Civil society organisations in Malawi have raised concerns over the delayed disbursement of the Reformed K5 billion Constituency Development Fund. The organisations, including the Centre for Human Rights and Rehabilitation, the Malawi Economic Justice Network, and the National Anti-Corruption Alliance, among others, have warned that the delay could lead to unfinished or unstarted projects, particularly with the rainy season approaching.
According to National Advocacy Platform chairperson Benedicto Kondowe, the government released K85.5 billion to 30 of the 36 local councils for advance payments to contractors, alongside money for project management, bursaries, sports development, and economic empowerment. However, Kondowe expressed fears that even half of the earmarked resources may not be disbursed in time for meaningful implementation at the current pace.
The concerns come amid conflicting accounts over the status of the funds. The government said the K85.5 billion will enable contractors in the 30 councils to mobilise for CDF projects. However, six councils—Blantyre City, Blantyre District, Chikwawa, Kasungu, Mulanje, and Nsanje—were left out after failing to complete procurement processes.
Malawi Local Government Association executive director Hadrod Mkandawire has expressed doubts over the government's announcement, stating that it did not translate into actual credits in councils' bank accounts. This raises concerns over the government's ability to disburse the funds in time.
The CDF rose from K200 million to K5 billion per constituency in the 2026/27 financial year and accounts for K1.145 trillion in the K10.9 trillion National Budget covering 229 constituencies. The fund is a significant allocation for development projects in constituencies across the country.
Minister of Local Government and Rural Development Ben Phiri has previously defended the government's handling of the fund, rejecting suggestions that the government had no money. Phiri stated that the government was facing turbulence but that it did not mean that projects were not running.
The delayed disbursement of the CDF could have significant implications for development projects in Malawi, particularly in the education, health, water, and infrastructure sectors. Kondowe warned that classrooms, health facilities, water points, and roads could be left unfinished or unstarted if the money was not released and used in time.
Key points
- The delayed disbursement of the Constituency Development Fund could lead to unfinished or unstarted projects in Malawi.
- The government released K85.5 billion to 30 local councils for advance payments to contractors, but concerns remain over the disbursement of the funds.
- The Constituency Development Fund accounts for K1.145 trillion in the K10.9 trillion National Budget, covering 229 constituencies.
