Tag Archives: Betchani Tchereni

Business, Malawi

Incomptent leadership: Malawi loses U$175m IMF credit facility amid forex crisis

MaraviPost

LILONGWE-(MaraviPost)-Malawi has allowed the four-year International Monetary Fund (IMF) US$175 million (about K306 billion) Extended Credit Facility (ECF) to lapse until further notice amid forex crisis.

Ministry of Finance and Economic Affairs has confirmed the development in a press statement.

The extended credit facility that was approved on 14th November, 2023 was aimed at restoring macroeconomic stability.

Secretary to Treasury Betchani Tchereni said following the recent Spring meetings in Washington DC, the Government and IMF mutually resolved to allow the facility program to lapse until further notice.

“The General public may wish to note that Malawi’s extended credit facility that was approved on 14th November, 2023 was aimed at restoring macroeconomic stability.

However, the program faced a number of exogenous shocks which made it difficult for the supply side to assist both increased revenue and enhanced production. In view of this, Government and the International Monetary Fund have resolved to allow the program to lapse,” he said.

Tchereni added, “This resolution allows the political environment necessary for the progression of the ECF program to normalize as is expected after the elections in September, 2025, thus enabling Government to leverage its fresh electoral mandate in negotiating a more sustainable extended credit facility package for Malawis macroeconomic stability going forward.

“Government remains confident that post-elections, the partnership with the IMF will continue the progress made thus far in restoring international donor confidence in Malawi’s commitment to the macroeconomic reforms necessary for staying on the path of recovery and debt sustainability, which Government has pursued despite the unsustainable debt stock inherited in 2020, coupled with exogenous shocks such as Covid-19, Cyclone Ana in 2021, price inflations precipitated by the war in Eastern Europe in 2022, cholera outbreak and cyclone Freddy in 2023, and El Nino Drought conditions in 2024″.

He observes further, “Recognizing the extent of the exogenous shocks that affected the country, the IMF has agreed to send A Mission end of May 2025, to conduct a monitoring and consultation for Malawi’s economic main stays in preparation for a tailor made Malawi Programme in the future.

“As such, the Ministry of Finance and Economic affairs assures the public that during the period in which the ECF program will be in the state of suspension, the economic reforms protocols established to exercise fiscal discipline in compliance with the Public Finance Management Act (2022) will continue in force,” reads the statement in part.

Despite rip services from Finance Minister Simplex Chithyola Banda on sustaining IMF credit facility nothing has worked.

This means Malawi will continue grappling with forex crisis that has paralysed business that cost of living is high, inflation, unavailability of fuel, essentials drugs in public health facilities.

Business, Malawi, Opinion

Mr President, fire also incompetent Finance Minister Chithyola, Treasury Secretary Tchereni

Maravi Post Reporter

BLANTYRE-(MaraviPost)-The firing of Reserve Bank of Malawi (RBM) Governor Wilson Banda is being heralded as a bold move by President Lazarus Chakwera to “tighten the grip” on fixing Malawi’s ailing economy.

Yet, this decision raises a glaring question: if Banda was sacked for his alleged failures, why have the Finance Minister, Simplex Chithyola Banda, and Secretary to the Treasury, Betchani Tchereni, been spared the same fate?

The Reserve Bank Governor operates within a broader framework of fiscal and economic management, one that is largely shaped by the Ministry of Finance and Treasury. To lay all the blame for Malawi’s current economic malaise solely on Banda is both simplistic and hypocritical.

Under Banda’s tenure, inflation soared to unprecedented levels, the kwacha endured brutal devaluations, and Malawi faced persistent forex shortages.

While these issues are damning, they cannot be viewed in isolation from the Finance Ministry’s fiscal policies or the Treasury’s stewardship.

The Finance Minister has presided over unsustainable public borrowing, with debt servicing now consuming a staggering chunk of our national budget.

Betchani Tchereni needs to be sacked at Treasury

Meanwhile, the Treasury has failed to institute reforms or curb rampant mismanagement of public funds. This trifecta of monetary and fiscal chaos has left Malawians poorer, businesses crippled, and investors wary.

If the Reserve Bank Governor is being shown the door for “failing to execute policies,” then surely those who are responsible for formulating those policies—namely the Finance Minister and the Secretary to the Treasury—must also shoulder the blame.

Are we to believe that these individuals are blameless while the Governor bears the full weight of Malawi’s economic failures?

The truth is, Banda was likely a scapegoat. His sacking appeases public frustration without addressing the systemic issues plaguing our economy. It is a political maneuver, not a genuine attempt at reform.

President Chakwera has repeatedly promised decisive leadership and accountability. Yet, his administration seems to apply these principles selectively. If incompetence and poor performance are the yardsticks for dismissal, then the Finance Minister and Treasury Secretary must not be spared. Their roles are integral to economic stability, and their failures are as glaring as Banda’s.

The President owes Malawians an explanation: why stop at Wilson Banda? Why should those who preside over fiscal recklessness, failed reforms, and unmitigated corruption remain untouchable?

If Malawi is to rise from its economic abyss, we need more than scapegoating; we need genuine accountability across the board. This requires bold leadership willing to make hard decisions—not just against one man, but against an entire apparatus of dysfunction.

Mr. President, the people of Malawi are watching. Your decision to spare the Finance Minister and Treasury Secretary undermines the credibility of your economic reforms and sends a dangerous message: that loyalty, not competence, determines survival in your administration.

It’s time to match rhetoric with action. If Wilson Banda was fired for failing the economy, then let the axe fall equally on all those whose policies and decisions have contributed to this mess. Anything less is a disservice to Malawians.

Additional information: Nyasa Times

Business, Malawi

“Dismiss Chithyola Banda, Tchereni for Malawi’s economic mess”-Activists tell Chakwera

MaraviPost

BLANTYRE-(MaraviPost)-The country’s governance-focused group Concerned Citizens has called on President Lazarus Chakwera to swiftly fire Finance Minister Simplex Chithyola Banda and Treasury Secretary Betchani Tcheleni due to the current economic crisis.

The grouping claims that Chithyola Banda and Tchereni have failed to alleviate Malawi’s worsening economic crisis.

The grouping’s leader Edward Kambanje observed the economic downturn, citing surging inflation, ongoing fuel shortages, and a sharp increase in the cost of living.

Kambanje however attributed economic challenges to Chithyola Banda’s lack of experience and limited network beyond the Finance Ministry, which he believes has hindered effective economic management.

Kambanje also criticized Prof. Tcheleni, stating that while he frequently comments on economic issues on social media, his words have yet to lead to real solutions for Malawi’s challenges.

The group has given President Chakwera a two-week deadline to make leadership changes, warning of a peaceful protest at Capital Hill if no action is taken.

Both Banda and Tcheleni asked for more time to comment.

Betchani Tchereni is a Malawian economist and pundit who provides opinions on economic issues.

While Chithyola Banda was entangled into former organisation Chanansi Foundation’s funds mismanagement from Global Funds.

Malawi

CDEDI demands Secretary to Treasury Tchereni’s public apology over ‘insensitive’ remarks

Maravi Post Author

By IOMMIE CHIWALO

BLANTYRE-(MaraviPost)-The country’s Secretary to Treasury Betchani Tchereni is under fire for insensitive remarks made in a viral video clip compelling Centre for Democracy and Economic Development Initiatives (CDEDI) to give him seven days to resign honourably.

In a letter made available to this publication, CDEDI Executive Director, Sylvester Namiwa, says the sentiments by Tchereni are not befitting a public servant, hence demanding for a public apology from him or to resign within seven days.

“Should you fail to do so, then the Malawian voters will force you to resign,” says Namiwa who thoughtfully argues that by virtue of being the ST, Tchereni ought to endeavour to work in silence to meet the delicate balance between political wishes and harsh economic realities on the ground, not turning himself into a mouthpiece of the same people responsible for this mess.

According to Namiwa, in the video clip, Tchereni is seen unfairly accusing Malawians of blackmail, just because they are holding the duty bearers accountable by demanding what is worth of their votes as the country’s citizens.

“We at CDEDI, find your sentiments as an insult to the Malawian voters. To say the least, the aforementioned clip has sent shock waves down the spines of well meaning Malawians, especially those who used to listen and believe in your economic commentaries, before you decided to join the public service as Secretary to Treasury(ST),” says Namiwa.

The CDEDI Boss has justified the apology calls by highlighting the economic gaps that exist as a result of 44 percent devaluation of the local currency where external debt was much lower than the domestic one, at around MK3 trillion.

He has pointed out that as at December 2023, public debt stood at a staggering MK13.1 trillion, of which MK7.1 was external while MK6.1 was domestic.

“Currently, public debt is hovering at around MK16 trillion, if we factor in outstanding debts in Ministries, Departments and Agencies (MDAs), Local councils, pensions, gratuities and promissory notes, among others. It is therefore crystal clear that domestic debt is ballooning at a time we are calling for external debt relief,” he said.

Namiwa highlighted that the current development is attributed to the unquenched appetitive for borrowing for political financing.

“In view of the above, we find it strange that instead of working in silence to tame domestic borrowing, you have conveniently forgotten that this is a democracy where power belongs to the voters, and you have started making futile attempts to accuse the same people that are paying the price for your own cluelessness and incompetence. It is an open secret that the Malawi economy has deteriorated under your watch due to among others; state sponsored corruption, low productivity, high inflation and high cost of living,” says Namiwa.

CDEDI, a mouth-piece of the voiceless citizenry, has spoken on behalf of millions of Malawians that are struggling to make ends meet, while paying ST Tchereni’s salary including fuel for his vehicles, through taxes after irrefutable observation that the statements in the video clip that has gone viral on social media are careless and highly insensitive.

Meanwhile Tchereni is yet to confirm receipt of the letter in question.