Malawi's Farm Input Subsidy Scheme Wins $46M Donor Support

Malawi received Wednesday (Nov. 23) aid worth 7.7 billion Malawian kwacha ($46 million) from the United Kingdom, Norway and Ireland to support its agricultural input subsidy program.

The donors pointed out that the assistance was in response to the southern African nation’s call for help.

“Our commitment has always been towards procurement of seed. But when the request came we recognized the circumstances affecting the country and considered that the program directly benefits Malawians,” said Sarah Sanyahumbi, who heads the U.K. Department for International Development in Lilongwe, the country’s capital, as reported by The Maravi Post.

The funds will be used for the input subsidy program introduced by Malawi President Bingu wa Mutharika in 2005 and for the importation of fuel, which the country was not able to do because of severe dollar shortages following a series of aid suspensions this year.

Malawi Finance Minister Dr. Ken Lipenga said the funding would “go a long way in helping the poor.”

Earlier this year, several donors, including the United Kingdom, announced funding freeze to Malawi due to governance concerns.

Last month, the government expressed optimism that  donors would reverse their stance. Malawi Minister of Energy Goodal Gondwe said a government delegation had secured assurances from the European Union and other donors that they would start resuming aid programs and budget aid.

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About the author

  • Jenny Lei Ravelo

    Jenny Lei Ravelo is a Devex Senior Reporter based in Manila. She covers global health, with a particular focus on the World Health Organization, and other development and humanitarian aid trends in Asia Pacific. Prior to Devex, she wrote for ABS-CBN, one of the largest broadcasting networks in the Philippines, and was a copy editor for various international scientific journals. She received her journalism degree from the University of Santo Tomas.