US restores $ 350 mln Malawi aid programme

Lilongwe, 22 Jun – (ANA) - The United States has restored a $ 350 million aid programme to overhaul Malawi's decrepit electricity grid in recognition of the "sound economic policy" introduced since the death of President Bingu wa Mutharika in April.

The U.S. Millennium Challenge Corporation (MCC) froze the donor agreement in July last year after 20 anti-Mutharika protesters were killed in a police crackdown in the impoverished southern African nation. The suspension, which coincided with aid freezes from other governments including Britain, Malawi's biggest donor, exacerbated an already acute dollar shortage, sending the economy into a spiral. However, the MCC said on Friday the change of direction on human rights and economics under new President Joyce Banda - southern Africa's first female head of state - meant the programme should resume. (ANA)

FA/ANA/22 June 2012--------