Blantyre Water Board gets court relief on K2.5 billion claim

The High Court of Malawi’s Commercial Division has stopped enforcement of an earlier judgment ordering Blantyre Water Board (BWB) to pay K2.5 billion to a supplier who had pushed for payment.

Information and communications technology supplier Madalitso Chika wrote to the court seeking an order to intercept money belonging to BWB held by several financial institutions, and use it to satisfy the judgment.

But through lawyer Dumisani Mlauzi, BWB sought a stay of the judgment pending conclusion of an appeal in the Malawi Supreme Court of Appeal.

Presiding Judge Trouble Kalua granted the board’s wish in Lilongwe, ordering that enforcement of the May 20, 2026 judgment be stayed.

He said: “I order that the interim third party debt order dated 21st August 2026 be and is hereby set aside.”

In the matter, BWB is facing a judgment debt of K2.576 billion, with collection costs of K386.5 million, making a total of about K2.963 billion.

Chika’s lawyer, Khumbo Soko, was not available for comment.

The Malawi Government Economic Report (2026) shows that between 2024 and March 2026, BWB made determined efforts to stabilise its financial performance following one of the deepest financial crises in the sector.

The report said the board significantly reduced its losses and improved asset utilisation. However, its financial position remains fragile due to ageing infrastructure, liquidity pressures and escalating operating costs.

BWB is currently embroiled in court battles between its board of directors and chief executive officer Yeremiah Chihana.