The Political Economy Ledger

Where finance, power, and development intersect

  • Malawi’s development problem is not just resources. It is incentives.

    Malawi’s development problem is not just resources. It is incentives.

    Preamble In my last entry, I took a deep dive into government spending, specifically the heated debate surrounding the Constituency Development Fund (CDF). It’s a critical issue right now because the amount allocated to each constituency is set to skyrocket from K220 million in 2024 to an astonishing K5 billion per constituency per year starting…

    Preamble In my last entry, I took a deep dive into government spending, specifically the heated debate surrounding the Constituency Development Fund (CDF). It’s a critical issue right now because the amount allocated to each constituency is set to skyrocket from K220 million in 2024 to an astonishing K5 billion per constituency per year starting…

  • The national budget as a battlefield: Who really controls Malawi government spending?

    The national budget as a battlefield: Who really controls Malawi government spending?

    Introduction: Beyond the numbers National budgets are often presented as technical documents, carefully constructed plans that allocate scarce resources to priority sectors in pursuit of development goals. In this framing, the budget appears neutral, objective, and guided by rational assessment of needs. In practice, however, the budget is something far more consequential. It is a…

    Introduction: Beyond the numbers National budgets are often presented as technical documents, carefully constructed plans that allocate scarce resources to priority sectors in pursuit of development goals. In this framing, the budget appears neutral, objective, and guided by rational assessment of needs. In practice, however, the budget is something far more consequential. It is a…

  • A distant war, an empty plate: How global oil disruptions threaten Malawi’s food Security

    A distant war, an empty plate: How global oil disruptions threaten Malawi’s food Security

    Introduction: A distant war, a local crisis At first glance, the turmoil in Iran and the closure of the Strait of Hormuz might seem distant from the daily lives of people in Malawi. But this perception is misleading. What we are witnessing is not just an energy crisis; it marks the beginning of a serious…

    Introduction: A distant war, a local crisis At first glance, the turmoil in Iran and the closure of the Strait of Hormuz might seem distant from the daily lives of people in Malawi. But this perception is misleading. What we are witnessing is not just an energy crisis; it marks the beginning of a serious…

  • Why Good Reforms Fail: The Politics behind Institutional Change.

    Why Good Reforms Fail: The Politics behind Institutional Change.

    Introduction: The reform paradox revisited Across Malawi and much of Sub-Saharan Africa, reform is constant. Public Financial Management systems are getting a much-needed upgrade. We’re seeing revisions to policy frameworks, the launch of new strategic plans, and the reworking of institutions to better serve their communities. Development partners are stepping in to provide technical assistance,…

    Introduction: The reform paradox revisited Across Malawi and much of Sub-Saharan Africa, reform is constant. Public Financial Management systems are getting a much-needed upgrade. We’re seeing revisions to policy frameworks, the launch of new strategic plans, and the reworking of institutions to better serve their communities. Development partners are stepping in to provide technical assistance,…

  • Public Finance is never neutral

    Public Finance is never neutral

    Introduction In discussing agricultural spending in Malawi, I asked why the country invests more in maize than in livestock. While maize is vital to food security and widely consumed, its prominence is influenced by a range of complex factors. These include electoral motivations, financial incentives, donor preferences, and institutional biases. This highlights a deeper issue…

    Introduction In discussing agricultural spending in Malawi, I asked why the country invests more in maize than in livestock. While maize is vital to food security and widely consumed, its prominence is influenced by a range of complex factors. These include electoral motivations, financial incentives, donor preferences, and institutional biases. This highlights a deeper issue…

  • Why Malawi funds maize more than livestock: A Political Economy explanation.

    Why Malawi funds maize more than livestock: A Political Economy explanation.

    Introduction: A Persistent Imbalance Malawi’s agricultural policy landscape reveals a striking and persistent imbalance. When we look at agricultural support, it’s interesting to see how things play out between maize and livestock. Maize receives significant government attention and funding. This includes measures like input subsidies and strategic grain reserves, as wheat is a staple food…

    Introduction: A Persistent Imbalance Malawi’s agricultural policy landscape reveals a striking and persistent imbalance. When we look at agricultural support, it’s interesting to see how things play out between maize and livestock. Maize receives significant government attention and funding. This includes measures like input subsidies and strategic grain reserves, as wheat is a staple food…

  • Neoliberal capitalism and democracy in Malawi (1980s–Present)

    Neoliberal capitalism and democracy in Malawi (1980s–Present)

    Introduction Malawi’s journey since gaining independence presents a compelling story of how economic changes and the push for democracy can shape a nation. Starting in the 1980s, Malawi has undergone significant market-driven reforms, guided by programs from the IMF and the World Bank, aimed at bolstering the economy. Simultaneously, the country made a pivotal shift…

    Timeline infographic showing political and economic events in Malawi from 1960s independence to 2020s reforms.

    Introduction Malawi’s journey since gaining independence presents a compelling story of how economic changes and the push for democracy can shape a nation. Starting in the 1980s, Malawi has undergone significant market-driven reforms, guided by programs from the IMF and the World Bank, aimed at bolstering the economy. Simultaneously, the country made a pivotal shift…

  • Gov’t to abolish Car Ownership Schemes for Parastatals

    Gov’t to abolish Car Ownership Schemes for Parastatals

    As budgets are squeezed, one of the first areas that many companies, including the government, look for cost savings is the company car fleet. It is often tempting to remove the unpredictable costs and administrative burden of running the fleet and simply replace them with a fixed cash allowance. This may appear to be an…

    Silver GMC SUV driving on rocky mountain dirt trail with forest and snow-capped mountains in background

    As budgets are squeezed, one of the first areas that many companies, including the government, look for cost savings is the company car fleet. It is often tempting to remove the unpredictable costs and administrative burden of running the fleet and simply replace them with a fixed cash allowance. This may appear to be an…

  • Projects of Massive Proportion-The Chinese announce their intentions.

    Projects of Massive Proportion-The Chinese announce their intentions.

    Forget some chinese nationals externalisation of forex from Malawi. Forget about someone trafficking of human private parts and some other crazy stuff (including procreation activities allegedly happening in Area 18) associated with the Chinese nationals currently involved in alot of contruction work around Lilongwe. The chinese have embarked on projects that will change the face of…

    Collage of Lilongwe Malawi landmarks including Kamuzu Mausoleum, Parliament House, Lilongwe Wildlife Centre, Malawi University of Science and Technology, Lilongwe Bridge, Lilongwe city skyline, and Old Town Market

    Forget some chinese nationals externalisation of forex from Malawi. Forget about someone trafficking of human private parts and some other crazy stuff (including procreation activities allegedly happening in Area 18) associated with the Chinese nationals currently involved in alot of contruction work around Lilongwe. The chinese have embarked on projects that will change the face of…

  • Congrats Mr.President…..

    I took a long break from this blog. First because I have been using the self-hosted platform (www.georgengambi.com) which is now inactive  and secondly because of the internet access being very erractic. I welcome you back to this closet nevertheless. My focus today is on the results of the just announced Presidential and parliamentary elections.…

    I took a long break from this blog. First because I have been using the self-hosted platform (www.georgengambi.com) which is now inactive  and secondly because of the internet access being very erractic. I welcome you back to this closet nevertheless. My focus today is on the results of the just announced Presidential and parliamentary elections.…

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