Cabinet has directed that all parastatal chief executive officers (CEO) should only use Toyota Prado TXs following a revision of their motor vehicle entitlements.
Malawiâ€™s Comptroller of Statutory Corporations Nuwazi Mnthambala confirmed the directive in an interview on Monday.
â€œTalk to Clement Chinthu Phiri [clerk to Cabinet] for more details,â€ she said.
But Chinthu Phiri said he is on holiday and referred the matter to a colleague who promised to call back but did not until we went to bed.
Meanwhile, the directive has not gone down well with the Motor Traders Association of Malawi who argue that the decision is an unfair trade practice.
Chairperson of the association Jolly Nkhonjera said: â€œIf the directive is true, [then] it is bad because the other companies [suppliers] will feel sidelined.
â€œMy suggestion is that government should look at all vehicle brands and do a thorough assessment and give companies trading in motor vehicles a fair chance.â€
According to the memorandum from Mnthambala, dated August 17, 2012, all CEOs have since been advised to immediately adopt the new directive with revised entitlements.
â€œI write to inform you that government has with immediate effect revised the motor vehicle entitlements for chief executive officers in parastatals. All chief executive officers will now be entitled to drive a Toyota Prado TX only,â€ reads the circular, in part. â€œConsequent of this revision, all chief executive officers are hereby advised that they will dispose of all vehicles in a transparent and cost effective manner whilst following the Disposal Policy of the said parastatal and that where a CEO is currently driving a VX or any higher class model as an entitlement, and it is less than two years old, a declaration should be made to the office of the comptroller before the vehicle is disposed of.â€
The memorandum directs that where the vehicle (VX or any vehicle of higher class) is beyond two years old, the CEO will dispose such vehicle forthwith and replace it with a new recommended model, a Toyota Prado TX.
Adds the circular: â€œAll new procurements for directors will, therefore, not fall within the Toyota Prado model. Parastatals will review and consider directors entitlements and only implement the same as and when replacement of the directorâ€™s vehicles falls due.â€