“Malawi in Crisis; Government Fails to Manage Economy,” Says Rev. Baxton Maulidi
Rev. Baxton Maulidi, the All Africa Conference of Churches (AACC) Economic Justice & Accountability Champion in Malawi, has strongly criticized the government’s handling of the country’s economic challenges, declaring that Malawi is in crisis due to poor economic management.
Rev. Maulidi’s remarks follow a protest today by vendors of second-hand clothes, or kaunjika, who stormed Parliament in Lilongwe to express frustration over soaring prices, which have made it difficult for them to afford bales of clothes to sell. The protest signals a growing public discontent over the worsening economic situation, and Rev. Maulidi warns that it is a wake-up call for the government.
“The government has failed to solve the economic crisis, and this protest should serve as a reminder that something needs to be done immediately,” Rev. Maulidi said. “The rising inflation and skyrocketing prices of basic goods are driving people to the edge.”
The government’s reaction, led by Minister of Trade and Industry Sosten Gwengwe, has been to revoke the licenses of wholesale traders who supply second-hand clothes, an action Rev. Maulidi deems a short-sighted, reactive measure.
“This is like shooting itself in the foot,” he argued. “The vendors are the ones who will suffer because they rely on this business to survive. The wholesale traders cannot be blamed for raising prices; they are responding to the scarcity of forex, which is the real issue here.”
Minister Gwengwe made the announcement in Parliament today, stating that the government had revoked the licenses of all wholesale traders dealing in second-hand clothes, demanding that they cease operations immediately. This decision followed growing protests from kaunjika vendors who are struggling to cope with the rising prices.
“We have to take decisive action to address the issues facing vendors, and we believe this step will bring order to the market,” Gwengwe said during the session.
However, Rev. Maulidi warns that this move will only exacerbate the economic crisis, as it disrupts the supply chain that vendors depend on. “The government should have acted proactively to manage the economy long before it reached this point,” he said. “Instead of reactive measures like revoking licenses, we need concrete, long-term solutions.”
Rev. Maulidi calls for the government to develop a clear economic recovery plan, one that addresses forex shortages, stabilizes prices, and provides support for local businesses. “Banning kaunjika is not the solution,” he stressed. “The government needs to stop reacting and start addressing the root causes of the crisis.”
As the protest continues outside Parliament, Minister of Local Government Richard Chimwendo Banda assured vendors that the government would provide resources to help them continue trading, while Gwengwe pledged to engage with the vendors’ committee to find sustainable solutions.
With the national budget for 2025-2026 currently under discussion in Parliament, government officials are promising to implement measures aimed at improving the socio-economic conditions of Malawians, but it remains to be seen whether these actions will bring tangible relief.
Rev. Maulidi’s statement underscores the urgency of the situation, warning that unless the government takes decisive action to address the root causes of economic hardship, the crisis will deepen.
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