Norwegian Church Aid and Dan Church Aid (NCA/DCA) Country Director for Malawi Joint Country Programme Stefan Jansen has described Malawi’s colossal public debt as unsustainable, unjust and deeply heartbreaking.
Jansen was speaking when he delivered a keynote speech during a Faith Mother Bodies Training On Tax, Debt, and Illicit Financial Flows and Their Impact on Development, Service Delivery and Social Protection.
Jansen’s remarks come at a time Malawi’s public debt has been recorded at K15.1 trillion as at the end of June 2024.
“Our debt servicing consumes resources that should be saving lives, educating our children and feeding our people.
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“In this financial year alone, public debt swallowed twice the health budget seven times the education budget, and three times the agriculture budget.
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“These numbers aren’t just statistics, they represent mothers who cannot access hospitals, children left without books and farmers struggling to grow the food that sustains us,” he said.
The NCA/DCA chief said time to act is now.
“We cannot let the campaign season or political convenience cloud our responsibility to the millions of Malawians who bear the weight of these unsustainable loans.
“Lavish spending, unchecked programmes and tax exemptions for the wealthy must end. Tough choices must be made—not tomorrow, not next year, but today,” Jansen said.
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He said faith leaders are not just spiritual guides but that they are also beacons of hope and catalysts for change.
The training was organised by NCA/DCA, Malawi Economic Justice Network and Tax Justice Network Africa.
Mejn Vice Board Chairperson Andrew Kumbatira said religious bodies play a pivotal role in the economic development of the country.
Malawi Council of Churches General Secretary Alemekezeke Phiri urged the authorities to borrow a leaf from the Bible to ensure that taxes benefit the poor and not the rich.
Speaking in Parliament on Wednesday when he presented the mid-year budget statement, Finance Minister Simplex Chithyola Banda said in order to contain debt to sustainable levels in the short term and medium term, the government would enhance efforts to mobilise domestic resources to finance the budget.
