Parliament Demands Answers on Alleged K70 Billion Agriculture Payout
The committee has also demanded explanations for a separate K6 billion claim allegedly about to be paid to Lilongwe University of Agriculture and Natural Resources (Luanar) officials.
LILONGWE, Malawi — Malawi's Parliamentary Committee on Agriculture has demanded a clear explanation from the government regarding an alleged K70 billion payout to Eastbridge, despite agriculture officials denying knowledge of such a claim, writes Martin Kamlaike.
Committee Chairperson Sameer Suleman expressed disappointment with the government during a meeting at Parliament on Thursday, where agriculture officials were summoned to provide updates on preparations for this year's Affordable Inputs Programme (AIP).
"Yesterday, some of you were there when SFFRFM came. And they said yes, the Eastbridge deal was done at a board level with the ministry officials," Suleman said.
"And today, the ministry comes and tells us no, we have to go back and then we will come again and tell you the truth."
The committee alleges that Agriculture Minister Sam Kawale might be aware of a contract signed between the board of Smallholder Farmers Fertilizer Revolving Fund of Malawi (SFFRFM) and Eastbridge.
Suleman claimed the minister and other officials are pushing the treasury to pay Eastbridge "for no deliveries, no invoice was raised."
Officials have promised to provide answers within seven days.
The committee has also demanded explanations for a separate K6 billion claim allegedly about to be paid to Lilongwe University of Agriculture and Natural Resources (Luanar) officials.
Regarding AIP preparations, Suleman expressed concern that the ministry has yet to identify contractors to purchase inputs for the initiative.
"We are not impressed at all. As you know that this is August, the list for suppliers is not yet out. Contracts have not been signed," he said.
Engineer Geoffrey Mamba, Principal Secretary for Irrigation Services, responded that officials were unaware of both the Eastbridge and Luanar deals and requested time to investigate.
On AIP preparations, Mamba assured the committee that contracts would be awarded to suppliers by the end of August, with fertilizer expected to be ready for distribution by September or October.
The agriculture officials also revealed plans to pay input suppliers in Malawi Kwacha this year to avoid forex challenges experienced in the previous growing season.