Local Government polls, pension scheme miss out in 2009/10 budget as parastatals marked for reform

By Nyasa Times
Published: July 4, 2009

kandodo kenThe 2009/10 fiscal budget for Malawi has not included the much awaited local government elections and the pension scheme which government promised to implement.

Malawi has not had councilors and Mayors since 2001 local elections but government had assured that the polls would take place next year.

Electoral Commission chairwoman, Justice Anastasia Msosa recently also disclosed that the electoral body was preparing for the polls and had sent the budget to government.

However, presenting the 2009/10 budget in the national assembly on Friday, Finance Minister Ken Kandodo did not include an allocation for the elections.

Conspicuously missing in the budget as well is the controversial pension scheme which President Bingu wa Mutharika had pledged during campaign to implement in the coming fiscal year.

However, the Finance Minister said government has lined up a number of reforms to the underperforming parastatal organizations aimed at improving their performances.

“Causes of the underperformance include poor management decisions such as poor allocation of resources and inadequate levels of maintenance and investment in infrastructure,” he said.

He then said government has geared to strengthen the corporate governance and management structures, monitoring processes of parastatals, review capital investment and ensure that there is enhanced transparency and accountability in all parastatal organizations.

“Mr. Speaker Sir, Government will continue to strengthen governance structures in all parastatals by strengthening boards of parastatals in ensuring that there is a mix of key skills,” said.

He added that the executive management of various parastatals will be strengthened by strict adherence to a policy of recruitment based on merit.

The parastatals that have performed include; Malawi Communication Regulatory Authority (MACRA), Malawi Housing Corporation (MHC), Airport Developments Limited (ADL) and the Tobacco Control Commission (TCC).

 However, Air Malawi., Agricultural Development and Marketing (ADMARC) Malawi Post and Communications (MPC), and the Blantyre water board are among the notable parastatals that have underperformed.

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