By Chisomo Phiri
Minister of Finance, Economic Planning and Decentralisation Joseph Mwanamveka has attributed Malawi’s sluggish economic growth to rising public debt, reduced donor support, and increased government expenditure, warning that the pressures continue to constrain fiscal space.
The minister made the remarks during a pre-budget consultation meeting with youths in Lilongwe on Monday, where he acknowledged that unemployment remains a major challenge, particularly among young people.
Mwanamveka said Malawi’s public debt has risen to K22.6 trillion, with domestic debt accounting for 65 percent and external debt 35 percent.
He further disclosed that government is engaging development partners in discussions aimed at restructuring the country’s debt to ease the economic burden.
The minister said government remains committed to addressing youth unemployment through targeted empowerment initiatives and inclusive economic policies.
On her part, National Youth Network(NYN) Chairperson Salome Kadanzi called on government to increase funding towards youth empowerment programmes, including the Youth Innovation Fund, citing high demand and limited access to the resources.