back to top

FND challenges Malawi Govt to explain K105bn loan borrowed on Khato’s behalf

Published on:

Share post:

Forum for National Development (FND) has challenged the government to explain why it undertook to borrow K105 billion from local banks to finance Salima -Lilongwe Water Project under Khato Civils Limited.

FND Executive Director Fryson Chodzi made the remarks during a press conference in Lilongwe on Wednesday to clarify their legal action against the government’s decision on the project.

“There has been an attempt to vilify the action taken as being anti-development, ant-patriotism and against President Lazarus Chakwera and his government as well as attempts to make their legal action as a political issue but there is nothing political in the case,” he said.

Chodzi said the organization has the duty just like everyone Malawian to protect the image of the country, integrity of the President and taxes that Malawians pay to ensure that it is put to good use.

FND Officials captured during the press briefing

 He further said the President has been misled in several ways citing examples of K750m paid at Barkaat Foods Limited, a butchery in UK, Brigdin Foundation as well as the issues of fuel. 

He expressed worry over the financing of the project adding that there have been red flags in the project and the latest being how the Loan Authorization Bill for the Lake Malawi Water Supply Project rushed through parliament.

He further said the injunction has been obtained as a last resort due to the government’s secrecy and unwillingness to provide information on the project after several futile attempts to get information on new financing arrangements.

Chodzi said they have so far engaged the Ministry of Finance, wrote the Anti-Corruption Bureau and Parliament. He lamented that instead of the contractor, Khato, to find the financier, the government has come in to find the finances for the project which is very unusual and raises eyebrows.

The organization wants the government to also explain the K25 billion paid to Khato on the same project but with no results shown on the ground.


Discover more from Nthanda Times

Subscribe to get the latest posts sent to your email.

Related articles

NICE Trust urges political leaders to support aspiring women candidates

Mindset change is crucial in empowering women to vie for decision making positions but some of the things that hold women down are to do with self-belief.

Uzimu Vibes awards reschedules to February 2025

In a bid to alleviate scheduling conflicts and enhance fan engagement, Uzimu Vibes Awards has announced a new date for its 2025 ceremony, February 22. This strategic move aims to provide artists and fans with ample time to plan and participate.

Mwakasungula urges further investigation into DPP abuse of power, public resources

Governance and Human Rights Advocate Undule Mwakasungula has described revelations that Electricity Generation Company (EGENCO) used to make payments on behalf of Democratic Progressive Party (DPP) as a mere tip of the iceberg, urging further investigation to unearth more rot in public service.

Pictorial Focus; Going cassava way

At the expense of erratic rainfalls and change in weather witnessed by the recent farming season and the seasons before, people are now thinking of crop diversification.

Discover more from Nthanda Times

Subscribe now to keep reading and get access to the full archive.

Continue reading