IMF CONDITIONS PARTLY TO BLAME FOR DELAYED PAYMENTS OF FARMERS – BANDA
AGRICULTURE expert, Gilbert Banda, has attributed the delayed payment of farmers who supplied grain to the Food Reserve Agency (FRA) to International Monetary Fund (IMF) fiscal conditions, which require government to operate strictly within its approved budget.
Mr. Banda explained that government had budgeted to purchase 543,000 metric tonnes of maize, but eventually bought 1,659,368 metric tonnes, with the additional quantities not provided for in the national budget.
He said IMF conditions only allow government to pay for what has been budgeted for, adding that the unplanned purchases created challenges in settling payments to farmers on time.
Speaking when he featured on Christian Voice Chatback Programme under the topic “2026 Outlook for the Agriculture Sector,” Mr. Banda stated that had it not been for the IMF programme conditions, farmers would have already been paid, noting that government has the capacity to pay farmers promptly.
“While fiscal discipline under the IMF programme is important, such emergencies should be treated as exceptions,” said Mr. Banda.
He has, however, expressed concern that the delayed payments will negatively affect farmers’ preparedness for the current farming season, warning that this could, even in small ways, impact projected crop yields.
RCV