank governor immediately on assuming power without understanding its consequencies.

Now, Malawi economy is crambling couppled with forex shortage when Chakwera trusted failed Wilson Banda.

Soon after Wilson Banda assumed power at RBM, he fired and demoted all directors while puting his own peoples in position.

Wilson Banda even directed reduction of salaries to RBM directors without the bank’s board approval to be seen doing good job to Chakwera.

Wilson Banda financed staged deloit forensic audit aimed at criminising Mathanga and Kabambe that their fanancial base be dwindling.

Embattled Wilson Banda who has also messed up at Export Development Bank (EDB), RBM’s baby branch with Tonse leadership terminated contract between Exb-Bank on provision of forex for country’s operation cost on inputs which government used to access the funds through FDH bank.

Chakwera and his ego MCP zealots thought that FDH could finance opposition DPP for fear of coming back to power.

Soon after terminating that contract, Malawi started struggling to source forex for agriculture inputs for Agriculture Input Program (AIP) hence failure for its implementation in 2021/2022 growing season.

Now, Chakwera Tonse adminstration faces cought battles of the two; Kabambe and Mathanga whom are to be paid billions of kwachas for unfair dismisal.

Malawi is in economic mess up over Chakwera’s impencience while promoting nepotism on running affairs of the state.

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