Considerations for devaluation and depreciation of Malawi Kwacha against major trading currencies in National Development Agendas – Litmus Test for Malawi Vision 2063

Phiri Kampanje, Brian (2022): Considerations for devaluation and depreciation of Malawi Kwacha against major trading currencies in National Development Agendas – Litmus Test for Malawi Vision 2063.

Abstract

This paper strived to evaluate the impact of exchange rate of Malawi Kwacha more specifically as result of devaluation and depreciation against major currencies in the attainment of the country’s developmental agendas. The results indicate that the country has failed to achieve meaningful gains in its developmental agendas in view significant adverse movement in the exchange rate. There was however one exception with Malawi Growth and Development Strategy (2006-2011) when the exchange rate was stable. National Planning Commission should consider safeguards in the Vision 2063 by curbing illegal externalisation of forex as sustainable tool to avoid depreciation and devaluation of the Malawi Kwacha.

• Item Type: MPRA Paper
• Language: English
• Keywords: Devaluation; Development; Depreciation
• Subjects: E - Macroeconomics and Monetary Economics > E0 - General > E00 - General; E - Macroeconomics and Monetary Economics > E0 - General > E01 - Measurement and Data on National Income and Product Accounts and Wealth ; Environmental Accounts; F - International Economics > F1 - Trade > F10 - General; F - International Economics > F4 - Macroeconomic Aspects of International Trade and Finance > F41 - Open Economy Macroeconomics; F - International Economics > F4 - Macroeconomic Aspects of International Trade and Finance > F43 - Economic Growth of Open Economies

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