Country Profile
Malawi
There was jubilation and ululation
on the streets of Malawi’s capital
Lilongwe when news broke out that
President Bingu wa Mutharika had
died following a heart attack in his
office. This was in April 2012, three
years into his second term of office.
Many blamed him for turning his
back on 18 years of democracy in a
country fondly described as the ‘Warm
Heart of Africa’. Mutharika had
come to power in 2004 and presided
over a seven-year economic boom –
underpinned by a successful fertilizer
subsidy programme and increased
foreign aid – that had given Malawi
one of the world’s fastest-growing
economies.
The boom ended in 2011
after Mutharika squabbled with
Britain – the former colonial power
(independence came in 1964) and the
country’s biggest aid donor. This led
to tit-for-tat diplomatic expulsions and
the freezing of aid; which, aside from
agriculture exports, is the country’s
key driver. The cause of the row
was a leaked diplomatic assessment
that labelled Mutharika ‘autocratic
and intolerant of criticism’. What
followed was an acute dollar crunch
that hampered imports of fuel and
medicines.
The economic plight worsened in
July 2011 when the US suspended
a $350-million grant to rehabilitate
the faltering power grid after police
killed 20 people in a crackdown
on an unprecedented wave of antigovernment protests. So when
Mutharika died, many, including
donors, had cause to celebrate.
Malawians placed all their hopes
in Vice-President Joyce Banda – a
women’s rights activist and no relation
to Hastings Banda, who led the
country from independence until
1994 (nor indeed to this reporter).
When Joyce Banda was sworn in, she
became the first female President in
southern Africa and only the second
on the continent after Liberia’s Ellen
Johnson Sirleaf.
With a groundswell of support,
Banda embarked on a range of reforms
that her mercurial predecessor had
refused to implement. She stopped
the kwacha being pegged to the
US dollar, triggering a 49-per-cent
devaluation, in an attempt to right
a sputtering economy. She also
announced a 30-per-cent pay cut and
that she was selling the fleet of 60
Mercedes limousines used by ministers
and the presidential jet bought by
Mutharika when he was chair of the
African Union. The good news is that
measures such as these have managed
to restore aid flows.
The bad news, however, is that
her popularity is waning as food and
commodity prices soar – inflation
reached 38 per cent in February. The
latest data focusing on the cost of
living in urban Malawi says that a
family of six now needs an average of
$200 per month to meet basic food
demands – bad news in a country
where the minimum monthly wage
is about $20. Backed by the IMF,
Banda is optimistic that the country
is at a tipping point, that inflation will
soon start dropping and prompt the
central bank to revisit the base lending
rate. There are, however, unlikely
to be any quick fixes for Malawi’s
economy and this is Banda’s achilles
heel as she gears up for an election in
May 2014. Her party is in a minority
in government and this may weaken
her resolve to continue with the new
reform agenda.
In such circumstances it is hardly
surprising that Banda has in recent
months refused to increase the price of
fuel. She faces another challenge in the
dispute between Malawi and Tanzania
over the ownership of Lake Malawi.
This may threaten peace, regional
integration and trade if it remains
unresolved. In a country where gender
inequality is high and many cultural
attitudes are entrenched, it remains to
be seen how far Banda can go.
Mabvuto Banda
Top: Orange overkill – supporters of President Joyce Banda’s People’s Party listen sceptically to a ranter at a rally. Bottom left and right: a market in the capital, Lilongwe.
Bottom middle: President Banda inspects tobacco leaves on the auction floor – tobacco accounts for more than half of Malawi’s export earnings. Photos by Mabvuto Banda.
At a glance
Star ratings
Leader: President Joyce Banda.
Economy: GNI per capita $360
(Zambia $1,160, UK $37,780).
Monetary unit: Kwacha. Last year
the currency peg to the US dollar
was scrapped, which resulted in a
devaluation of 49%.
Main exports: Tobacco, sugar, tea,
coffee. Tobacco accounts for over
60% of exports and 15% of GDP.
However, earnings from it have
dropped by 80% in recent years
because of poor prices affected by
the global anti-smoking lobby and
by poor leaf quality.
People: 14.9 million. Annual
population growth rate 2010-15
3.2%. The population is youthful
with 54% aged 18 years and below.
People per square kilometre 126
(UK 253).
Health: Infant mortality 58 deaths
per 1,000 live births (Zambia 69, UK
30
●
N e w I N t e r N at I o N a l I s t
5). Lifetime risk of maternal death
1 in 36 (UK 1 in 4,700). HIV prevalence
rate 11%. AIDS has decimated an
entire generation of the adult age
group and left a million children
orphaned in the last 20 years.
Environment: Land degradation
resulting from significant loss
of soil fertility, soil erosion and
deforestation remain Malawi’s
biggest challenges.
Culture: Chewa 32%, Lhomwe 18%,
Yao 13%, Ngoni 11%, Tumbuka 9%,
Tonga 2%, Ngonde 1%, other 14%.
Language: Chewa is the official
language but English is widely used.
Other Bantu languages are used by
the various ethnic groups.
Religion: Christian 83%, Muslim 13%,
other 4%.
Human Development Index:
0.418 – 170th of 186 countries
(Zambia 0.448, UK 0.875).
●
ta NZ aNIa
Chilumba
Z aMBIa
$
$
Mzuzu
INCOME DISTRIBUTION ★
The rich continue to get richer and
the poor poorer. This is because of the
widespread corruption of the political
élite. Some 51% of people still live
2003 ★
below the poverty line.
LIFE EXPECTANCY ★★
Lilongwe
Salima
MoZ aMBIQ Ue
Mangoche
Zomba
Blantyre
Mulanje
ZIMBa Bwe
0
300 miles
0
500 kilometres
NI assessment
Last profiled November 2003
54 years (Zambia 49, UK 81). The life
expectancy rate has recovered from
the terrible AIDS-inflicted low of 39
2003 ★
years a decade ago.
POSITION OF WOMEN ★★★★
The gender inequality index is high
at 0.573. But political participation
by women has increased in the last
decade and Banda has appointed
many women to positions of influence
in the last year. The percentage of
women parliamentarians (22.3%)
actually exceeds that in the UK (22.1%).
2003 ★★★
LITERACY ★★★
63%. The introduction of free
primary education some 19 years
ago has not changed much on
the ground – the policy increased
pressure on the sector and the
use of unqualified teachers
compromised the quality of
2003 ★★
education.
FREEDOM ★★★★
The country still has a critical
press, an opposition, civil society
and a people that speak freely.
Though draconian laws still bar
people from speaking freely in
anger against the President.
After one year in power, Banda
and her People’s Party are seeking
to win the hearts and minds of
the voters ahead of next year’s
polls. Desperate to win, Banda,
like other leaders before her, has
barred the opposition from using
state media. She is distributing
free maize drawn from reserves
for campaign purposes. Whether
all this will be enough to
overcome unpopularity resulting
from her austerity programme,
which is hitting poor people hard,
is an open question.
2003 ★★★
SEXUAL MINORITIES ★
Homosexuality is illegal in Malawi
and carries a maximum sentence
of 14 years in prison.
★★ ★ ★ ★ ExcELLENt
★★ ★ ★ GOOD
★★ ★ FAIR
★★ POOR
★ APPALLING
N e w I N t e r N at I o N a l I s t
J U N E 2013
New Internationalist | newint.org
POLITICS ★★★
●
J U N E 2013
●
31
New Internationalist | newint.org