Malawi’s debt balloons to K13.1 trillion

Malawi’s debt has surged to a staggering K13.1 trillion as of December 2023, up from K9.3 trillion the previous year, pushing the debt-to-GDP ratio to a concerning 85% of the country’s GDP.

The Ministry of Finance and Economic Planning has attributed the worsening debt levels to the devaluation of the kwacha and the conversion of short-term domestic borrowing (Treasury Bills) to long-term facilities (Treasury Notes).

Experts warn that the country’s debt situation is unsustainable...