The government of Malawi has been approved to receive over 228 billion Kwacha ($137 million) from the World Bank.
The funding is to support the budget of the struggling Southeast African country.
The World Bank’s support to Malawi comes just one month after the country’s currency fell by over half in value relative to the US dollar.
One of the world’s poorest nations, Malawi, is struggling with a persistent lack of foreign exchange, which has caused shortages of fuel, medications, and fertilisers.
The World Bank announced further money on Wednesday, that 133 billion Kwacha ($80 million) out of the 228 billion Kwacha ($137 million) will be disbursed right away.
According to the International Monetary Fund (IMF), the country needs debt relief totaling roughly 1.8 trillion Kwacha ($1 billion) by 2027.
Last year, President Lazarus Chakwera announced that Malawi was seeking to raise $50 million to deal with a fuel crisis caused by a shortage of foreign exchange.
The fuel shortages had worsened and dragged on the economy, with motorists across the country sleeping at pump stations and forming long queues to refill.
Chakwera told business executives at the Malawi Investment Summit that the nation was working to address the foreign currency shortage, according to a Bloomberg-confirmed statement.