Six months after a three-judge panel of the Constitutional Court invalidated the role of parliamentarians in the administration of Constituency Development Fund (CDF) and the Water Resource Fund (WRF), it has emerged that no new CDF guidelines have been developed.
Meanwhile, local authorities are managing CDF using general mechanisms and frameworks of implementing and managing local level projects, according to Malawi Local Government Association (Malga) executive director Hadrod Mkandawire.
Accountability experts have since urged speed on the matter, arguing any delay creates room for abuse, mismanagement or inefficiency in project implementation.
In a written response yesterday, Mkandawire said the 2022 CDF guidelines are not being used anymore, stressing that no individual will be managing the new CDF.
“We will be using systems and mechanisms that already exist in managing local development funds such as Gesd [Governance to Enable Service Delivery], District Development Fund, infrastructure development fund and municipal roads funds which are supported by the legal and policy framework on public finance management.
“What we will do is to strengthen the mechanisms and systems in order to enhance greater community participation, social accountability, oversight and general performance,” he stated.
Mkandawire said developing new guidelines has started in line with the High Court decision and that they are doing the review in collaboration with the Ministry of Local Government, Unity and Culture.
On his part, Ministry of Local Government Principal Secretary Reverend Moses Chimphepo asked for patience, saying President Peter Mutharika will provide details on CDF this Friday when he opens the 52nd Session of Parliament in Lilongwe.
Meanwhile, Centre for Social Transparency and Accountability executive director Willy Kambwandira said yesterday continued use of old CDF guidelines poses serious risks of political interference, weak accountability and political misuse of resources.
“Without revised regulations, implementation of the recent High Court ruling on removing MPs from CDF management, including decision-making process at the local government level remains unclear and further exposes funds to abuse.
“There is an urgent need to develop new guidelines to ensure transparency and strengthen the accountability system that aligns with principles of separation of powers between Legislative and Executive functions,” he said.
Kambwandira, whose institution has a toll-free number on CDF through which communities report alleged abuse of funds, also said managing the proposed K5 billion CDF as promised by the new regime without clear guidelines would bring chaos.
Centre for Human Rights and Rehabilitation executive director Michael Kaiyatsa said without clear lines of accountability, there is a high risk of abuse, mismanagement or inefficiency in project implementation.
“It’s also important that the new framework should prioritise transparency, community participation and oversight mechanisms.
“Councillors have the political mandate to represent their communities, but often lack technical capacity. Strengthening their capacity through training in budgeting, project monitoring and even procurement is essential,” he said.
The court also nullified a provision in the Local Government Act which gives MPs a voting right in council meetings, stressing that this amounts to conflict of interest, which undermines their oversight function.
After this decision, the Attorney General filed an appeal with the Supreme Court of Appeal and a stay of execution of the decision of the High Court pending appeal. The High Court is yet to pronounce itself on the matter.
Ministry of Justice spokesperson Frank Namangale confirmed that no dates have been set on the case.
The 2022 CDF and WRF guidelines saw MPs allocating to themselves 12 key responsibilities, including convening meetings on a quarterly basis with Area Development Committees, submitting requests for funding, launching and handing over of projects as well as providing written requests to district commissioners to release funds for a project, among others.
CDF was introduced in 2006 to facilitate development in constituencies, but it has been prone to abuse with several audit reports highlighting weak accountability and management tools.
From an allocation of K1 million per constituency in 2006, the fund was raised to K3 million in 2013, K10.5 million in 2016, K19.5 million in 2018 before being increased to K30 million in 2019, K40 million in 2020, K100 million in 2023, K200 million last financial year and K220 million currently.
