World Bank demand K32m refund from Malawi

Malawi government should reimburse K32.9 million meant for the Local Development Fund (LDF) supported public works programme (PWP) from Dowa district council if the global lender if to release any project funds.

Laura Kullenberg, World Bank boss in Malawi: Pay back

Laura Kullenberg, World Bank boss in Malawi: Pay back

The bank says Malawi can pay back the money in instalments.

Treasury spokesperson Nations Msowoya said Dowa will have to pay the money by itself and not the central government.

According to a letter that the World Bank country office has written to the LDF-Technical support team (LDF-TST), the unaccounted for funds were released by LDF under Masad III adaptable programme Lending II (APL II) that closed on June 30 2014 Masaf III which run between September 2009 and June 2014 was worth $114 million (57 billion) comprising three credits.

There was the original financing which was the LDF’s seed capital followed by $14 million (7 billion) first additional financing to help Malawi respond to the earthquake that hit Karonga and Chitipa as well
as droughts that affected other districts.

Lastly,  the second additional financing of $50 million to help cushion the shocks of the May 2012 kwacha devaluation and other social protection interventions.

The World Bank decision to freeze advances means that its disbursements under Masaf IV that will be withheld with $107 million (around 53 billion) that was planned to be released  between September 2014 and mid 2018  will be at stake.

World Bank country manager for Malawi, Laura Kullenberg said in a letter dated January 18 2015 that  balances will be treated as lapsed loans and explained that  “implications of having lapsed loans in your country portfolio is that the advance method of disbursement would not be allowed for any subsequent loans, credits or grants until the lapsed loans are fully resolved.”

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44 thoughts on “World Bank demand K32m refund from Malawi”

  1. I SMELL ROTTEN says:


  2. pierra says:

    this will no doubt fan the flames for the creation of a federal state of Malawi. It cannot be tolerated that a country’s population is jointly and severally punished for the fiscal embezzlement by the few.
    what is required right now is a complete audit of accounts to find out the culprit districts and regions.

  3. gloria says:

    when nations says dowa he means the responsble persons in dowa who misuse the fund, whether ndi ku assembly or else where, are responsible to pay the money

  4. Ramsey Majiga says:

    ” Kuthako kwa jongwe kumbaoneka tsiku ya chonzi” lero zadziwika….. kwawo gule wamkulu

  5. Rodrick Mbuya says:

    Abweza bwanji anthu aku Dowa oti ndalama amaba ndima accountant, DC, DPD ndi ena? I wish you could arrest these people not punish pple from Dowa pazinthu zomwe sanachite. Ndikuziwona kuno ku BK mmene ndalama zaboma zikubedwera ndi anthu ogwira ntchito boma. Munthu osauka ngati ine sindingabwezenze ndalama zoti sindinadye ACB ibwere ma districtmu idzagwire mbava zomwe zikuba ngati ku Dowa ndi Balaka

  6. Ken Msoni says:

    izi its because ma council kuyika maudindo un qualified pple like M’mbelwa DOA wa standard 8, amadula ma tikiti ku Likoma koma koma a Makileni kumupatsa u DOA ku Mzimba

  7. Issa Kabudula says:

    The problem we have in Malawi is that of lack of love of each other where a person if given meant of items or cash the only thing she/he thinks is to manage his/her own issues, for World Bank to ask for refund zopangitsa manyazi why a refund? Charity can not be refunded – the amount itself too little for Malawi problems. For us Malawi please lets learn to respect our positions other wise you deserve to be wiped out and the young boys and girls who are hungry for work and development to take over your positions.

  8. Bwampini says:

    Payback the money Malawi! Finish n klaa

  9. Charter says:


  10. Jacob David says:

    Kodi mwaiwala kuti mabedi a ku Mponela Dowa hospital anapita ku mpoto? Madollar amenewa sanalowela konko?

  11. suspect zero says:

    Boma ndilomwe libweze ndalama osati Dowa pliz

  12. Moya says:

    The Dc and chief accountant of dowa during the time when the money was disbursed should explain failure which they will be answerable, let’s save time.the money isn’t there confiscate their assets to recover but certainly government has more to lose than just paying the “little” bill

  13. Isaac chagwa mzuzu says:

    Why Dowa as if pampandopo pali Dowa the one misused funds.How special are the guys who misused money for the whole Dowa to pay?Dont you have enafu data at district level to trace culprit?plz consider innocent Dowas who wud suffer in this.

  14. iMWE says:

    Kodi iwe Nations, what kind of name is this? You should ask your fellow thieves to refund the money from their private accounts not punish ordinary people from Dowa as if they also signed the cheques, Kodi iwe si ntumbuka? Nanga ukuyankhula ngati sunapite ku school bwanji mwana wakwithu.

  15. Eeee mavuto aliko..

  16. Ababa Thamangiwa. says:

    i pity the people of dowa. Ndalama zimenezi zinasowa tisanapange masankho a 2014. Chilombo chachikazi chinadya zimenezo pano chili pheee kunja kwadziko lino.

  17. Kambodya says:

    Ine ndikuva chisoni kamba kakuti, sianthu onse akudowa, omwe anaba ndalama. Ndiye ziwakhudza bwanji anthu enawo?,

  18. Merry Maker says:

    Komatu anthu mungotokota, ndalama izi sizikukwana ngakhale Toyota Land Cruiser V8 – 39 Million m’boma ndiyogulira ka twincab.

  19. Nkhani ndi ya Dowa . Dowa should defend itself. Dont transfer to other councils.

  20. Kikikiki says:

    Kaya zanu izo. What can we say then; way forward is fedulo though not the right solution of dealing with our down hill nation. Izi zakanika and let’s see something new. After all there’s nothing to loose anyways.

  21. chisazo says:

    As government what are you going to do with the officers who did that? That’s stealing so you mean the public servant wiill be left free? Are you telling me that theft is legal and instutionalised in the civil service in Malawi? Why should you penalize the innocent rural masses in Dowa because of few civil servants? Deal with those involved if you are to deter would be thieves of LDF funds

  22. Mtunga says:

    Ask all DC from Manyetera and his 2 predecessors to prepare report manyi akunena Manyi Nation Msowoyawo. Politicians know better. Dowa contributes large chunks of dollars thru its tobacco but it gets nothing in return. Moreover the Local Govt sends thieves as DCs to Dowa to thieve for their parties. Save the people of Dowa your clap you Msowoya. They deserve better.

  23. Dusty says:

    Why Dowa should pay the money? What if we people say anthu amene munatumiza kugwira ntchito pa nthawiyo ndi amene abweze.Ndikovuta kuti munthu wakumudzi akatenge ndalama for nothing while you officials at District assembly are the ones who abused the money therefore they need to take the resposbility.Nkhani zakuba zikuchititsa manyazi.

    1. Tengupenya says:

      It is the Dowa District Assembly to suit the Local Government staff that abused the fund. The assembly can even suit the Central Government jointly with the local government servant who may have been involved if the involved people were posted to Dowa by a Central Government. A papa it is Central government to pay the World Bank. In fact Dowa received nothing from the World Bank, therefore there is no financial accountability or responsibility on the part of Dowa to the world bank. Should central Government cut funding to Dowa, it will be a constructive declaration of self government for Dowa or at least a firm declaration by central government of self determination for Dowa. Historically, Dowa can then reclaim jurisdiction over all her colonial time territory. Then the real decentralization with option for real municipal government will have received central government constructive blessings. There shall be no turning back, after all Dowa was the first Boma. It shall one be the first Boma to have de jury and de facto local government recognized by global lending institutions like the world bank.

  24. True patriot says:

    Dowa is not the only one.More will be uncovered.God is in control.

  25. Floodgate says:

    When it rains it pours, Mathanyula you thought it was going to be a piece of cake hahahahahahah

  26. Njalayamalamuchiuno says:

    It is high time sanity was restored in our country’s public service. Those who cannot live up to the desired level of integrity must, kindly, resist the temptation of taking up a public office to save the country’s already damaged image.

  27. True patriot says:

    Dowa is not the only one.More will be uncovered.’more will be uncovered.

  28. dadaboma says:

    Jean Kalirani was used by DPP to siphon LDF funds from DA district to finance APM’s campaign. That time this woman held a very high position in the party and DA is her district. DPP is a party of thieves, we’ve been saying over and over again but some stupid party zealots don not want to let go their blind support. This party is killing Malawi. Where will the already cash-strapped country get the money for refund? Please Malawians kumaona zipani zovotera, osati DPP, mufa muona.

  29. ganimunthu says:

    Nation Msowoya you speak before you think. Dowa has people who work in civil service from all over malawi and of they abuse money, it is the abusers that mist pay not the poor people of Dowa. You have also made transfers like three Dcs I’m one year how can we trace these issues now

    1. JJB says:

      Umbuli in this country is very high, in fact too high.

      A thinking person would deduce, that Nation is talking about Dowa district council, but eish!!

  30. yonayona says:

    Dowex Madrid!

  31. bryan says:

    That’s it, that’s why we need Federalism, mukamaba muzizalipira nokha kumwera kwanuko. One reason we need federalism in Malawi. Thanks world bank.

  32. Patriot says:

    Dowa LDF-gate. Kungolowa m’boma izo….it is just pouring and pouring and pouring, eish.

  33. malawiana says:

    There goes a nation of thieves and more thieves. Am ashamed these days to be called Malawian. Its no longer the warm heart of Africa but the corrupt mind of Africa.

    1. MSANA WA PETURO says:

      Indeed, ‘the corrupt mind of Africa’. I like that.

  34. acn says:

    Madam, bear with us, Malawi is a land of cashgates. The part of loot was used by APM during his campaign.

    1. powder says:

      what is that, dowa ndi apm zikugwirizana?

    2. mavuto says:

      By your prefered candidate

    3. mavuto says:

      Remember DPP came from opposition. No chance to campaign with this money

  35. mbwaxe says:

    This is Malawi! A country where stupidity and foolishness reigns at all levels starting from the head of state going down to the villager!!!!! What a bunch of foolish country men!!!!!!

    1. mavuto says:

      I for one am not foolish. If u are it”s not everybody

  36. kadamanja says:


  37. Tengupenya says:

    What happened in DowA to those funds?

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