Malawi competition commission probes private schools

Malawi Competition and Fair Trading Commission (CFTC) is investigating private schools for allegedly violating provisions under fair trading practices.

In a press statement issued this week and signed by the CFTC acting executive director Charlotte Malonda the consumer protection agency noted that they have launched an investigation against the Independent Schools Association of Malawi (Isama).

“Because we believe that the association is overstepping and possibly violating the Competition and Fair Trading Act by setting prices through declaring and announcing the percentage increase for school fees which private schools should enforce, especially with the new school term fast approaching. Should this be true, this is a direct violation of the act which prohibits hardcore cartels which dictate prices among people who are supposed to be competitors, and private schools should abide by competition law just like any other business in the private sector,” said Malonda.

But Isama president Joseph Patel in an interview on Thursday said they are ready for the investigation because they have not violated any law.

“Our members during the general council discussed the issue on the increase on the cost of doing business. Some of our members are international schools and due to the exchange rate of the kwacha had problems in paying their teachers since the teachers are paid in dollars. The cost of doing business has also risen

even in local schools due to escalating maize prices, electricity and water tariffs.

“It is against this background that the private schools raised their fees according to the situation. The secretariat never forced or issued a statement on the percentage to be raised. We have let them to do the investigations and they are free to visit any private school of their choice. They will actually notice that schools have increased their fees by different margins,” said Patel

He added that parents are free to send their schools to a private school of their choice depending on what they can afford.

He, however, argued that if the Malawi Government has raised its fees by more than 100 percent what would stop private schools from doing the same.