Mutharika orders fuel price slash, pay cuts for Executive: Tax relief in Malawi

President Peter Mutharika on Saturday has directed the Malawi Energy Regulatory Authority (MERA) to reduce fuel prices with immediate effect and Treasury to reduce salaries of the President, Cabinet ministers and their deputies by 10 percent for three months and direct the resources to fight against the coronavirus.

President Mutharika: An attack on one of us is an attack on us all. This is an attack we must all fight.

Mutharika said this in a special address to the nation of Saturday evening monitored by Nyasa Times on State broadcaster Malawi Broadcasting Corporation (MBC) .

“We are not alone in these tragic times. The whole world is under attack from this deadly virus. Many countries are struggling, many people are suffering and many are dying across the world,” Mutharika pointed out.

He said the reduction of fuel is intended to  “reduce transport costs” and cushion the poor as coronavirus crisis spread.

Mutharika has also instructed the Malawi Revenue Authority (MRA) to open up a voluntary tax compliance window for a period of six month to allow tax payers with arrears to settle their tax  obligations in installments without penalty.

The Malawi leader also said Treasury should provide a special fund to  Agriculture Development and Marketing Corporation (Admarc) to buy agricultural produce at competitive prices.

The President has also said government will establish a relief fund  through which well-wishers, companies and individuals can support the fights against Covid-19.

Other measures Mutharika unveiled were  tax waivers in importation of essensial goods for coronavirus management.

“These include personal protective equipemt, hand sanitisers, soap, water treatment chemicals,” he said.

He also announced a waive of non tourism levy to support the tourism industry and a waive of resident tax on all foreign doctors and medical personnel.

“I announced that we now have confirmed cases of the Coronavirus disease. The virus has attacked us. Now we have a fourth confirmed case in Blantyre. An attack on one of us is an attack on us all. This is an attack we must all fight,” said Mutharika.

He also  directed the Ministry of Health to recruit 2,000 health workers to assist in the fight of the pandemic.

“We need more soldiers and human power in this fight,” said the Malawi leader.

He also directed  treasury to increase the risk allowances for our health workers as a matter of urgency.

“The welfare of health care workers is our welfare. Their safety is our safety.”

Mutharika also said  government will increase Nutrition Allowance payable to civil servants with foundational medical conditions by 50 percent.

Other measures is to reduce fees and charges on all electronic money transactions in order to promote use of electronic money transactions.

Mutharika said  government shall continue to monitor the implementation of the new and existing measures and review the situation as it develops, warning that “more comprehensive measures may be imposed.”

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34 replies on “Mutharika orders fuel price slash, pay cuts for Executive: Tax relief in Malawi”

  1. Koma mitengo ya ma galimoto tikamakwera sanasise mtiuzireko eni magalimoto kuti asise mitengo

  2. bodza ili. its not what the international observing regarding oil prices ,Idiot.
    please stop brainwashing us with your packs of lies..
    kuli technology tu masiku ano baba

  3. Zero impact, what can 10% of Dausi’s salary do for Corona Virus. Stop fiddling Mr President, order proper equipment for hospital staff.

  4. There is nothing in these measures that talks about how the country is prepared or how they will deal with those people who will be infected with coronavirus….

    Do we have enough intensive care beds for Covid 19 cases, do we have enough ventilators, do we have enough PPE for our doctors… the answer is obvious no.

    Why is the president talking about reducing or removing duty tax on PPE now after people have started testing positive for covid 19 when we have had weeks and months to prepare?

    It seems to me that the president is more interested in the economic side forgetting about the most important part which is the health of the people……nobody no matter how much money they have can enjoy their money if they are not feeling well.

    I was waiting to hear from the president what the govt will do on testing people for covid 19, how many and how quickly new hospitals will be built to deal with covid 19 cases….what restrictions are required to stop the spread of the disease.

    I also wanted to hear how the govt is tracking all contacts of the people who have tested positive of covid 19 in order t9 stop the spread.

    This is a useless speech from the president and am surprised that even the opposition was applauding the empty speech that has not addressed the most immediate needs to deal with the situation we have on our hands as a country.

  5. Very good gesture to reduce salaries by 10%. Unfortunately all the savings will be wiped out through sitting allowances for the Ministerial Committee on Corona Virus who, we understand are receiving obscene amounts. Please find out and do something about it if this is true. Otherwise we will draw wrong conclusions

  6. ” special fund to admarc” that’s the first audit to be done when new government comes in. Mbava ndi mbava kaya nthawi matenda, maliro ndi chisangalalo imababe basi. Let’s keep our eyes open, not in the name of Corona. On surface the measures sound good and appropriate but inside ndi chowola!!

  7. Each passing day I become more aware of hw stupid APM is. Always trying but hitting bellow the belt. He could have strictly stated the changes himself so to judge him as such. E. G. Fuel slash with K150? 😄 😄 😄 😄 😄
    Bakha syndrome is reall

    1. You are in pain. Your name speaks of your hate. Sorry my friend. It seems you were never loved. Try st John’s. They offer counselling services.

    2. If you are not mad then surely you will become one sooner..Better come closer to Zomba to access mental treatment

  8. Musanamizidwe kuti Peter watsitsa Mafuta mafuta atsika dziko lonse lapansi kamba ka mulili wa Corona Virus, ndie no matter what mafuta amayela kusika mitengo komaso dziko la Malawi lachedwa kutsitsa kamba koti mafuta mmayiko azizathu anasika kalekale Peter amaba pamenepo mukuona, you must act as you went to school cardet yooooo mukugonabe mpakalero Malawi yinadzukatu pano

  9. Aaaaaaa iyayi
    Ngati sitiyamika apa ndiye ndife vinderrleee! Mdala apa walankjula ngati president komanso presidential candidate. Tere wangotalikitsa dala yekha visankho. Tikanampatsa mavoti apa eeeeeeesh!

  10. That is what we call good leadership Mr. President. I like the way you are issuing lockdowns in peace meals to avoid crippling the economy while your team is monitoring the situation. Here in Tanzania we have 20 cases but Magufuli has not issued any measures at all like the ones you have issued and life is normal . Complete shutdown can affect the poor people unless government has a bail out plan to give its citizens some cash transfers . So you have taken the right direction mweshimiwa Munthalika and MALAWI should not politicize your measures. They are good for the nation

  11. Reducing salaries, these people will be all over visiting government agencies and departments where they claim allowances and fuel allowances. After all salary is nothing to a minister as compared to the allowances these ministers claim from departments and government agencies.

  12. Well done Mr President. Malawians what else do we need. Do we need another president to reverse all these. Musovenge imwemonse apumbwa

  13. Nothing new.

    Fuel prices have gone drastically down on the global markets. Fuel price reduction in Malawi has been long overdue. So no news there.

    The other items this interim president has mentioned in his long overdue speech is pure politicking. All will the other stuff he has said will be forgotten and not implemented. The 10% salary reduction is pure noise contributing very little to the big fight. The 4,000 recruitment directive will end up being another failure like other similar directives like the internship. All this stuff he is saying is typical of how the DPP mafia works, taking advantage of the majority poor Malawi population most of whom are illiterate.

    1. Kaya zako izo iwe wa MCP/UTM alliance. Zisankho zalephereka basi. Mwagwanayo Nyau inu

    2. Ungrateful opposition. Which president doesn’t use his platform to gain mileage? It’s not strange for him to do that. Well done Mr. President.

  14. Stop fooling people NTCHONA. It’s market forces at work and not your silly directives. Oil prices have fallen on world market due to a slump in damand caused by covid 19. We don’t get such silly announcements by leaders here, but rather just notice price adjustments at the pump. Keep fooling the majority illiterate.

  15. Thank God for Corona virus. It has made thing that we never thought would happen to happen.. I am glad that I will now be employed

  16. Excellent Mr president. Well done. May God grant you wisdom as we tackle these terrible times.

  17. @David Phiri, I wonder if you are a Malawian and if you know the dynamics of Malawi that it will be completely impossible to enforce the lock down- Most of our ppo depend on piece work and we dont have adequate social safequards to sustain the livelihood of most low income earners

    1. It’s this kind of myopic thinking that will bring untold misery to Malawi. Strategic thinking leadership like Zimbabwe have already implemented a fully fledged lockdown and are on the right track to combat the epidemic. Malawi will continue to be a breeding ground for Coronavirus if it will continue with these baby interventions. Think outside the box mrs maliseni

  18. Kkkkk. He has tried but it’s still below standard. He ought to have been more direct and issue clear directives like the 10 percent one. Otherwise it’s like he was answering a question between the economy and the people which one are you more concerned with and would try to save. The answer in the speech is clearly I professor would go for the economy and coat the bitter pill with a human perspective

    Kaya zanu izo

  19. What Malawi needs now is a complete lockdown. These peace meal measures will prove very costly in the end. Learn from our neighbors. They have not waited for the worst situation. Act now Mr. President.
    We need a complete lockdown before it’s too late

    1. A complete lockdown means some people cannot earn a livelihood. In other countries a complete lockdown is accompanied by a government bailout. Government would be paying the poor with cash handouts to buy basic necessities. Here the government is unable to bail out poor people who have lost incomes because of the shutdown. If businesses are shut how will they be able to pay their employees

    2. Lock downs without locks will not work sir.Authorities are even failing to manage their boarders.People are jetting in and going out without being screened thouroughly for Covid.We are not serious.

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