By: Kenneth Bwanali
Former Minister of Finance, Economic Planning and Development Joseph Mwanamvekha will go into Malawi History as someone who has achieved a lot in life.
He was the first Finance Minister to get budgetary support from the International community after Joyce Banda administration messed up through the famous cash gate
It was Mwanamvekha who introduced payment of civil servants’ salaries through the bank. Previously Government employees were being paid salaries in cash directly.
Through the old system of paying civil servants’ salaries through cash, many employees lost their lives as they were a target by robbers.
Issues of accountability was a challenge with the old system. Salaries for the deceased, those who left employment, and those transferred could hardly be traced.
The new system of paying civil servants through the banks introduced by Mwanamvekha is very convenient than the past system. Government employees can even check their salaries status through their mobile phones.
Mwanamvekha together with the current Governor of the Reserve Bank of Malawi Dr. Wilson T. Banda introduced Discount House business in Malawi. Through that First Discount House, FDH and Continental Discount House CDH were born.
Mwanamvekha and the current RBM Governor again introduced Stockbrokers Malawi Limited
While at MSB, Joseph Mathyola Mwanamvekha made tremendous achievements that saw the expansion of the bank.
The banks opened several new branches across the country.
The bank’s assets grow tremendously
The MSB products grow amazingly
Mwanamvekka is known for his powerful budget presentation with clear facts of being pro-poor.
Mwanamveka presenting 2019 provisional budget that run from 1st July to 31st October 2019.
For example, Malawians will not forget the powerful budget which he presented on June 12, 2020.
Mwanamvekha hinted that the focus of the country’s financial plan is to mitigate the impact of the novel coronavirus (Covid-19) pandemic while also speeding up economic recovery and building up resilience against external shocks.
Mwanamvekha has been saying that Treasury will ensure that no one suffers devastating effects of Covid – 19.
During his time Malawi had single-digit inflation.
The interest rate was down and the Balance of payments was at its best.
Mwanamvekha is one of the genius politicians able to accomplish a leadership role.
Mwanavekha can be described as
adept, aptitude, aptness, brilliant, and, capable.
He has been so focused and precise in his decision that is why, while at his position Malawi’s monetary policy was maintained at 13.5%.
The rate was maintained like that for a longer period.
Under the leadership of Joseph Mwanamvekha, Malawi’s central bank cut its Liquidity Reserve Requirement
(LRR) and its Lombard rate to immediately boost liquidity in
the banking system and lowered the cost of funds to give commercial banks an incentive to support those economic
sectors that are hit by the Covid – 19 pandemic.
Mwanamvekha under his administration saw the central bank cut LRR on domestic currency deposits
by 125 basis points to 3.75 percent, immediately releasing liquidity of about 12 billion Kwacha while the Lombard rate was cut 50 percent to 20 basis points above the policy rate, lowering the cost of accessing funds from the RBM.
No one has achieved this so far and this shows how a good leader Mwanamvekha is.