Malawi Update (08/06)
UPDATE ON KEY MILESTONES ACHIEVED:
Although the Ministry of Health are providing daily updates on the situation in Malawi, the rest of government is more focused on upcoming election re-run. At the moment out of 6,423 tests carried out, there have been 438 cases which have resulted in 4 deaths. 351 cases are imported, 76 due to local transmission and 11 still under investigation.
National Guidelines are in place and so are specific sector Guidelines
Private Sector has responded to Government call by doing the following:
Introducing shifts to avoid overcrowding as well as instructing part or all of their employees to work from home.
Voluntarily reducing benefits of senior management to safeguard jobs of lower level employees and foregoing salary increments and bonuses for the same reason;
Providing necessities to employees, customers and visitors entering and exiting workplaces at no cost.
Opening a special bank account for pooled funds from companies to finance Covid-19 related activities.
Government has already implemented a number of measures to ensure business survival such as:
Increasing liquidity in the banking system through the Reserve Bank of Malawi (RBM) by: reducing the Liquidity Reserve Requirement (LRR) on domestic currency deposits by 125 basis points to 3.75 percent
Reducing the Lombard rate by 50 percent to 0.2 percentage points above the policy rate.
These moves injected an estimated K12 billion into the banking system which businesses can tap into through borrowing from the banks.
Government, through RBM, also introduced a moratorium for three months on loans owed by businesses to financial institutions on a case by case basis.