Minister of Finance, Economic Planning and Development Joseph Mwanamvekha says it finally ensure the Northern Region’s largest airfield will be constructed as it will spend about K500 million as initial amount for the construction of new Mzuzu Airport.
Government is serious about relocating Mzuzu Airport to their remote setting in the northern side of the country’s biggest district.
It is exploring the possibility of constructing the airfield at Lusangazi on the northern tip of Chikangawa Forest in the Viphya Plantation or the 20-hectare stretch, which sprawls from Lunyangwa Bridge to Emvuyeni Primary School along Ekwendeni-Ezondweni Road.
Mwanamvekha said when he presented the budget statement in Parliament on Monday that government has also engaged external creditors for financing of Mangochi International Airport.
He also said government will K2.5 billion to rehabilitate Chileka International Airport runway in Blantyre.
The over cut for Transport Sector is K88.3billion in the K1.7 trillion fiscal plan which is 1.4 percent of gross domestic product (GDP) which represents an increase of about 6.6 percent over the preliminary outcome for the previous fiscal year of K82.8 billion.
The finance minister said K47 .9 billion has been allocated to Roads Fund Administration for competition of various road project across the country.
Among the roads is the rehabilitation of the M1 road from Kamuzu International Airport turn-off to Mzimba turn-off and from Kacheche to Chiweta with K140 billion funding from European Investment Bank, European Union and the government of Malawi.
Heat also said government has provided resources for the Livingstonia-Njakwa Road which it expects to be completed during this financial year.
Apart from airports, government has also put focus on water transport and commenced construction of Likoma Jetty at the tune of K10 billion, according to Mawanamvekha.
He said government also plans to rehabilitate Chipoka port, Monkeybay Port and construct Nkhotakota jetty.
The Tourism Sector has been allocated K14.2 billion in order to improve the country’s visibility both at the regional and international level.
Mwanamveka said the budget allocations are in line with the priorities of the third Malawi Growth and Development Strategy (MGDS 3).
“It is government’s wish that Honourable Members will ensure that the resources are reasonably allocated to various sectors of the economy in order to improve productivity for the development of this country, and the well-being of its citizens.
“This is a budget for all Malawians regardless of race, region, religion or political affiliation,” he told the House.
Some of the major conjectures in the budget include an estimated growth of 5.0 percent in 2019 and 7.0 percent in 2020, an average inflation rate of 8.0 percent during the fiscal year, a stable exchange rate of about K750/US$ and a policy rate of 13.5 percent.Follow and Subscribe Nyasa TV :