MCCCI applauds Chakwera for introducing tax incentives despite the economy facing challenges

Malawi Confederation of Chambers of Commerce and Industry (MCCCI) has applauded the administration of President Dr. Lazarus McCarthy Chakwera for introducing a number of incentives through the 2023-2024 National Budget.

MCCCI president Lekani Katandula said it was gratifying that the Tonse Alliance government introduced tax incentives even at a time the economy was going through turbulence inflicted by global and regional economic shocks.

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“In particular, we noted the introduction of duty-free importation of equipment and building materials, and tax holidays of up to 10 years for mega farms and related agro-processing. We take this as a serious signal of your government’s commitment to reversing the current unwanted economic trend in this country,” said Katandula.

He urged the government to continue making improvements in the energy sector in order to improve reliability and access for the wider population.

The MCCCI boss further asked the government to promote fiscal discipline in the use of financial resources so that Malawi can reverse the unsustainable debt position.

“We urge the government to prioritize procurement of domestically produced goods and services to boost local production and save foreign exchange; revisit our land laws and regulations to make them more investor friendly; and increase investment in Research and Development to supplement that of the private sector. [Additionally], we urge the government to promote development of entrepreneurial skills. We believe that such efforts would go a long way in promoting exports and reducing imports, thus balancing the trade position,” he said.

Katandula assured Chakwera that the private sector, on the other hand, will play its role of increasing production and raising product value addition to satisfy not only the local demand but also to compete on the global markets.

He added that the private sector will embrace innovation and reduce over-reliance on imported products.

In his speech, President Chakwera directed MBS to fast-track the processing of business certificates and certifications to enable SMEs to grow their businesses and increase productivity.