The World Bank has committed $695- million to Malawi for the implementation of a number of projects that will contribute to the country’s economic recovery.

World Bank country manager for Malawi Sandra Bloemenkamp says the funds will be released to the Malawi government as part of the bank’s country assistance strategy (CAS) for Malawi over five years – from 2013 to 2017.

“Through this new CAS, the World Bank group is committed to continuing to help Malawi accelerate progress towards poverty reduction and successful economic transformation,” says Bloemenkamp.

She says the World Bank will focus on investments aligned to Malawi’s economic recovery efforts, spelt out in the newly launched Economic Recovery Plan and the Malawi Growth and Development Strategy.

The investments will be in key infrastruc- ture sectors, including energy, mining and water, as well as natural resource management, education, HIV/Aids and nutrition, and higher education and skills development.

The bank will continue to finance existing projects, including the Malawi Social Action Fund, a public works programme focusing on projects recommended by communities.

It will also finance the Irrigation, Rural Livelihoods and Agricultural Development Project, which will, besides other things, involve the construction and rehabilitation of irrigation schemes.

The World Bank is also expected to continue financing the $131-million Shire River Basin Management Programme, which includes the rehabilitation of the Liwonde Barrage, which controls the flow of water in the Shire river.

The World Bank’s new CAS brings its support for and commitment to Malawi to about $3-billion since Malawi became a member of the bank after attaining independence from Britain in 1964.

The Malawi government is working to resuscitate the country’s economy, which has been struggling, owing to low tobacco sales and suspension of aid by traditional donors, led by the International Monetary Fund (IMF), because of differences with the late President Bingu Wa Mutharika over economic policy and governance.

President Joyce Banda’s administration, which took over the mantle following the death of Wa Mutharika in April last year, has managed to convince the donors to resume aid to the country, which is struggling to contain a rising inflation rate – currently hovering around 35% – and the instability of the country’s currency, the kwacha, which has lost over 70% of its value since it was floated last year on the recommendation of the IMF.