Youth Alive Mchinji says it has noted with serious concern the public notification by the National Economic Empowerment Fund (NEEF) dated 17TH May, 2025, indicating its intention to award contracts for the procurement of 150 motorcycles at an estimated total value of over MK3.5 billion.
The organisation says while it is acknowledging the importance of equipping institutions to enhance service delivery, it is deeply alarmed by the unjustifiable and exorbitant prices reflected in this procurement process.
The NEEF says in line with Clause 48 of the Public Procurement and Disposal of Assets Act of 2025, Lot 1 for the supply and delivery of 100 motorcycles was awarded to Luthanodo Holdings Limited at K2,147,152,085.03, and Lot 2 for the supply and delivery of 50 motorcycles to Omar Transport and General Suppliers at K1,427,125,000.00.
In its statement dated 18th May, 2025 signed by its Executive Director Luciano Milala, Youth Alive Mchinji says based on current market research and available import data, a standard motorcycle suitable for government and rural operations costs between K4 million to K6 million, fully landed in Malawi inclusive of taxes, customs duties, and transport.
Youth Alive Mchinji says Lot 2 for the supply and delivery of 50 motorcycles awarded to Omar Transport and General Suppliers at a contract amount of K1,427,125,000.00 is translating to an average of K28,542,500 per motorcycle, describing this as a day broad-light robbery to Malawian taxes.
The organization has claimed that this procurement process has raised serious red flags of possible collusion, overpricing, and misuse of public funds violating Clause 43 of the Public Procurement and Disposal of Public Assets Act of 2023 which mandates that all public procurement should promote transparency, fairness, open competition, and active value for money.
It says that in light of these serious irregularities, it is demanding the immediate halt to NEEF motorcycle procurement, intervention of the Anti-Corruption Bureau (ACB) to investigate this procurement process, calling upon President Lazarus Chakwera to urgently suspend this procurement and institute an independent audit to review how these prices were arrived at.
“We demand that NEEF publicly explain the basis of these inflated contract values, providing specifications, valuation reports and procurement rationale for public scrutiny,” reads the statement in part.
