The Chairperson for the Parliamentary Committee on Natural Resources Werani Chilenga has advised the Malawi Energy Regulatory Authority (MERA) to implement a fair and transparent adjustment of fuel prices, prioritizing cost recovery over profit maximization.
In the House on Wednesday,Chilenga emphasized the need to consider the public’s hardships amidst recent challenges, including economic difficulties and climate-related disasters.
Chilenga
Currently, fuel pump prices in Malawi are lower than the importation costs in neighboring countries, forcing suppliers to rely on levies for working capital.
From January to June 2024, withheld levies totaled K74.5 billion, compared to just K14.4 million in remittances.
Yami Gemstone Lab and Exports (YAGLE), a Malawian gemstone mining company established in 2018, has faced significant challenges in its operations due to the absence of crucial systems in the industry.
In 2022, YAGLE exposed two critical issues: the lack of effective grading, certification, and appraisal systems, and the widespread undervaluation of gemstones.
The company received substandard gemstone and appraisal reports from the Ministry of Mining, which were later found to be inaccurate.
Despite the Ministry’s claims that it was their first time conducting such an exercise, they confidently proceeded with the results, leading to a loss of investor confidence.
The undervaluation of gemstones has resulted in significant revenue losses for both YAGLE and the Malawian government.
The accredited Gemologist,Rodrick Phiri, who conducted the valuation, undervalued YAGLE’s gemstones, leading to a loss of investors.
The investors had doubts about the true value of the gemstones, believing that YAGLE was exaggerating their potential worth.
This undervaluation has had severe consequences for YAGLE, including loss of investor confidence, reduced investments, stifled growth, and lost opportunities.
Furthermore, the lack of accurate valuation has hindered YAGLE’s ability to secure funding.
The company is currently in talks with the National Bank of Malawi(NBM) to secure a loan, but the bank is waiting for the asset documents, which are dependent on the Ministry’s valuation.
Despite these challenges, YAGLE believes its gemstone inventory has the potential to fetch millions of dollars on the international markets.
Moreover, the company is confident that once it conducts a thorough exploration of its mine assets utilizing latest technology such as airborne magnetic surveys and remote sensing, the resource estimates from its mines will be in the billions of dollars.
YAGLE currently holds three small-scale mining claims for aquamarine, rose quartz, milky quartz, and mica in Mzimba district, a potential ruby and gold deposit spanning 25,000 hectares in Mangochi, and a reserved mineral license, allowing YAGLE to purchase, hold, and sell over 25 different types of gemstones.
In an effort to resolve these issues amicably, YAGLE has attempted to engage with the Minister of Mining. Monica Changanamuno, and her two Principal Secretaries, Dr. Joseph Mkandawire and Martin Kaluluma Phiri.
Unfortunately, there has been little to no support from the Ministry, leaving YAGLE with limited options.
Recently, YAGLE requested the Ministry of Mining, in collaboration with the Malawi Revenue Authority (MRA) and Malawi Bureau of Standards(MBS), to assess and value their gemstones.
However, it has been over three months since the request was made, and YAGLE is still waiting for a response.
This delay has not only hindered YAGLE’s progress but also raised concerns about the effectiveness of the industry’s regulatory framework.
The lack of reliable systems, timely responses from authorities, and accurate valuations threatens the growth and development of the gemstone industry in Malawi.
Furthermore, the Export Development Fund (EDF), which started buying gemstones from Malawians in 2023, is also struggling with the absence of effective systems.
The root cause of this issue is the lack of accredited Gemologists and appraisers, which hinders companies like YAGLE from selling gemstones to the EDF and accessing the market.
This shortage of expertise prevents the accurate valuation and certification of gemstones, making it challenging for companies to secure funding and investment.
YAGLE is led by Yamikani Jimusole, an accredited Gemologist from the prestigious Gemological Institute of America (GIA) Thailand campus, with over a decade of experience in the gemstone industry.
Notably, Jimusole is the only GIA-trained Gemologist in Malawi and one of the few in Africa, bringing unparalleled expertise to the company.
Jimusole emphasized that if the government can develop and implement effective systems, the gemstone and jewelry industry in Malawi is capable of generating over $1 billion annually, which can replace the falling tobacco industry.
This statement highlights the immense potential of the gemstone industry in Malawi and the need for government support to unlock its full potential.
Deputy Secretary to the Office of President and Cabinet who is also Head of Presidential Delivery Unit (PDU) Dr Janet Banda has challenged the controlling officers to take their responsibility seriously in the fight against corruption in this country.
Banda made the remarks during the controlling officers forum meeting in Lilongwe.
She said there is a need for the controller officers to lead by example because if they are not pushing or doing the right thing, they cannot implement their mandate on the corruption issue, then nothing will work.
Dr Janet Banda
Banda disclosed that according to her assessment, in terms of institutions and structures they are doing well due to presence of Ant- Corruption Bureau (ACB) , Institution Integrity Committees (ICC’s) and Structural wise but in terms of fighting against corruption they are struggling.
She said : ” Normally in the Office of the President and Cabinet, what we do is to ask the ACB to give us the list of institutions where there are no integrity Committees and which are not functional at all, so when they give us that then we take up from there.
” Because we can summon the controlling officers to ask them why this is not happening in their institutions, that is why this forum is very important for the government especially to take stock of what is happening in various Malawi Departments and Agencies ( MDA’s).”
Banda expressed great concern for the few MDA’s that do not have functional Institution Integrity Committees ( IIC’s) according to the report they have received.
In his remarks Ant- Corruption Bureau (ACB) Acting Director General Hillary Chilomba said the platform will help the controlling officers who are doing well and those who are not doing fine to find the way forward on how they are supposed to do it.
Chilomba said for those MDA’s which do not have an IIC’s , will be reported to the legal affairs committe of Parliament where they will be summoned why they don’t have IIC’s and why they don’t perform well.
In his remarks Legal Affairs Committe chairperson Peter Dimba encouraged the MDS’s which do not have the IIC’s to make sure that they must put in place the IIC’s because the idea is to decentralize the fight against corruption.
He lamented that corruption is everywhere in all institutions wheather in public or private saying they encourage the institutions to have the IIC’s in order to foster the culture of Integrity.
President Filipe Jacinto Nyusi has been conferred an Honorary Doctorate in International Affairs and Diplomacy (Honoris Causa) by the University of Malawi (UNIMA) in recognition of his service to the people of Mozambique, SADC and beyond.
Nyusi being honoured with a Honorary degree
In his acceptance speech, Nyusi extended his word of appreciation to President Dr Lazarus Chakwera, saying that the occasion is a reminder of one the two countries have achieved in international relations and common development goals.
Describing Malawi as a great friend, Nyusi highlighted his commitment to prioritising diplomacy with neighbouring countries.
“We are friends at all times, even in trying moments. I am therefore humbled, honoured and grateful for the award,” Nyusi said.
Nyusi, therefore pledged to visit UNIMA and share with students Mozambique’s economic diplomacy initiative.
In a heartfelt post on his Facebook page, President Lazarus Chakwera announced that the University of Malawi, where he serves as Chancellor, has conferred an honorary doctorate on His Excellency Filipe Jacinto Nyusi, President of the Republic of Mozambique. This recognition celebrates President Nyusi’s unwavering commitment to fostering regional relations and development.
President Chakwera highlighted that, as an expert in international relations, President Nyusi has shown exceptional leadership in promoting dialogue, understanding, and peace among nations. Malawi, in particular, has greatly benefited from these efforts during their concurrent terms in office.
Nyusi
Chakwera praised President Nyusi’s role in significant regional projects, including the revitalization of a crucial railway system. This development has provided Malawi with enhanced access to the ports of Nacala and Beira, substantially boosting trade opportunities.
Additionally, the collaboration between the two countries has led to the implementation of an interconnector project aimed at improving electricity access through a power trade framework, benefiting populations on both sides of the border.
President Chakwera extended his congratulations to President Nyusi and all other recipients of academic awards at the University of Malawi’s recent congregation, underscoring the importance of such achievements in strengthening regional partnerships and advancing collective progress.
