ACB lifts ban on procurement of equipment for Phalombe hospital

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The Anti-Corruption Bureau (ACB) has lifted a restriction on procurement of equipment for the under-construction Phalombe District Hospital.

On 16th February 2017, ACB issued a restriction notice to the Ministry of Health (MoH) on the contract to supply Hospital Equipment for the new Phalombe District Hospital arguing that the tender advertisement had made specific references to a brand of medical equipment rather than generic specification which would have encouraged participation from wider base of suppliers, creating a competitive bidding process for the benefit of the people of Malawi in getting value for money.

Egritta Ndala

Ndala confirmed of the news.

But according to a statement signed by the ACB public relations officer Egrita Ndala, Malawi’s healthy ministry has now been allowed to go on with the procurement process.

“The ACB and the Competition and Fair Trading Commission have therefore, on an exceptional basis allowed the process to continue following the exceptional legitimate reasons given in this project,” reads part of the statement.

The suspension of the ban comes after the bureau together with the Competition and Fair Trading Commission (CFTC) engaged the Ministry of Health to enquire on why they did not follow Malawi Government procurement procedures in the said project.

The health ministry then disclosed that the financiers of the project have their own procurement procedures which the ministry is following in the procurement of equipment and for reasons related to control and management of maintenance and training costs.

Phalombe hospital is being constructed with resources financed under Loan No 594/3 from Arab Bank for Economic Development in Africa (BADEA) and the Saudi Fund.

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