Malawi Government Friday officially launched the Public Finance Management Reform Programme (PFM) as part of continued efforts to curb mismanagement of public funds.
Addressing senior government officials during the PFM launch which took place at Kamuzu Palace in Lilongwe, President Prof. Peter Mutharika said; “As Malawians, we should be embarrassed to honour through court proceedings what some people did during the Cashgate scandal.”
He said there has been a continued culture of non-compliance to laws and regulations that provide a framework within which public finances should be managed, a situation to which PFM would be a perfect remedy.
Mutharika also explained that Malawi still has an excellent framework of financial laws, rules and regulations that follow well established international standards of public finance management which, if observed and complied with, financial fraud would be rare and public resources would be protected.
“Regrettably, these laws, rules and regulations have been ignored progressively with impunity by politicians and the public servants, particularly those who are entrusted with managing resources,” said Mutharika adding; “And the result has been a persistent erosion of funds and a lack of control of expenditures.”
The President further explained that PFM would also sort out the evident lack of political will and leadership which has undermined the public finance management framework of rules and regulations including laxity in enforcing procurement procedures.
The Head of State also disclosed that the Central Internal Auditing service was being reformed and revitalized as a compliance tool of government.
Said the first citizen; “We will introduce qualified internal auditors from the private firms in 10 large ministries to train official internal auditors and establish proper internal auditing practice.”
Speaking earlier before the President, Minister of Finance and Economic Planning Goodal Gondwe indicated that PFM was a stride towards overcoming the challenging task of stabilizing the country’s economy which had been paralysed by the infamous Cashgate.
Present at the launch were senior government officials including Cabinet Ministers, Principal Secretaries and Chief Secretary to Government, George Mkondiwa.
Giving a vote of thanks, Mkondiwa hailed PFM as a home grown solution to the financial challenges that have for long retarded the country’s development.–ManaFollow and Subscribe Nyasa TV :