Thursday, 16 June 2016

Parliamentary Committee Urges House To Pass ATI, Communications Bill


Also Remove Custom Duty On Broadcasting, Telecommunication Equipment


Samuel Kawale




















The Malawi Parliamentary Committee on Media, Information and Communications has urged the House to pass Access to Information bill and remove some Customs Duty on media and telecommunications equipments as way of promoting transparency and accountability in the public service and sustainable growth of the media, information and communications industry. 

The call was made in the House on Wednesday evening following findings on the Committee’s visit to various Media Houses and mobile operators in the Country from 7th to 11th September 2015.

Presenting the report, Chairperson for the Committee, Hon. Samuel Kawale noted that both media houses and the mobile operator’s wants Access to Information Bill and Communications Bill passed into laws by the National Assembly when they are presented in the House. 

On this, the committee has recommended that Government has to consider speed up the process of presenting all the relevant Bills to be passed into laws noting that such new laws will promote transparency and accountability in the public service and also fill the existing gaps by the continuous use of outdated legislation.


On Customs and Duty, the committee’s report noted that both media houses and mobile operators requested for the removal of Customs Duty because rates of Customs Duty on equipment are high. And pacifically on the broadcasting equipment, the committee said the rates makes dissemination of information to the general public more expensive. 

“Your Committee recommends that the Government should consider revise downwards Customs Duty Rates on Broadcasting and telephone equipment to promote the sustainable growth of the media, information and communications industry.” Said Hon. Samuel Kawale adding that mobile operators are also complaining of vandalism of the telephone equipments by the general public which are slowing down the development progress of the industry

The Report noted with appreciation that both media and mobile operators have made substantial investments throughout the country in modern technology to provide quality services to all Malawians. 

Hon Kawale said his Committee was very impressed with the infrastructural and technological developments that most private media houses are putting in place, investing a lot of money in modern equipment for both radio and television stations. 

"You may wish to note that some media houses plan to go into multiple channel broadcasting and others have already been invited to broadcast on DSTV." He informed the House noting that the media houses are also playing important role in socio economic development because they are employing a lot of people throughout the country with their wide spread in all districts of the country

The committee also commended the mobile sector for playing crucial role not only on talk service but also on internet services, mobile money as well as providing employment and being one of the biggest tax payers in the country.

But the committee has encouraged all media houses and mobile operators in the country to adopt and adapt to new technologies “all the time” in order to survive in the international media market competition. 

Speaking of visit to Malawi Communications Regulatory Authority (MACRA) the committee noted that Cyber Security is the main issue in the ICT world today and as such, the Electronic Transaction bill is intended to curb such cybercrimes. But the committee has encouraged MACRA as regulator to continue being accountable and transparent to the General public in carrying out its duties so as to promote further growth of the Media, Information and Communications industry.

During the visit, however, the committee was not impressed with the state of infrastructure and equipment at the state broadcaster, the Malawi Broadcasting Corporation (MBC) as the station has old equipment requiring replacement. The committee has recommended Government to inject adequate resources to MBC for renovation of infrastructure and procurement of modern broadcasting equipment.

Objective of the visit was to appreciate success and challenges in the media, information and communications industry; particularly to appreciate the state of infrastructure, progress being made on some projects that fall within the mandate of the committee and to appreciate the success and challenges of the MACRA.

The committee visited a total of four radio stations, televisions and print media houses namely; Zodiak Broadcasting Station, Blantyre News Papers Limited (The Times Group), Nation Publications Limited, and MBC. On telephone companies were; Telokom Netowks Limited, and Malawi Telecommunications Limited, Multi-Choice Malawi Limited and the MACRA were also visited

Welfare Committee Hope To Conclude GPF Negotiations This Week

















The Parliamentary Welfare Committee which is negotiating with Finance Minister on the delayed General Purpose Fund (GPF) loans has expressed hope that Government will conclude discussions either this week or next week with positive outcome. 

Members of Parliament are demanding Government to implement the GPF loan where every Member of Parliament is entitled to up to obtain K5 million loan from banks to be repaid before expiry of their term of office. 

Honorable Alex Major, Chairperson for the Committee leading the discussions with Finance Minister Goodall Gondwe said in an interview that meetings that began on Tuesday were continued on Wednesday and there is hope that everything will be implemented.

“The Condition of service matter is in progress, and we are still negotiating” he said, “but as MPs we know that we have an obligation to meet and the obligation is to scrutinize the budget. So, what we have decided is, as long as we are negotiating but we should also progress with budget scrutiny and we are scrutinizing the budget and also we are progressing with our discussions with Government.”


He said at the moment the Finance Minister has neither denied nor accept any of the demands by legislators but all seems that he understands their concern. 

“But it is not a matter of him understanding but you know, Government need to implement our conditions of service” he noted while expressing hope that this week “we would have reach the compromise whereby Government must accept to implement our conditions of service.”

Honorable Major also indicated that as of Wednesday, the Minister said he wants to make further consultations before telling the Committee whether Government will accept their demands or will not.

“He said he needs to consult so we are waiting for him to consult the President am sure, otherwise all is in progress.”

Since Monday this week, the legislators from opposition side vent their anger in the House over the delays by Government to implement the loan. The business of the National Assembly between Monday and Tuesday was disturbed as the House had to be suspended several times due to uproar when members from opposition insisted to deliberate on their condition of service and suspend the debate on the national Budget.

However, Government has maintained that it is facing economic challenges and it will not implement the legislators’ loans.

Wednesday, 15 June 2016

Parliamentary Budget Committee Pessimistic With Malawi Projected GDP Growth Of 5.1 Percent


Chiphiko: Nation needs to pray 5 times a day to achieve such ambitious rate of growth















The Parliamentary Committee on Budget says nothing tangible for this year’s Budget to make the Malawi economy register real GDP growth rate from 3.1 to 5.1 percent.

Chairperson for the Committee, Rhino Chiphiko finished presenting the Committee's findings on Tuesday in the National Assembly, a response to Minister of Finance Goodall Gondwe's recently presented K1.136 trillion national budget estimates in the National Assembly for the 2016/17 financial year.

Parliamentary Budget Committee Chairperson, Rhino Chiphiko says his Committee established that the only positive areas in the budget has been large allocation to the Ministry of Agriculture which represent 17 percent of the total national budget and allocation for the food purchase.

The committee further noted the proposals to reform the Farm Input Subsidy Program and plans in Public Finance Management.

However, the Budget committee found number of worrying developments in the Budget which led the Committee to conclude that Malawi will fail to achieve real growth.

"Mr. Speaker Sir, events in the natural, or, Act of God, and in the human realm portend a difficult future. Climate change and extreme adverse weather events, unstable exchange rate, persistent high inflation, high interest rates and constrained fiscus, all portend a sluggish and depressed economy. An economy is in an Intensive Care Unit (ICU) like a patient on a Life Supporting Machine. Malawi is in an economic crisis." emphasised Chiphiko with urge that "But we must do something" mentioning lowering of interest rates and boost industrial production.


In the Committee findings presentation, performance of many sectors in the Malawi will be adversely affected by poor performance of the Agriculture sector as it is apparent that climate is still affecting the sector yet Malawi continues to depend on the sector.
















According to Chiphiko, later in an interview said Malawi may this year register a negative 2.5 growth rate and not surpass the average growth in the regional which is around 3 percent. He said the committee believes that Ministers projected growth figure will need the nation "to pray more than 5 times a day in order to achieve such ambitious rate of growth."

Chiphiko said the budget has large allocation on expenditure for the public debt charges and interest repayment and that this will make Malawi fail to meet Millennium Development Goals as less has been allocated to the Development programmes.

His committee further notes that interest rates in banks remains stubbornly high making lives of many to be unbearable in the year which 8 million Malawians will face food shortage.

The Committee emphasise that interests rates must be revised downwards to make people able to borrow from banks and able to repay loans at reasonable rates. 

The Committee has among others noted that number of tax proposals cannot lead to any economic recovery and may even push the economy deeper into recession.

Katsonga Offers “Word Of Wisdom” As House Demands Loans


Davis Katsonga: Speaking in February 2016
















Mwanza Central constituency legislator, Aaron Davis Katsonga on Tuesday evening got a standing ovation in the National Assembly for offering solution that Deputy Speaker of the National Assembly, Esther Mcheka Chilenje together with Leader of Opposition Lazarus Chakwera, described them “Words of Wisdom.”

Legislators are demanding their delaying General Purpose Fund (GPF) loans of K5 million each which they are supposed to repay between now and 2019.

The Former Speaker, Katsonga asked the House to find proper forum to discuss the legislatures condition of service matter as doing so in the House would negatively affect the reputation of the House.

“Something has gone drastically wrong.” noted Katsonga then advised, “I think the leadership of on the Government side and Opposition should sit down and look into this matter very seriously because the reputation of this House is going to be negatively affected at the end of these exchanges.” 


His remarks came when the members from the opposition side of the House were insisting to progress with the matter of their condition of service when at that time the matter was under discussion between the Welfare Committee and the Minister of Finance and Economic Planning, Goodall Gondwe.

Katsonga remarks further went on to plea with the Deputy Speaker to call off her decision that the Dowa East Legislator, Richard Chimwendo Banda should on Wednesday afternoon bring in the House alleged evidence that the Cabinet Ministers got K5 million loans from the Office of the President and Cabinet (OPC) when the Members of Parliament are being denied to get loans. 

“Madame First Deputy Speaker, by bringing the issue back in the House tomorrow, the evidence that’s being sought, we are also rekindling the very issue that I am saying is wrong to be discussed on the floor of the House” he said and further advised the Deputy Speaker to find different approach of concluding the matter
“Thanks for the words of wisdom.” replied Deputy Speaker while sustaining the point of order of Katsonga

“Honorable members, its high time that we listen to words of wisdom as stated by the member for Mwanza Central.” pleaded Chilenje who called on the House not to waste time discussing their condition of service in the House but instead focus on the issues of national interest 

“Indeed something has gone out of order.” She concurred, “I would want to plead with the leadership to find the way of resolving these issues and not in the House. This is totally out of order and am ruling the whole House Out of Order for discussing these issues” she concluded the matter

However, this winding up of the matter failed to calm down the situation as others suggested the suspension of the House to allow leadership to discuss on the matter. When tensions increased further in the House, Deputy Speaker suspended the proceedings for 30 minutes to allow the members to sober up. 

Immediately the House resumed sitting, Leader of Opposition, Lazarus Chakwera offered words of reconciliation which was in total agreement to earlier point raised by the legislator for Mwanza Central. 

He said the manner in which the matter was being deliberated in the House nobody is going to win and it will only bring chaos in the House.

“I want to appeal like the former speaker, Mwanza Central stated. I know that wisdom is not monopoly of anyone. But, I would appeal that such matters has have preoccupied us, which matter should not even be on the floor of this House, should be dealt with in the manner in which it was prescribed.

The Opposition Leader urged members never to debate issues concerning conditions of service on the floor and that any member requiring such information should approach the correct offices “and not stipulate staff that agitates Malawians across the country against certain members of the society whether they be ministers or parliamentarians in general.”

Chakwera then appealed to all members to proceed with normal business “but those who have responsibility to see through that things are done right should do so.”