Procurement law to boost SMEs, says group


The Confederation of Business Associations in Malawi (Cbam) hopes for increased business from government ministries, departments and agencies (MDAs) following the assent by President Peter Mutharika of amended Public Procurement and Disposal of Public Assets Act.

The insertion of Clause 44 sub-section 10 of the Act, which was proposed by Karonga Central legislator Frank Mwenifumbo, was passed in Parliament in June this year.

Hasha: Livelihoods will be uplifted

The Act applies to all procurement involving public funds and disposal of public assets, but does not apply to employment contracts, lease or rental of real property, among others.

In an interview, Cbam interim president Noel Hasha said the small and medium enterprises (SMEs), whose major composition are indigenous Malawians, will have an increased participation in doing business with MDAs thereby uplifting their livelihoods and also economically empowering them.

The law means that people with family roots in Malawi and are in business will be having more chances of being chosen to provide goods and services to government. n

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