By Chisomo Phiri
Attorney General (AG) Thabo Chakaka Nyirenda says lawyers working in the financial sector have a very critical role in helping the Malawi Government manage sovereign debt.
The AG said this in Mangochi at a sovereign debt conference co-organised by Malawi Law Society (MLS), Reserve Bank of Malawi (RBM) and Malawi Institute of Legal Education on Friday.
The conference was organized with an aim of finding a solution to ease the impact of soaring public debt.
Nyirenda, who was guest of honour, said in his keynote address that lawyers are the ones who advise on and draft the pari passu, negative pledge, maturity, currency, interest rate, the confidential clauses and cross-default clauses.
“Lawyers play a very important role in sovereign debts. They are the ones who advise on and draft the pari passu, negative pledge, maturity, currency, interest rate, the confidential clauses and cross-default clauses. They draft pledges and guarantees.
“The draft money bills that are presented in Parliament. They are the implementers of the law. We need to sincerely interrogate the role of lawyers in this country in ensuring sustainable public debt management for the development of our country,” Nyirenda said.
From the government side, the AG said, they shall remain supportive of these kind of initiatives so as they help find ways for delivering economic justice for all.
Despite receiving debt relief under the HIPC Initiative in 2006, Malawi quickly accumulated new debt and has now reportedly reached debt distress, thereby causing economic downturn.
As at December 2022, Malawi’s public debt hovered around K7.9 trillion.
 Thabo Chakaka Nyirenda says lawyers working in the financial sector have a very critical role in helping the Malawi Government manage sovereign debt. The…){kind=link}