Malawi Minister of Finance, Simplex Chithyola-Banda has urged parastatals in the country to comply fully with the expenditure control directive to ensure that all the allocated funds to the national economy are being prioritized.
He made the remarks during the 2024/2025 shareholder letters of expectations signing ceremony between the government and state-owned enterprises on Thursday in Lilongwe.
Chithyola-Banda urged the Parastatals to comply with the government’s call to use the funds effectively, saying failure to do so would only lead the country astray to the extent that there would be no single thing to point out as an achievement.
“Let me repeat this point because l believe it is very important for you to get the message right. The government intends to see all the parastatals comply fully with the expenditure control directive. Failure to comply will attract the appropriate sanctions by the existing laws and regulations as well as the applicable condition of service,” he explained.
The Minister went on to advise all the government-owned institutions to be more strict with the agreed targets in their budgets by exploring and implementing activities that have the potential to grow revenue base and also minimize costs at all levels so that clients get value for money by delivering quality services in line with government’s mandate.
He then asked the Board Chairpersons and Chief Executive Officers (CEOs) to continue collaborating with the ministry to maintain an open-door policy for critical stakeholders to get the support that is required to deliver their mandate effectively.
The occasion is normally organized during the parliamentary budget session sitting and it is done deliberately to ensure that implementation of state-owned enterprises performance management plans and budgets aligns with the national budget.
