Lilongwe: Malawi President Joyce Banda Thursday evening announced the dissolution of her cabinet amid reports of rampant fraud and corruption in her government.

The development follows multiple arrests of top and junior government officials who were caught with millions of dollars in their houses and cars, Xinhua reported.

The public opposition parties and civil society organisations have since the arrests called upon President Banda to either resign, or fire the finance minister and her chief secretary.

Upon her return from the UN general assembly Wednesday, President Banda told journalists in Blantyre that she would take appropriate measures after meeting cabinet members Thursday.

Unconfirmed reports indicate that some of President Banda’s former cabinet ministers are involved in the fraud and corruption scandal that has left the country’s tax payers crying foul. Banda is expected to unveil a new cabinet soon.