Government imposes strict expenditure measures


Government imposes strict expenditure measures- Malawi24

As part of ensuring financial prudence, the Government of Malawi has directed the immediate suspension of procurement of new cars, high-value assets in the 2025/2026 fiscal year, among other measures.

Secretary to the Government, Justin Saidi, made the announcement in a memo directed to heads of government parastatals and controlling officers.

According to Saidi, the measures are aimed at strengthening fiscal discipline and curbing unnecessary public spending.

The measures, according to Saidi will remain in force until the end of the 2025/2026 financial year.

Among the directives, the government has imposed a moratorium on the procurement of new vehicles and other high-value assets across all ministries, departments, agencies, and parastatals.

Recruitment of new staff, including those in non-established posts, and promotions have also been suspended with immediate effect.

Saidi has further instructed all ministries and government agencies to hold physical meetings within their office premises or conduct them virtually to minimize costs related to travel and accommodation.

In addition, fuel entitlements for public officers — including cabinet ministers, deputy ministers, and senior government officials — have been cut by 30 percent.

The memo also indicates that the government will downsize its foreign missions, with each embassy expected to operate with no more than five officials, including the ambassador or high commissioner.

The move is part of ongoing efforts to control expenditure amid growing fiscal pressure and ensure that available resources are channelled toward essential public services and development priorities.

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