Indigenous Businesses Association of Malawi (Ibam) president Mike Mlombwa says there is need for good and strong empowerment policies for entrepreneurs if the country is to fully realise their contribution to the economy.
Mlombwa, in an interview with Business News yesterday, said doing business in the country has been hard because most policies are not friendly to entrepreneurs.
He said: “We believe that the country has taken an approach which is appropriate to developed economics and not applicable to the Malawian market situation. With such an approach, businesses, particularly small ones, cannot survive, but rather will be struggling to make it in the market should this continue.”
Mlombwa said the high interest rates, which are hovering at around 36 percent, have had a negative impact on both established and budding entrepreneurs.
However, Mlombwa disclosed that Ibam has set aside a fund which is going to be managed by the association to provide financial support to youthful entrepreneurs.
“Most youths in the country are innovative and eager to participate and contribute to the economy of the country, but capital remains a challenge. The fund is meant to revolve around these budding entrepreneurs to help them start-up and boost their businesses,” he said. n