MCC CEO Applauds Reforms in Malawi

July 14, 2012

MCC CEO Johannes shakes hands with President Banda at the New State House in Lilongwe

Chief Executive Officer for the Millennium Challenge Corporation (MCC) Daniel Yohannes has applauded the Malawi government for the economic and political reforms following the transition of power from late president Bingu wa Mutharika to President Joyce Banda in April. Yohannes was speaking in Lilongwe after meeting President Banda as part of his three day visit to Malawi.

Yohannes said that President Banda deserves much credit for the reforms she is undertaking.  Commending Banda and the people of Malawi for their “courageous steps” to deepen democracy, Yohannes proclaimed: “A strong commitment to good democratic and economic governance is at the heart of the partnership between Malawi and the Millennium Challenge Corporation.”

CEO Yohannes also said that MCC will continue to closely follow the changing democratic and economic landscape in Malawi.  He observed that ongoing governance reform is vital as the Malawi government and MCC work on the reinstatement of the 350 million dollar compact (approximately K98 billion) in the energy sector.  Yohannes said: “As the people of Malawi know, the electricity sector is in a dire state. The MCC‐funded project is expected to be a critical part of the sector’s turnaround and should have a very significant impact on Malawi more broadly.”

In her remarks, President Banda said the decision by the MCC board to reinstate the Malawi compact was an endorsement to the efforts made by her government to address issues related to political and economic governance and respect of human rights and the rule of law.

She said the MCC Malawi compact, the Feed the Future program, and the President’s Emergency Plan for AIDS Relief (PEPFAR) - among other United States Government assistance to Malawi - are solid examples of the cordial relations between Malawi and the U.S.

Highlighting the actions undertaken since April, Banda stated: “The reforms that we Malawians are making to recover our economy and to deepen our democracy are rooted in our strong belief that the destiny of Malawi rests in the hands of Malawians.  We are prepared to make the necessary shifts in our policies, practice, and attitude to ensure that Malawi’s economy recovers within the quickest possible time.”

During his visit to Malawi, Yohannes has also met with several ministers as well as members of the private sector and civil society.