The Budget and Finance Committee of Parliament has queried what it has described as K18.7 billion unexplained balance in the 2024-25 national budget.
When presenting the national budget some two weeks ago, Finance Minister Simplex Chithyola Banda said the allocation under wages and salaries had increased by K94.7 billion to K1.075 trillion from K980.5 billion.
But presenting a report by the Budget and Finance Committee, its chairperson Gladys Ganda said a closer look at the figures has revealed an unexplained K18.7 billion.
“The committee notes the allocation of K70 billion for general salary increment and K6.0 billion for new recruitments, as reported by the Honourable Minister of Finance and Economic Affairs in his Budget Policy Statement.
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“However, there remains an unexplained balance of K18.7 billion. The committee urges the Honourable Minister to clarify the purpose of this remaining amount,” Ganda said.
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Ministry of Finance spokesperson Taurai Banda was not immediately available for comment yesterday.
Chithyola Banda is expected to address all the concerns raised by various committees and clusters when he winds up debate on the budget next week.
On the Affordable Inputs Programme (AIP), the committee noted that the flagship programme has continued to claim a large share of the agricultural budget, as it has been allocated K161.3 billion, claiming 32.4 percent of the sectoral budget.
“The committee is aware that the country, through MIP-1, committed to redesigning the programme by 2023. The committee would like to be apprised of progress on this matter,” Ganda said.
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On maize purchase, Ganda said the committee noted that the proposed allocation for maize purchases to the National Food Reserve Agency (NFRA) has been maintained at K12 billion.
She observed that considering the current high prices of maize and the expected effects of El Niño on agricultural production, the committee noted that the country is at food insecurity risk.
“It is the Committee’s view that K12.0 billion will not suffice to purchase enough maize to ensure a sustained and affordable supply of maize for all affected Malawians.
“Therefore, this allocation towards NFRA should be revised upwards. Furthermore, part of the K40 billion allocations towards Admarc for its operations should also be used to cater for maize purchase,” she said.
