Thursday, May 26, 2022
  • About Us
  • ImagiNATION
  • Adverts
  • Rate Card
  • Contact Us
The Nation Online
Advertisement
  • Home
  • News
  • Politics
  • Business
  • Entertainment
  • Life & Style
    • Every Woman
      • Soul
      • Family
    • Religion
    • Feature
  • Society
  • Columns
  • Sports
  • Chichewa
  • Enation
No Result
View All Result
  • Home
  • News
  • Politics
  • Business
  • Entertainment
  • Life & Style
    • Every Woman
      • Soul
      • Family
    • Religion
    • Feature
  • Society
  • Columns
  • Sports
  • Chichewa
  • Enation
No Result
View All Result
No Result
View All Result
Home Business Business News

Report shows Treasury borrowed K124bn in Jan

by Grace Phiri
18/05/2021
in Business News
2 min read
0
Share on FacebookShare on TwitterShare on WhatsAppShare on LinkedinLinkedinShare via Email

Net credit to central government from commercial banks grew by 16.9 percent or K124.1 billion to K857.3 billion in January 2021, the Reserve Bank of Malawi (RBM0 figures show.

In its January 2021 Monthly Economic Report, RBM attributed the increase in commercial banks’ uptake of Treasury notes and Treasury bills by K91.7 billion and K30.7 billion respectively.

Reads the report in part: “In addition, drawdown of government deposits in the commercial banks amounting to K1.7 billion further reinforced the increase in net credit to government.

“Similarly, credit to State-owned enterprises increased by K7.9 billion to K67.6 billion.”

However, net credit to central government from monetary authorities decreased by K72.4 billion to K361.1 billion following net repayment of ways and means advances of K111.1 billion and accumulation of government deposits by K23.9 billion in the review month.

The report further shows that holding of Treasury notes by monetary authorities increased by K62.6 billion, counteracting the decline in net credit to government.

Credit to the private sector, on the other hand, recorded an annual growth of 15.6 percent during the review period, a marginal improvement from a growth of 15.2 percent registered in December 2020.

On a month-on-month basis, private sector credit increased, albeit marginally by K1.6 billion or 1.2 percent compared to contractions of K8 billion or 1.2 percent in December 2020 and K527 million or 0.1 percent in January 2020.

In particular, individual and household loans increased by K11.3 billion while commercial and industrial loans, foreign currency denominated loans and mortgages recorded net repayments of K4.8 billion, K1.3 billion and K918.9 million, respectively.  

In its April 2021 Economic and Fiscal Policy Statement, Ministry of Finance said in the medium-term, government will focus on easing the interest burden to allow for more fiscal space for government to spend on other social and productive sectors without recourse to additional borrowing.

Centre for Social Concern economics governance officer Benard Mphepo said reducing unnecessary expenditure is key to fiscal prudence.

Previous Post

Africa Chess rolls into action despite hurdles

Next Post

Motorcycle eases reopening of clinic

Related Posts

MRA Msonkho House
Business News

Forex shortages could affect evenue collection—MRA

May 26, 2022
Business News

Improved road networks aid farmers’ market access

May 26, 2022
Lately, cooking oil supply on the domestic market has been erratic
Business News

Cooking oil for relief

May 26, 2022
Next Post
Munyonga on the motorcycle that led to the reopening of Mselema clinic

Motorcycle eases reopening of clinic

Opinions and Columns

Business Unpacked

Tame egos, take risks to grow economy

May 26, 2022
People’s Tribunal

What was that press briefing all about?

May 22, 2022
Big Man Wamkulu

Wife, in-law plotting my downfall

May 22, 2022
My Thought

Tonse Alliance died on arrival

May 22, 2022

Trending Stories

  • Mutharika on the campaign trail in 2019

    APM under pressure

    0 shares
    Share 0 Tweet 0
  • Musician Martse in hospital after fire accident

    0 shares
    Share 0 Tweet 0
  • Kalindo earmarked for diplomatic post

    0 shares
    Share 0 Tweet 0
  • Nyasa Mobile Limited partners Vodafone

    0 shares
    Share 0 Tweet 0
  • Musicians, fans mourn Martse

    0 shares
    Share 0 Tweet 0

Malawi-Music.com Top10

  • Values
  • Our Philosophy
  • Editorial policy
  • Advertising Policy
  • Code of Conduct
  • Plagiarism disclaimer
  • Disclaimer
  • Privacy Policy
  • Terms of use

© 2022 Nation Publications Limited. All Rights Reserved.

No Result
View All Result
  • Home
  • News
  • Politics
  • Business
  • Entertainment
  • Life & Style
    • Every Woman
      • Soul
      • Family
    • Religion
    • Feature
  • Society
  • Columns
  • Sports
  • Chichewa
  • Enation

© 2020 Nation Publications Limited. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.