Minister of Finance, Economic Planning and Development Goodall Gondwe had to apologise to the national assembly on Tuesday for not appraising the House of latest developments developments surrounding the controversial disposal of the wholly State owned Malawi Savings Bank (MSB).
Gondwe said he had not informed parliament because of the court injunction which some MSB staff members obtained against the sale. The court order has since been vacated after Attorney General Kelekeni Kaphale challenged it.
The Finance Minister said he has since requested the leadership of the House to give him time to make a statement on the history of the MSB sale and what it means to replace toxic assets with promissory notes.
Gondwe was taken to task by opposition members of Malawi Parliament (MPs) to confirm that the bank sale to FDH Investment of Thomas Mpinganjira will be completed on Wednesday, according toSalima North West MP Jessie Kabwila (Malawi Congress Party-MCP).
Kabwila also took Gondwe to task on why government had not informed parlaiment on the decision to bail out some borrowers who created toxic assets in the bank’s loan book before the sale.
Those who have been bailed by government are mostly members and financiers of the Democratic Progressive Party (DPP) .
Kabwila warned: “We are prepared to do anything until we have satisfactory answers. We want some answers.”
Gondwe said most of the issues being raised did not contain “actual facts.”
According to Finance Minister, there are at consultations currently taking place but did not elaborate.
President Peter Mutharika was under fire from various commentators for failing to tackle the MSB issue in his State of the Nation Address which he delivered in Parliament last week.
But Leader of the House, Francis Kasaila, defended the President, saying the matter will be handled by Finance Minister.Follow and Subscribe Nyasa TV :