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Malawi News Online (46) - 6/19/98

Malawi News Online (46) - 6/19/98

MALAWI NEWS ONLINE/MALAWI NEWS ONLINE/MALAWI NEWS ONLINE

Edition #46 9 June 1998

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A bi-monthly update of news from Malawi!

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In this edition:
Stories:
1. Government to 'chop' departments
2. Compensation body struggles to pay victimsÄ
3. Tobacco prices to remain low
4. Fertilizer prices up
5. 200 die in prisons within 20 months
6. Shareholders shed 12 percent stake in bank
7. Stiffer penalties to safeguard environment
8. Malawi, Namibia seek greater communication

Stories:

1. Government to 'chop' departments

Government has said it is to chop 21 of its institutions from the public budget with effect from the end of the current financial year as a way of cutting down expenses.Ä

Among the institutions to be dropped from government funding are the University of Malawi, departments of Relief and Rehabilitation Affairs, Local Government, Sports, Energy and Mining, the newly-formed National Research Council, Crop Authorities, Commission for the Establishment of University in the North (Comesun), Malawi Industrial Research and Technology Development Centre.Ä

Others include National Family Welfare Council of Malawi, Copyright Society of Malawi,Ä Vipya Pulpwood Corporation, Mining Development Corporation, Medical Council of Malawi, Malawi College of Accountancy, National Heritage, Human Rights Commission, and Office Equipment. Government will stop funding these at the end of the 1997/98 financial year.Ä

Other casualties: the Administrator General's Office, Polytechnic Board of Governors, University and the National Road Safety Council have been served with one year's notice.Ä Deputy secretary to the president and cabinet, Kamphambe Nkhoma, said the institutions will have to find alternative funding or wind up their work.

Others, he said may have to be privatised.Ä He said the move was in line with the on-going financial reforms.Ä Nkhoma said government will have to find a niche for those whose institutions will fold in the wake of the reforms.Ä Ä 2.Compensation body struggles to pay victimsÄ Ä The National Compensation Tribunal, set up to compensate victims of the former one party regime is struggling to fulfil its mandate.Ä

NCT was established in 1996 by the ruling United Democratic Front government of President Bakili Muluzi to provide relief to Malawians who suffered under the oppressive Malawi Congress Party's 30 year.Ä The victims are mostly people who were thrown into detention without trial on political grounds. The victims also include those who were forced into exile for fear of being victimized and sent into detention. Government then pounced on confiscated their property. Ä In what some people generally viewed as a move to score a political point, government in June 1996 passed an act of parliament to soothe the past pains and sufferings of the victims.Ä However, since its establishment the compensation body has been crippled by poor funding from government. The problem of funding has led to most victims accusing the NCT of favouring those who have strong connections with senior government officials.Ä

"Politicians and relatives of well positioned people in society are attended to much quicker and given hefty compensations ...more than ordinary people without a name in society," says Malcom Phiri, an ex-detainee who claims he is still struggling to get the NCT pay him.Ä

Phiri, like many other ex-detainees, accuses the NCT of dragging its feet in processing applications for compensation.Ä So far, the tribunal has received 7,272 claims from victims of political incarceration and torture during the former regime, but only 1,555 of these have been given interim or part payments since the body became operational in June 1996.Ä

Since 1996, the Tribunal has disbursed K20 million (US$800,000) in interim payments which is considered far too little than the amount required to adequately pay off all claimants.Ä Administrator for the tribunal, Wells Mapata, says during the last financial year that was supposed to end in March, the tribunal asked government to give it K800 million (US$32 million), but the treasury only released K8 million.Ä

"At the moment, we are only getting K800,000 (US$32,000) from the treasury every month which if calculated on the interim basis payment of K20,000 (US$800) is only adequate for 40 people,'' he says.Ä A sticky issue on the payments, one which has partly contributed to the various criticisms against the tribunal, is the criteria the tribunal uses to arrive at how much a claimant should be paid.Ä

Mapata says at the moment, the tribunal is making interim payments not exceeding K5,000 (US$200) to people who were detained up to three months, K10, 000 (US$400) to those who were detained for three to six months, K15,000 (US$600) to those who stayed in detention for periods ranging from six months to one year.Ä ''But these interim payments are not automatic. A claimant must produce necessary documented evidenceÄ from relevant and reliable authorities that led to one's unjustifiable detention,'' he says.Ä

Government says its coffers are dry and no donor has so far shown willingness to fund the exercise.Ä During the commissioning of Mikuyu ex-detention camp as a museum in February this year, a number of ex-detainees voiced their dissatisfaction with the cash awards meant as compensation for their stint in detention claiming the amounts were too small to enable them start up life again.Ä

Muluzi promised to assist the ex-detainees by giving them jobs in the public sector and ensuring that they get their money from the NCT.Ä President Muluzi closed Mikuyu detention camp in Zomba, the former capital, 70 kilometres east of Blantyre in 1994, along with all other detention camps associated with the former government's human rights atrocities.Ä

Says Mapata: "Shortly, the tribunal will be working on established tariffs that would spell out how much each claimant would be required to receive as full compensation.''Ä The only claimant to have received full compensation amounting to K436,182 (about US$30,000 at the prevailing rates) for his five year detention was opposition Alliance for Democracy executive member, the late Dr Denis Nkhwazi.ÄMapata says Nkhwazi was given full payment to enable him purchase a heart-lung dialysis machine.Ä

Before the NCT was set up, a number of ex-detainees and those who fell out with the former regime or those who were victimized in one way or another and are now holding senior positions in the Muluzi regime successfully sued government for their unlawful detention and were awarded hefty amounts by the High Court.Ä

Among the most notable ones are vice president, Justin Malewezi and education and sports minister, Brown Mpinganjira. Malewezi who was fired by the MCP government while serving as secretary to the president and cabinet sued for unlawful dismissal and loss of income while Mpinganjira, challenged his five- year detention.Ä

The High Court in 1992 awarded Machipisa Munthali, an ex-detainee, popularly dubbed Malawi's 'Nelson Mandela' K4 million (US$500,000) for his 27 years- unlawful detention.Ä He said the tribunal was not at the moment able to speedily and satisfactorily process applications for compensation from ex-detainees because government is failing to adequately run its activities.Ä

The tribunal's mandate to compensate the victims is for 10 years and ends in 2005.Ä Ä 3.Tobacco prices to remain low Ä Tobacco, the country's main forex earner, are expected to continue to fetch low prices at Auction Floors market because cigarette manufacturers have stopped buying it in large amounts.Ä

Tobacco exporters association of Malawi chairman (TEAM) Charles Graham said this follows the growing international campaign against smoking and the many lawsuits from cancer patients.Ä "Cigarette manufacturers have been sued for US$399 million and are now buying tobacco in small quantities," he said.Ä

Due to farmers' dissatisfaction with the prices, the tobacco market at the Auction Floors this year has been rocked by a spate of suspensions. The latest to be stopped was Mzuzu Auction Floors in north Malawi where farmers have protested against the low prices averaging 100 cents per kilogramme offer from buyers. The floors was closed May 12 after farmers said they would not proceed with sales at the prevailing prices which were lower than prices on offer in the other two floors in Lilongwe and Blantyre.

Graham said presently there are 14,000 tonnes of the crop within the country which the buyers feel is far more than what they need.Ä He said there has been a 50 percent price reduction on flue cured tobacco and 30 per cent on burley this year.Ä Tobacco Control Commission general manager Dr Godfrey Chapola said the tobacco market in Malawi has been adversely affected because China, which used to be a buyer, has now started selling tobacco while Brazil has also increased its market and production.Ä

4.Fertilizer prices up Ä Fertilizer prices have gone upÄby an average of 60 percent triggering more of a sense of hopelessness for peasant farmers who cannot afford the commodity at such an exorbitant price.Ä

Small Holder Fertilizer Revolving Fund General Manager, Bester Ndisale attributed the price increase to the continued depreciation of the Malawi kwacha.Ä"The reasons for the price hike are obvious. The exchange rate has been bad but the other reason is the rise in fuel prices," said Ndisale.ÄThe prices are with effect from April 1.

A 50 kilogramme bag of CAN which was being sold at K265 (US$11) has gone up to K417 (US$18). Sulphate of Ammonia which was at K250 per 50kg bag is now at K375.ÄUrea will now be sold at K570 from K350 while DAO has gone up from K395 to K633. 23:21:0 is now at K549 from K347.Ä

Government in 1995 bowed down to International Monetary Fund reassure to remove all remaining subsidies on fertilizers.ÄThe removal of the subsidies has greatly affected food production as most subsistence farmers cannot afford the highly priced fertilizers.Ä Ä 5.200 die in prisons within 20 months Ä Over 200 inmates died within 20 months in Malawi's cash-strapped prisons whose conditions remain appalling, the inspectorate of prisons has announced.ÄChairman of the inspectorate team, Justice Duncan Tambala, said in a briefing in Blantyre today (May 28) that between January and 1996 and August 1997, a total of 210 prisoners died largely of tuberculosis, meningitis, HIV/AIDS and blood diarrhoea.Ä

Zomba central prison about 70 kilometres east of Blantyre, registered 170 deaths, seconded by Chichiri prison in Blantyre which had 14 deaths.ÄThere were 7 deaths at Mzimba prison in north Malawi, Kasungu in central Malawi 6, Mwanza, Nkhata-Bay, and Karonga registered 2 each and Mulanje and Ntchisi 1 each. All the dead were male.Ä

The inspectorate has since recommended the closure of Zomba prison built in the 1930s.Ä "We were deeply distressed with this high rate of deaths at Zomba prison where three prisoners were dying daily," said Tambala.ÄHe said while the Malawi Prison Service has registered a steady increase in the number of inmates since 1996, it only gets a monthly allocation of about K700,000 (US$28,000).

Tambala said the prison service already owes suppliers K20 million (US$800,000).ÄHe said as a result, the diet is poor, while the state of medical care, hygiene, sanitation, escapes from prison and abuse of prisoners still remain as appalling as it was when the inspectorate made their first visit to the prisons between JulyÄ1995 and September 1996.Ä

"There is congestion, especially in urban prisons, Maula in Lilongwe being the worst. He said a room meant to accommodate 40 prisoners would hold 80 to 109. You would get the impression people can suffocate," he said. Nine people on remand at a Lilongwe remand camp died in 1995 of suffocation due to overcrowding.Ä

The inspectorate's report indicated that there were 4,886 prisoners in Malawi as at September 1, 1996. The number rose to 5,557 by August 1, 1997 and 6,557 by February 19, 1998.Ä The recent report also urges parliament to scrap the death penalty.Ä A member of the inspectorate, Fr Gamba Piergiorgio said there are 11 condemned prisoners at Zomba prison whose sentence was commuted to life imprisonment by the 1994 presidential pardon.Ä

The inspectorate report also observes that little progress is being made in trying homicide suspects.Ä "There is a sufficient number of judges. Homicide cases are not difficult cases but funding is the problem,'' said Tambala.Ä Inspectorate member Rosemary Kanyuka said a number of female prisoners become pregnant under custody.Ä Ä 6.Shareholders shed 12 percent stake in bank

Malawians now have an opportunity to acquire shares in the second biggest commercial bank in Malawi.ÄThis follows the announcement recently by the Commercial Bank of Malawi and Privatisation Commission that shareholders in the bank had decided to dispose of 12 percent of the entity.Ä

The 12 percent stake put up for grabs translates into 24 million shares which will be trading at K3.25 (US 13 cents) each. The bank hopes to generate K75 million (US$ 3 million) from the sale of the shares.Ä

The shares have come from the Malawi government and Malawi Development Corporation who are shedding eight and four percent of their shares from the initial shareholding of 30 percent and 21 percent, respectively.Ä

Other shareholders in the bank are National Insurance Company with 26 percent and Press Corporation which owns 23 percent of shares.Ä Executive director of the Privatisation Commission, Dye Mawindo, said in an interview that 21.6 million of the disposed shares would be sold to members of the general public who are not directly associate with the bank's activities while the remaining 2.4 million would be sold to the bank's employees through an employee share ownership scheme.Ä

He said this was the first phase in the privatisation of the bank adding that presently all the 24 million shares would be sold locally. The bank's shareholders would decide at a later date how the remaining 88 percent of shares which are still being held back would be sold.ÄCommercial Bank of Malawi with total assets valued at over K3 billion (US$ 120 million) currently operates 13 branches nationwide.Ä Ä 7.Stiffer penalties to safeguard environment Ä Stiffer penalties of fines and imprisonments will be meted out for offences on destruction of natural resources once the Environmental Management Act (1996) is passed into law soon.Ä "Citizens have a constitutional right to a clean and healthy environment," said senior environmental officer in the ministry of fisheries, research and environmental affairs, Peter Somers, adding that citizens also have a duty to protect, conserve and manage resources for all.Ä

Somers said the Environmental Management Act will provide a framework policy to guide all other sectoral policies on water, forestry, fisheries, soil, noise and air, among others.Ä "The act provides for an establishment of environmental quality standards to ensure that resources are safeguarded from irresponsible people,'' he said.Ä

He also said the act would also provide fiscal and non-fiscal incentives to those who have a keen interest in protecting the environment.ÄHe said incentives were preferred to punitive measures because they are more likely to influence change of attitudes and behaviour than punishments. Ä Somers did not indicate when exactly the act would be passed into law, only saying it would soon be tabled in parliament. Ä 8.Malawi, Namibia seek greater communication Ä Malawian president Bakili Muluzi and his Namibian counterpart, Sam Nujoma recently signed a joint communiqueÄwhich urges closer cooperationÄbetween authorities of the two countries when negotiating instruments of understanding.Ä

The communique was signed on May 28 in Blantyre, Malawi at the end of Nujoma's three-day visit.ÄThe instruments of understanding to be signed at a later date include a bilateral agreement between the two countries to among other things facilitate the exchange of direct flights between Malawi and Namibia. Ä The two leaders also agreed in their communique that their governments work together and share information and experience in agricultural research, extension, livestock production, and ostrich farming. They also agreed to work hard to ensure regional cooperation and integration through SADC and Comesa, "to enable the region to attain prerequisite development in the spirit of South to South cooperation and contribute towards the realisation of an African economic community".Ä

The statement comes after a general agreement to enhance economic, social and cultural cooperation between the two countries the leaders signed on October 8 last year during a state visit to Namibia by Muluzi.Ä

Nujoma was in Malawi for a state visit during which he opened the 10th Malawi International Trade Fair in Blantyre.

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From: AfricaNN@inform-bbs.dk (Africa_news Network) Date: Mon, 13 Jul 1998 13:54:07 +0200 Subject: MALAWI NEWS ONLINE #46 Message-ID: <1262342109.25171342@inform-bbs.dk>

Editor: Ali B. Ali-Dinar

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