Chiphiko raps Goodall’s ‘wish list’ in mid-term budget
Minister of Finance, Economic Planning and Development Goodall Gondwe’s Mid-term Budget Review Statement faced scrutiny from Parliamentary Budget and Finance Committee which has called it mere wish list as the country’s fiscal position is under pressure from a weakening domestic revenue collection and high interest rates on Admarc loans.
Gondwe announced a downward adjustment of the financial plan with the travel budget suffering cuts through travel policy changes.
Budget and Finance Committee of Parliament chairperson Rhino Chiphiko slammed the mediocre K9.3 billion revision to the budget.
He wondered why the country’s purse-keeper included a pledge of donors into the fiscal plan before completing discussions.
Gondwe is banking on expected lifeline from European Union (EU) and a promised K60 billion budgetary support from the World Bank to rescue the 2017/18 budget from disaster following a K45 billion bailout to State produce trader Agricultural Development and Marketing Corporation (Admarc) and a K46 billion shortfall in domestic revenue collection piling pressure on the budget.
But Chiphiko said discussions with the cooperating partners had not yet been finalised on the budgetary support.
“This makes a mockery of the whole budget which basically translate into a wish list,” Chiphikho said.
Chiphiko also described the Mid-term Budget Review Statement as lacking detail., demanding Gondwe to explain “why there was under-performance of dedicated grants projected at K24.4 billion and we only got K11.4 billion at mid-year.”
Gondwe has been widely criticised for not being accountable enough on government’s over expenditure.
He said a K55 billion budget support that Treasury expected from EU has not come to pass.
Gondwe conceded the figure was put in too hastily before the government and the EU had finalised discussing the conditionalities.
The minister is also having to deal with the miscalculation that happened in 2015/16 when the government guaranteed K23 billion in commercial bank loans to allow Admarc to purchase maize at the time when an estimated six million people were facing food shortages.
The government, and Admarc, had anticipated that the purchased maize would be sold to recoup the payments and interest on the bank loans but the widespread availability of humanitarian food through donors resulted in Admarc maize remaining in the warehouses.
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What did ADMARC do with 45.2 billion? Does parliament have an audit report? Who authorized ADMARC to borrow such a huge amount of money?
DPP kuba, that’s why this party has completely diminished in the central & northern regions, ask dada herself will tell you DPP cadres that she is working to finish Muthalika in these regions, we only need respectful people of high integrity here, dada wakuwonongerani ground kuno,the only politicians we recognise as strong contenders in Nkhotakota are honourable Mazizi MP nkhotakota central & our own shadow MP for Nkhotakota south honourable Kaisi for MCP, your dada amene mumamuchekenela ku chipani chanu cha mbava DPP kuno ali pa bench, come and do your own survey, you will see. MCP ndi boma, Chakwera… Read more »
I wish we could start voting to day so that we could kick out this liers and thiefs government( DPP ).wy cant we start now voting shaaaa 2019 may its far atibera zambiritu amenewa
You expect EU to disburse funds yet you are failing to furnish it with a report on corruption they demanded just forget the funding.
Your relatives are to suffer, be patriotic in your comments. The budget support is national issue not political issue.
Tisamaope kunena zinthu chifukwa choti our relatives will suffer. And even if they do, this won’t be the first time for them. Things went astray long time ago. Why is the government failing to provide a tangible report on the MK45billion given to admarc. Now ngati okuthandizani akufuna report even if you did submit already osaperekanso lomwelo kachikena bwanji? I don’t see anything wrong with Takondwa’s comment. Unless you Kanthu Nkako school me more here. How unpatriotic is his statement to you? hahahahahahaha….. Nanenso ndi lack of patriotism yangayi i can tell you that developmental funds are the ones lacking… Read more »
Why then are failing to update them since they help us? In this case the Party in the Government know pretty well that they have failed you and me, that is why they are creating their shells to hide, but uhuuu, not Malawians of to day.
Patriotism should start with leaders themselves.. Better withhold their money than giving it to pple who are un accountable.