Chief Justice Rizine Mzikamanda says the Judiciary will not thwart any arbitration process as the country establishes a private sector-led independent facility for settlement of commercial, investment and other disputes.
Mzikamanda said this in Blantyre yesterday when he inaugurated the Malawi International Arbitration Centre (Miac), a private company limited by guarantee incorporated by the Malawi Law Society (MLS) and the Malawi Confederation of Chambers of Commerce and Industry (MCCCI).
“The Judiciary will not be a hindrance or an impediment to the arbitration process recognizing that arbitration laws require courts to decline jurisdiction and refer a given dispute to arbitration once there is a valid agreement to an arbitration clause,” said Mzikamanda.
The Chief Justice said this dispute resolution facility is a streamlined alternative to conventional court proceedings thereby offering what many appreciate as private, efficient and specialised platform for resolving commercial disputes.
Mzikamanda also stressed that the use of international arbitration has evolved to allow parties from different legal, linguistic and cultural backgrounds to resolve their commercial and investment disputes in a final and binding manner without the formalities of procedural rules of their own legal system.
On his part, MLS president Patrick Mpaka said apart from the qualifications that are required for the arbitrators, integrity, efficiency and confidentiality will be central to the work of Miac which already adopted the code of conduct.
He said MLS and MCCCI have every confidence from so many angles which include the arbitration law that was already adopted by government and the recent judgements that have come from the superior courts supporting arbitration.
Most importantly, Mpaka said the diverse expertise put together only points to efficiency and integrity as the crosscutting desires on which Miac will build.
“The centre will administer both domestic and international arbitration matters which will not only relieve some pressure from courts but also allow business enterprises an unprecedented degree of control of the pace of resolving commercial and investment differences,” he said.
In his solidarity speech, Attorney General Thabo Chakaka Nyirenda said government fully supports alternative dispute resolution mechanisms, particularly arbitration, as an essential tool for business facilitation, risk reduction, and economic growth.
He said studies indicate that arbitration can reduce the cost of doing business by up to 50 percent thereby making it a highly effective means of fostering a competitive and attractive investment climate.
“Sensible investors carefully assess the legal frameworks of potential investment destinations, and a robust arbitration system is a crucial indicator of a country’s commitment to a secure and efficient business environment,” he observed.
