Britain suspends aid to Malawi

2011-07-15 07:21

Blantyre – Britain says it has indefinitely suspended aid to Malawi, expressing concern about economic management and a crackdown on rights.

Finance Minister Ken Kandodo and Foreign Affairs Minister Etta Banda refused to comment.

In a statement yesterday, British aid director Andrew Mitchell said Malawi’s overvalued currency is creating a foreign exchange crisis.

Malawians are lining up to buy fuel because the government can’t import sufficient quantities as it lacks foreign exchange.

Mitchell also says Malawi is “off-track” on reforms suggested by the International Monetary Fund.

Mitchell also cited the banning of demonstrations and enacting of laws that impinge on human rights.

The European Union, Germany and Norway have suspended aid to Malawi for similar reasons.

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