The Concerned Citizens of Malawi movement led by Edward Kambanje has written to the Office of the President and Cabinet(OPC), expressing its disapproval of the government’s decision to extend the passport issuance deal with E-Technologies.
The government announced a three-month extension following the expiration of the original six-month contract.
Concerned Citizens of Malawi
However, in a statement, the movement argues that the decision reflects “elusive and selfish leadership” demonstrated by those entrusted with responsibility.
“Our previous correspondence to your administration highlighted significant issues with the current passport deal.
“We raised concerns about transparency, the exorbitant costs associated with the service, and the overall inefficiency that has plagued the process under the current provider,” reads part of the statement.
The movement claims that the extension was made without consulting relevant stakeholders for a possible solution to the challenges facing passport printing and issuance.
Meanwhile, the movement has demanded that the government rescind its decision.
The government has not yet commented on the issue.
In a bid to alleviate the worsening hunger crisis gripping the nation, the government has announced the reopening of all Agriculture Development and Marketing Corporation (ADMARC) markets on Friday, September 13, 2024.
To make maize, a Malawi’s staple food, more accessible to the masses, the government has set a new price of K790 per kilogram, equivalent to K39,500 per 50kg bag.
This pricing strategy aims to provide relief to Malawians struggling to afford the current market price of K50,000 per 50kg bag, particularly in areas experiencing critical shortages.
According to Dickxie Kampani, Secretary for Agriculture, the government’s intervention through ADMARC seeks to make this essential commodity more affordable for the majority of households.
“With maize prices skyrocketing in the open market, this move is expected to bring solace to those facing economic hardships,” says Kampani.
The Martse Foundation has announced that it will donate desks to Embangweni Primary School on 25th September, 2024.
The handing over of the desks will be spiced up by musical performances from Wikise and Machuluka.
According to the Martse Foundation, the desks have been purchased from the proceeds made on the Martse Memorial show which was held at Civo Stadium in May this year.
Martse
The Martse Foundation previously donated desks to Chambu Primary School in Lilongwe and Cape Maclear Primary school in Mangochi where Martse lived the last days of his life.
The Martse Foundation was founded by the family of the late Hip-hop star ‘Martse’ to honour his dream of helping primary school learners with good learning environment.
Martse, real name Martin Njhata died on 23 May 2022 following a fire accident.
Mighty Mukuru Wanderers President and Board Chairperson, Thomson Mpinganjira has expressed satisfaction with the progress made so far on the renovation of Wanderers Club House in Blantyre.
Speaking after touring the Club House at Lali Lubani Road, Mpinganjira said applauded the contractor who was given the job to do the renovations saying has so far done a wonderful job.
“I took time to see for myself the progress being made. So far my impression is that the contractor has done an amazing job. A lot of things have changed and I am extremely happy with what is happening here,” said Mpinganjira.
Mpinganjira further said that the efforts the club is investing in are meant to restore old glory at Wanderers.
He said, “My visit is to see to it that our old glory is restored. Wanderers is the oldest club and used to be a vibrant brand, it deserves to reclaim its old status.”
Mighty Mukuru Wanderers embarked on a renovation project of its Club House early this year that has seen establishment of Wanderers Merchandise Shop, VIP Lounge and Restaurant among others.
According to the club, Phase 2 of the projet will commence soon and will involve renovation of the offices for secretariat,gym and a recreational center.
The Reserve bank Governor Dr Wilson Banda has issued a statement where he plays down the rumours that are making rounds saying the Kwacha is to be devalued again. He has since appealed to the general public to desist from creating and circulating false reports which bring about unwanted speculation, panic and uncertainty in the economy.
Earlier on ,they were reports that the International Monetary Fund (IMF) has issued a stern warning to the Malawian government, urging a 60% devaluation of the Kwacha or risk forfeiting the second tranche of the Extended Credit Facility (ECF).
According to sources, IMF Chief Kristalina Georgieva has written to Finance Minister Simplex Chithyola Banda, emphasizing the dire consequences of inaction.
IMF Chief Kristalina Georgieva
The letter, dated September 5, 2024, cautions that failure to devalue the Kwacha will plunge Malawi into a deep economic crisis, surpassing the severity of Zimbabwe’s economic meltdown a decade ago.
Georgieva’s warning has sent shockwaves through the financial sector, prompting an emergency meeting between government officials and the IMF.
After intense deliberations, the government has decided to heed the IMF’s advice, opting for a staggered devaluation approach.
A 40% devaluation is expected to be announced shortly, followed by an additional 20% devaluation next month.
This move aims to mitigate the impact on the economy while aligning with the IMF’s requirements.
The Kwacha’s value has been under pressure due to a combination of factors, including a widening trade deficit, dwindling foreign exchange reserves, and a decline in tobacco exports – Malawi’s primary foreign exchange earner.
The IMF’s intervention seeks to address these underlying issues and restore macroeconomic stability.
While the government’s decision has been met with mixed reactions, economists argue that devaluation is inevitable.
“The writing has been on the wall for some time now.
“The Kwacha’s overvaluation has made our exports uncompetitive, and the IMF’s warning is a wake-up call to address our economic vulnerabilities,” said Dr. William Mwanza, a renowned economist
However, concerns have been raised about the potential impact on inflation, which could rise significantly following the devaluation.
“The poor and vulnerable will bear the brunt of this decision.
“The government must implement measures to cushion the effects and ensure that the benefits of devaluation trickle down to the masses,” warned Dr. Mwanza.
As Malawi teeters on the brink of economic uncertainty, the IMF’s intervention has sparked a heated debate about the role of international institutions in shaping domestic economic policies.
While some argue that the IMF’s advice is necessary to avoid a crisis, others see it as an infringement on Malawi’s sovereignty.
In a statement, the Ministry of Finance acknowledged the IMF’s warning and assured the public that measures are being taken to minimize the impact of devaluation.
“We understand the concerns of our citizens and are working tirelessly to ensure a stable economic environment,” said Minister Banda.
As the nation waits with bated breath for the official announcement, one thing is clear – the Kwacha’s devaluation is a bitter pill that must be swallowed to avoid a catastrophic economic crisis.
The Reserve Bank has responded with a press statement that says the report circulating on social media that the IMF has written the Minister of Finance and Economic Affairs to devalue the Malawi Kwacha by 60% is false and should be ignored.
Through a statement released and signed by Governor Dr. Wilson Banda, there are no plans to devalue the Malawi Kwacha.
“The general public is reminded to look up for information on matters of monetary policy from the Reserve Bank of Malawi,” Banda said.
