Britain has said that it will provide Malawi with £20 million ($32 million, 25 million euro) in “emergency budget support” to assist social schemes in the country.
According to the State house press office, Britain is providing the aid “in recognition of the efforts the government has taken to fix the economy”.
Malawi President Joyce Banda devalued the national currency the kwacha and implemented sweeping reforms since she took power in April. Her actions have restored relations with international donors, notably former colonial power Britain, which broke down under her late predecessor Bingu wa Mutharika.
Banda’s new government “has taken some tough but necessary decisions to stabilise the economy and create conditions where growth can flourish,” said the statement from the press office of the State House.
Britain has already given Malawi $84 million in aid since Banda took over.
Malawi government spokesman Steve Nhlane said the extra money would fund “the fertiliser input subsidy programme, support the procurement of essential drugs and support other social programmes.”