Government against recapitalisation of Statutary corporations

The government has challenged statutory corporations boards to find solutions to problems they face without depending on governments bailout packages.

Comptroller of Statutory Corporations Nwazi Mnthambala made the remarks in an interview when she opened the corporate governance orientation workshop for boards of directors and senior management of State corporations in Mangochi District.

“The government provided initial operating capitals to these organisations. It is, therefore, the duty of the organisations to make sure that they are providing services to Malawians as well as remitting some surplus to the government as the shareholder,” she said.

Mnthambala faulted some statutory corporations for failing to provide quality social services to the people, in line with mandates which they were established with.

She urged boards to put in place strategies that would turn around their fortunes.

“We cannot continue capitalising them. The boards have to work closely with senior management and make the organisations tick. Most importantly, the government does not expect the boards to be exerting political pressure on the organisations’ operations,” she said.

Director of Staff Development Institute at Mpemba Peter Muthete blamed politics and corruption for negatively affecting statutory corporations’ work.