President Peter Mutharika has not signed into law the controversial Constituency Development Fund (CDF) Constitutional Amendment Bill and instead directed two Cabinet ministers to draft guidelines that will ensure transparency and fiscal accountability. The decision has earned the President praise from legal, civil society and accountability advocates who have described it as constitutionally sound, principled and that it has averted the Legislature from usurping Executive power. In a statement last evening, presidential press secretary Cathy Maulidi said the President has issued directives meant to ensure that development projects at constituency level continue to progress without compromising financial integrity.
Reads the statement in part: “… the President has issued the following directive: The Ministers of Justice and Constitutional Affairs and Finance and Economic Planning to draft guidelines for the management of the Constituency Development Fund. “His Excellency the President reaffirms his government ’s commitment to ensuring that the management of public funds, particularly the CDF, meets the highest standards of accountability, transparency, and fiscal responsibility.” Besides establishing CDF, the Bill also outlined its purpose, governance and guiding principles for governance as well as management and utilisation. In his reaction last evening, Malawi Local Government Association (Malga) executive director Hadrod Mkandawire commended the President’s decision.
He said by withholding assent, Mutharika has risen to the occasion, standing with the principles of constitutionalism, rule of law, fundamental cornerstones of decentralisation, and democratic governance’. Said Mkandawire: “We further welcome the President’s directive to the ministries of Justice and Finance to draft guidelines for the management of CDF. “We call upon the two ministries to ensure the process is inclusive and transparent, and that all key stakeholders are consulted.” Earlier last year, Mkandawire, a lawyer, led Malga in a case which saw the High Court of Malawi sitting as the Constitutional Court declaring that the involvement of legislators in the management, prioritisation and implementation of the CDF and Water Resources Fund violated the doctrine of separation of powers under Sections 7, 8 and 9 of the Constitution and improperly intruded into the National Advocacy Platform (NAP) chairperson Benedicto Kondowe, who led civil society organisations in engaging Parliament not to proceed with the Bill, last evening said given the court judgement, clear decentralisation framework under Section 146 of the Constitution and overwhelming public opposition, withholding assent was the only responsible course.