By Jones Gadama
The Public Procurement and Disposal of Assets Authority (PPDA) has welcomed the new PPDA Act No. 7 of 2025, which aims to stop the widespread abuse of single sourcing and restricted tendering in public procurement.
According to Edington Chilapondwa, Director General of PPDA, the new law imposes strict personal liability on officers found to be involved in inflated procurement prices.
Under the new law, procuring and disposing entities (PDEs) must justify the use of a sole supplier and provide market research to prove that the quoted price is fair.
Both PPDA and the Anti-Corruption Bureau (ACB) will conduct independent verification before approving any single-source request.
This move is expected to curb the abuse of single sourcing and restricted tendering, which was previously rampant due to undisclosed beneficial ownership.
Chilapondwa highlighted that beneficial ownership disclosure is now mandatory, and no bid will be processed without the declaration of beneficial ownership. This aims to expose people hiding behind multiple companies to simulate competition where none exists.
The new law also provides for disciplinary action, including dismissal, for officers found to be transacting in high-inflated procurement.
The PPDA has also announced the digitalization of procurement through the Malawi National Electronic Procurement System (Manep). This move is expected to increase transparency and efficiency in public procurement.
With the new law and digitalization of procurement, Malawi is taking significant steps towards promoting transparency and accountability in public procurement.
The new PPDA Act No. 7 of 2025, which came into force on March 31, 2025, replaces the PPDA Act of 2017.
The PPDA is confident that the new law will help to promote fair competition and transparency in public procurement, ultimately leading to better value for money for the government and the people of Malawi.
