Government says the resumption of direct budgetary support, after a 13-year break by development partners, is a clear indication that the country is on the right path toward economic transformation.
Minister of Finance, Simplex Chithyola Banda, made the remarks during the signing of financial agreements with the European Union (EU) and the African Development Bank (AfDB) in Lilongwe.
The agreements will see Malawi receiving K105 billion from the European Union (EU) and K86 billion from the African Development Bank (AfDB).
Chithyola Banda stated that the return of direct budgetary support demonstrates the confidence donor partners have in the Malawi government.
AfDB Country Manager, Macmillan Anyawu, said the three protocols agreement in the grant that will help in improving agricultural productivity is a great milestone to changing the lives of Malawians.
EU Ambassador to Malawi, Rune Skinnebach, urged the government to maintain its fiscal reform efforts.
