The Presidents (Salaries and Benefits) Act describes in detail the benefits of former presidents and former vice-presidents.
According to part 111, a former president is entitled to a tax-free lump sum gratuity calculated in accordance with the formula applicable in the case of civil servants or one-year tax-free salary, whichever is greater.
They should also receive monthly salary at 50 percent that of the President and a government house of 40 percent of the salary as housing allowance.
Other benefits are two motor vehicles (a saloon and a 10-seater four-wheel drive), free electricity, free telephone, free water, free medical services and a personal physician, and free local travel by air transport.
That is not all as the former president is also entitled to staff. It should comprise a personal secretary, head guard, six security guards, staff supervisor, assistant accountant, storekeeper, messenger, valet, housekeeper, steward, four housemen, two cooks, a chauffeur, two drivers, two laundrypersons, head gardener and three gardeners.
There is more. There are other benefits for the former president like medical insurance for him/ her, spouse and children under the age of 18; annual first class return ticket for him and spouse to travel abroad.
The former president is also entitled to duty-free importation, on application to the minister responsible, of foodstuff and beverages for personal consumption, two personal motor vehicles every five years, personal clothing and books, newspapers and periodicals for personal use.
Former vice-president
According to the Act, the former vice-president is entitled to a lump sum gratuity calculated in accordance with civil service formula or one-year tax-free salary, whichever is greater.
He is also entitled to monthly pension at 50 percent of the Vice- President’s salary and a vehicle. If government is unable to provide a house, the former vice-president is supposed to get 40 percent of the salary as housing allowance.
They will also be entitled to free electricity, free water and free medical services.
Other benefits include duty-free importation of one vehicle every five years, a return air ticket to travel abroad for them and their spouses and medical insurance for them, their spouses and children under 18 years.
The former vice-presidents are also supposed to be provided with staff that includes a cook, a chauffeur, a gardener and a security guard who should be receiving house allowances.
Cost
Currently, the country has three former presidents, namely: Bakili Muluzi, Joyce Banda and Peter Mutharika and two former vice-presidents in the name of Cassim Chilumpha and Khumbo Kachali thus totaling five while the current ones are Lazarus Chakwera and Michael Usi as President and Vice- President, respectively.
It should be noted that after Bingu wa Mutharika died, the then vice-president Banda assumed the leadership as per Constitutional order. It also mandated her to choose a vice-president and she appointed Khumbo Kachale, who served for about two years .
It should also be pointed out that Malawians elected Saulos Chilima as their vice-president. When he died on June 10 2024, Chakwera appointed Usi.
After next year ’s General Election, if Usi is not appointed, he will join the group of former vice-presidents who will have lifetime benefits. It does not matter whether one served the whole five years or just a fraction of the term. And that is worrisome to some people.
Economist Glyson Chijinthi Nyirenda from the Catholic University of Malawi says the arrangement where presidents and vice-presidents receive life-time fortunes is a mockery to the country’s economy.
“These are contracts where one has to serve a maximum of 10 years. They are supposed to be getting gratuity. What is happening now is extravagance,” he says.
Nyirenda stresses that given that the number of former presidents and former vice-presidents on retirement will increase, it will have negative consequences on the country’s ailing economy.
What went wrong?
One of the framers of the Constitution, Unandi Banda, said they did not consider that someone would take the mantle within the term.
“The assumption was that a president and vice-president would be in office for five years and maximum 10 years. No one thought about the situation that has happened, which you have talked about,” Banda said.
He admitted that the current situation is not good and that there was need to revisit the Constitution.
A minister during the first multi-party government of president Bakili Muluzi, Ziliro Chibambo, agreed that framers of the Constitution did not foresee that the positions of president or vice-president would fall vacant in the course of the tenure.
He admits that the country’s economy cannot keep on paying former leaders because, he said, it is expensive.
“But you cannot control death. Much as there is need to revisit the Constitution so that it aligns with the current economic situation, it is not easy to change as it involves two-thirds majority in Parliament,” he said.
But veteran politician Dan Msowoya sugges t ed that presidents and vice-presidents who do not complete their tenures, or start in the middle, should not be entitled to life-time benefits.
Msowoya, a long time Alliance for Democracy publicity secretary, warns that in future, it will be too expensive to look after political leaders who finished their work.
He said: “There has to be a difference between an elected person and an appointed one. Only those presidents and vice-presidents that were elected by the people should be on life-time pension while those that were appointed should not.
“In fact, the position of vice-president is not relevant as the president can assign ministers to do the work. You should remember that the first president, Dr. Hastings Kamuzu, did not have a vice-president, hence; no cost.”
Msowoya also condemned the decision to have Speakers of Parliament to be on lifetime pension, describing it as irresponsible.
“Sometimes Malawians behave as if they are Qatar. Honestly, I do not know the reason behind putting a Speaker of Parliament on pension,” he said.
Social commentator Humphrey Mvula said that is why there is the saying that “democracy is expensive”.
He expressed disgust with the recent decision to increase the number of legislators from 193 to 228.
He said: “These people that made the decision to increase the number of the legislators are Malawians. They know the country’s economic situation, but they decided to ignore it for reasons they know themselves.
“So, when you see issues of former presidents, former vice-presidents and Speakers of Parliament getting lifetime benefits, it does not surprise me because they will say democracy is expensive. To me, that is not the case, but lack of love for our country.”
Lawyer Justin Dzonzi also said that when the laws were being made, they might not have thought that there could be many former presidents and former vice-presidents. “For me, I prefer a one-off payment, not a lifetime one,” he said.
