By Cathy Maulidi:
Minister of Local Government Richard Chimwendo Banda has suggested that budgets for local councils should be tripled to improve the delivery of projects in districts.
Chimwendo Banda said this in Parliament, buttressing his position by citing Malawi’s neighbours such as Zambia whose council budgets have apparently been increased.
In the current budget, the local councils were allocated K488.1 billion of which K60 billion was meant for development and K379.2 billion for wages and K48.4 billion for operations.
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If the Ministry of Finance approves the tripling suggestion, then it would mean K180 billion going towards development.
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Chimwendo Banda said he was looking forward to a day government would triple the resources going to the councils owing to their significance to the people.
“Yes a double or triple of resources to the councils, to the rural people because it is embedded in the Constitution that there must be a percentage of the net value of resources that we get as a country going to communities. For quite a long time, that has not been happening.
“As a minister responsible for councils, I am pleading and always looking forward to a day when we shall triple these resources because these resources are meant for our people,” he said.
Malawi Local Government Association (Malga) Chief Executive Officer Hadrod Mkandawire has praised Chimwendo Banda for “setting the right tone at the higher level in respect to fiscal devolution”.
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“It has become a norm to note that local government authorities receive funds that do not meet the minimum financial requirements for them to effectively discharge their constitutional and legislative mandate, notwithstanding their innovation to raise more from local revenue.
“Our expectations are that the Minister of Finance and Economic Affairs will heed our call which has been supported by the Minister of Local Government, Unity and Culture.
“If we are to strategically reposition the local government authorities as key actors in contributing towards economic recovery on which the 2024-25 national budget is premised, and ensure they contribute towards the realisation of Malawi 2063, then we have no option but to heed this call,” Mkandawire said.
Finance Minister Simplex Chithyola Banda asked for more time to comment on his Local Government counterpart’s appeal.
