As Malawi’s debt has grown to over K13 trillion, which is 85% of the GDP, the Ministry of Finance says doubling the country’s exports to $4 billion could help lift the debt burden in the short to medium term.
Deputy Director for Debt and Aid in the Ministry, Richard Kaudzu, has told MBC Digital that the debt burden is forcing Treasury to channel 50 percent of the country’s revenue towards debt servicing.
Kaudzu adds that doubling the exports could create alternative resources for government revenue and lessen the pressure to borrow.