Wednesday, April 2, 2025
الرئيسية بلوق الصفحة 148

ACB, FIA close in H Adams Wholesalers over Money Laundering, Tax Evasion

The Anti Corruption Bureau (ACB) and the Financial Intelligence Authority (FIA) have finalised investigating SH Adam Wholesalers over money laundering and illegal business transactions encountered over the past decade.

This follows a written tip by Human Rights (HRDC) which went viral exposing allegations of illegal dealings perpetrated by S H Adam Wholesalers.

Among many companies to be investigated are;

1) Shoprite
2) Chipiku Stores
3) Sana Cash and Carry
4) Peoples Supermarkets.

It is speculated S H Adam Wholesalers and their affiliated business ventures have accumulated serious wealth over the years in Malawi using the crooked way.

The saddest part is that all the billions are laundered into other countries especially India and Pakistan in a form of real estate.

If that is not all, the company is also accused of tax invasion, milking Malawi government of billions. It is recorded that the H Adam team are suspected of various offences committed contrary to the provisions of the Customs and Excise Act, Taxation Act and Value Added Tax Act thereby defrauding the Malawi Government of revenue amounting to MK4.6billion.

Our investigative reporter is on the ground and will bring more details whenever new developments crops up.

OOPS! NOCMA IN THE GRIP OF MCP POLITICAL CAPTURE, SPC CHIKHOSI COMMON DENOMINATOR

CHIKHOSI: Pulling Chakwera down

Since its formation in 2003, the National Oil Company of Malawi (NOCMA) has been functioning efficiently — until it fell into the harness of MCP politics.

Now a coveted estate of President Lazarus Chakwera and his errand boys Zangazanga Chikhosi and Eisenhower Mkaka, NOCMA is today a looters’ paradise for that MCP enterprise.

Sources privy to the goings-on have told this publication that Chakwera, Chikhosi (Secretary to President and Cabinet) and Mkaka (MCP Secretary General) have found a good ally in NOCMA Deputy CEO Hellen Buluma in fraudulently awarding fuel importation contracts.

That is why she has stayed put, although Chakwera earlier said she was linked to the former ruling party, DPP.

In truth, Buluma is the smooth operator for Chikhosi and, indirectly, the President. The scheme was to award the contracts to MCP loyalists and bootlickers.

Minister of Energy Newton Kambala is against this corrupt arithmetic, resulting in the fallout between him and Chikhosi and Mkaka. Chikhosi is the main actor and common denominator in all such dark cases and dirty games.

As a result, Chikhosi who is Chakwera’s alternative brain has recommended to the President to sack Kambala in the next cabinet reshuffle accusing him of sabotaging MCP deals.

According to our sources, Chikhosi has also recommended that the President should hire Chewa as Chief Executive Officers for NOCMA and other government-controlle¬d companies so that he can easily manipulate them.

A renowned social commentator and opinion influencer has since advised President Chakwera to trade carefully on the matter.

He warned Chakwera to be carefully with Chikhosi who is ‘silently’ his downfall.

“In each administration, there are two to four people who are a big problem and bring down a government through selfishness, tribalism and pure greed. They capture the president.

“It will be the same with the so called Tonse government. This government is going to fall because of a few individuals,” said Mauka in indirect reference to Chikhosi.

He further said: “But look around the events happening in Malawi and you will easily see them. For example, who’s the common denominator in the OPC and Attorney General fight?

“Who’s the common denominator in the NOCMA and MERA scuffle? That common denominator is the problem. He is Secretary to the President and Cabinet Zangazanga Chikhosi who is also Board Chairman of NOCMA.”

The analyst also noted that appointment of parastatal Chief Executive Officers is being delayed by Chikhosi who wants to recruit only Chewa’s and sympathizers of Malawi Congress Party.

“Chakwera should know that we are associating Chikhosi’s actions with him. He must solve this problem if he wants to rescue his credibility and remove the perception of leadership failure,” he concluded.

NOCMA Limited is wholly owned by the Government of Malawi and was formed in line with the National Energy Policy of January 2003, but was registered on December 14 2010 under the Companies Act of 1984.

The company is involved in fuel importation, storage at strategic fuel reserves and distribution nationwide.

CDEDI challenges indigenous business operators to keep economy from sinking

By Watipaso Mzungu

The Centre for Democracy and Economic Development Initiatives (CDEDI) has challenged native small and medium business operators to step up their operations to save the economy from an imminent collapse as refugees and asylum seekers relocate to Dzaleka Refugee Camp.

The human rights watchdog has also asked the Malawi Government to consider integrating some of the refugees and asylum seekers who have proven to be of economic value to the nation.

CDEDI executive director Sylvester Namiwa made the remarks in response to the directive by the Ministry of Homeland Security that the relocation of the fugitives should restart following the lifting of the injunction yesterday.

Namiwa, who addressed journalists in Lilongwe on Wednesday afternoon, observed that business nearly came to standstill in most of the suburbs of Lilongwe, Mangochi, Dowa and Blantyre.

“This, unfortunately, tells us that business operations in the country are precisely dominated by foreign based business operators, most of whom have no legal permits for such business activities. Marriages are at the verge of disintegrating – the government directive has unearthed cases of intermarriages, where some refugees and asylum seekers have married our native women and vice versa,” he said.

Namiwa further observed that some of the refugees and asylum seekers came in with skills and expertise that have benefited the society and are rendering essential services in areas of health, education and social work.

He alleged that there has been selective application of justice against fugitives from Rwanda and Burundi, fondly called Maburundi, when those from Nigeria, Somalia, India, Pakistan, Lebanon and China are left scot-free.

“There are concerns of inadequate space at Dzaleka Refugee Camp and it is against this background that CDEDI is calling for a review process of our laws to ensure that some of these refugees and asylum seekers are integrated into the society, as they have proven to be critical to the social and economic development of our nation, despite their status. Most importantly, CDEDI would like to challenge the local business people to up their game in order to fill the gap that has been created due to the relocation exercise of the refugees and asylum seekers to Dzaleka Refugee Campso that consumers should not be punished,” he said.

Meanwhile, confusion has emerged following revelations that there were two injunctions against the government decision to relocate the refugees, with only one lifted.

While Judge Ruth Chinangwa had thrown out an injunction obtained by Elie Umkunzi at the Lilongwe Registry, Judge Mandala Mambulasa is yet to deliver his ruling on another injunction obtained by Abdul Nahimana at the Blantyre Registry.

[END]

NBM donates K1.3 million for Rotary golf tourney

By Mc Donald Chapalapata, a Contributor

Munthali (left) presents the cheque to Amin

National Bank of Malawi (NBM) plc has donated K1.3 million towards the Rotary Club of Lilongwe fund raising golf tournament slated for this coming Saturday at the Lilongwe Golf Club.

Rotary Club of Lilongwe wants to raise funds to finance a dental camp for patients who would ordinarily not afford such services and also sponsor an essay competition for students in National Peace Building to avoid conflict

Presenting the donation in Lilongwe on Thursday, NBM plc Service Centre Manager for Lilongwe Service Centre Eric Bob Munthali said as ‘the Bank of the Nation’, NBM plc is proud to be part of initiatives which provides for humanitarian service to ensure the promotion of good will and peace in the country. 

“The Bank acknowledges the importance of dental health care and the fact that access to this service is often a challenge especially to the less privileged. We also agree with the Rotary club that the essay competition will enhance development of the students into future leaders who will value the need to build a peaceful nation because they will have started thinking about peace initiatives at an early stage,” said Munthali.

“National Bank is always involved in humanitarian service through various Corporate Social Responsibility programs, the reason we decided to contribute K1.3 million towards the two initiatives,” added Munthali.

Speaking on behalf of the Rotary Club of Lilongwe, past president Nurul Amin said the dental camp is an annual event where they arrange a dental camp to assist communities within Lilongwe to access dental treatment free of charge and 1, 300 people benefited from targeted initial number of 1,200 adding that this year they are targeting to help 1,500 people.

“We need to start grooming future leaders now. This essay competition on peace building will ensure that we have future leaders in touch with realities and who also had enough time to think through the challenges we face and their possible solutions,” said Amin.

“Therefore, we are grateful to NBM plc for the sponsorship of this golf tournament during this difficult period. We have had a long standing relationship of support from National Bank. However and particularly this year, we don’t take this gesture for granted. The covid-19 pandemic has affected the bottom line of many organisations,” said Amin.

He also hailed the Bank for sponsoring two teams for the golf tournament.

“The funds raised will go a long way to putting a smile to the less privileged in our society,” said Amin.

NBM youth entrepreneurs product in the offing

By Mc Donald Chapalapata, a Contributor

Wyson Kayira-It is coming

Listed National Bank of Malawi (NBM) plc has said it will be coming up with a new product that will be specifically targeting young entrepreneurs so that the youths in the country are economically empowered.

Speaking in Blantyre Friday evening during a cocktail for Chief Executive Officers from the private sector organized by the National Youth Council of Malawi (NYCOM), NBM plc Business Development Manager (Retail Banking) Wyson Kayira said the bank has been engaging the youth entrepreneurs since 2019.

“NBM had engagements with the young entrepreneurs in 2019 across the country. Our main aim was to get feedback on major hurdles they face to access financial services in the country and we equipped them with business management skills,” said Kayira.

He said the idea was to come up with interventions to help them grow and be economically empowered.

“But the Covid-19 pandemic disturbed the process but now an offering is almost ready which will be specific for the young entrepreneurs, you just need to watch this space!” said Kayira.

Speaking at the function, Press Corporation plc General Manager (Operations) Dr. Lyton Chithambo said youths need support and encouragement by government, as well as non-state actors in order to meaningfully contribute to national development.

“Everybody needs to contribute in whatever little way they can. The rural youth needs to step forward and out of their comfort zone, the urban youth needs to think beyond their own material satisfaction and the other citizens need to push the youth and themselves to perform better, every single day,” said Chithambo.

Speaking at the same function, Director of Youth in the ministry of Youth and Sports Judith Msusa hailed NBM plc and other organizations that are supporting youth empowerment activities.

TNM plc creates 13millionaires in Tikolore Promotion…splashes K4.5 million in 6th draw

A journalist draws a winner in Tikolore promotion draw

Malawi’s pioneer mobile and ICT services provider TNM plc Thursday splashed out K4.5 million during the sixth draw of its Tikolore promotion which is a celebration for the harvest season.

Through the promotion, TNM plc will be making 30 millionaires in a space of three months, between 1st April 2021 and 1st July 2021 and on Thursday it unveiled two more millionaires to take the number to 13.

A Standard 8 pupil at Buthe Primary School, Nkaya in Balaka Joseph Mphaya became the first pupil millionaire in the promotion. Another millionaire drawn on Thursday is Luka Mwandira from Nthalire in Chitipa.

Mphaya could not believe it when TNM officials called him to alert him that he was now a millionaire.

“Ooooh I cannot believe this! I have not made any plans what to do with this money, I need to let this sink in first,” said Mphaya after TNM officials instantly transferred the money into his Mpamba account.

The pupil said he won after topping his phone with only K200.

Mwandira’s phone could not be reached at first but later TNM officials managed to get through to him.

“Thank you TNM, this is like a dream, thank you, thank you,” he said.

TNM plc Brand and Communications Manager, Limbani Nsapato said the identification of the 12th and 13th millionaire draw signifies the commitment that TNM plc has made of producing 30 millionaires in the space of three months through the Tikolore promotion.

 “As you are all aware, our first winner of the grand prize Mr. Francis Mtukanika won after buying airtime worth K200, so it is possible to become a millionaire through the Tikolore promotion,” said Nsapato.

The Tikolore millionaires include a student at Mzuni, Horace Chiumia, a maize trader from Mangochi Kingsley Flao, Sheila Kadethe, a nurse from Nsanje and business lady, Chimwemwe Banda from Mchinji, Anthony Msambewa from Likoma, Michael Chitseko,a business person from Neno, Mollis Siywale, a farmer from Rumphi, and Esnart Diliro, a mandasi business-lady from Mulanje, Nollah Chiwingo, a nurse from Dowa and Leonard Muotcha, a retailer from Mwanza.

Apart from the two K1 million winners, TNM plc also unveiled 250 lucky winners who won K10,000 each and 10 lucky winners who won K100,000 each.

Entry to the promotion is simple as customers are bound to win after an airtime recharge of K200 or more. But the promotion has also been designed that everyone will be a winner in that if a customer recharges with a minimum of K100, they will instantly receive free voice minutes, data and SMS.

Customers who will take a step further to recharge with at least MK200 will enter into weekly, monthly and grand draws throughout the promotion period and stand a chance to win cash. All recharge channels are applicable to qualify for the draws, including scratch cards, Mpamba, Pompopompo and Banks.

A total of 250 lucky customers will win K10,000 every week for 12 weeks, making a total of 3,000 winners, 50 lucky customers will win K100,000 every month, making a total of 150 winners within three months. TNM has since created 13 millionaires, given out K10,000 to 1,500 people and 60 K100,000 winners.

FDH Bank plc partners iT Centre in appliances deal

Ronald Chimchere FDH Bank Marketing Manager

FDH Bank plc has partnered iT Centre and Smart Zone to enable customers purchase appliances through a flexible payment plan.

The arrangement will allow FDH Bank customers to purchase electronic appliances of their choice and pay through monthly instalments over a period of 24 months.

FDH Bank Marketing and Communication Manager, Ronald Chimchere said the arrangement will see customers buy appliances with ease.

“We want to see customers owning good things through flexible payment terms. There is no need for our customers to pay the full purchase amount at once, our customers should enjoy the good things while we sort out their payments,” he said.

“All the customer needs to do is select the appliance they are looking for from iT Centre or Smart Zone, get an invoice and get the loan processed at any FDH Bank Service Centre. Once approved, the customer will collect the item” added Chimchere.

Some of the products on offer include air conditioners, cookers, fridges, television sets, mobile phones and washing machines

FDH Bank plc boasts of the widest network in Malawi with 51 service centres, 96 ATMs and over 5000 Banki Pakhomo agents.

CDEDI dares Registrar of Political Parties on sources of party financing information

Watipaso Mzungu

Namiwa: CDEDI is made to believe that all this is happening due to the lack of strict enforcement of the Political Parties’

The Centre for Democracy and Economic Development Initiatives (CDEDI) has written the Registrar of Political Parties, demanding disclosure of information on source of financing for major political parties in Malawi.

In the letter to the registrar on Tuesday and signed by CDEDI executive director Sylvester Namiwa, the organization demands that the declaration should be in the form of cash, assets and in kind received as donations within and outside the country.

The organization says it is requesting information on party financing for the period between April 2019 to June 2020.

“This request is in line with Section 37 of the Republican Constitution as read together with the Access to Information Act of 2020. It is important to point out right at the onset that CDEDI is making this request on behalf of all Malawians of goodwill, who have the right to know and get access to such information on how these political parties source their finances, and if at all they comply with the Political Parties’ Act of 2018, Section 31, which reads “A political party shall at least once every year, make available to its members all financial records of the party,” reads part of the letter.

The letter has been copied to the country’s major political parties, namely the Democratic Progressive Party (DPP), the Malawi Congress Party (MCP), the United Democratic Front (UDF), the UTM party, the People’s Party (PP) and the Alliance for Democracy (Aford).

Namiwa says they believe disclosure of private funding and donations to political parties will not only enhance transparency and accountability in the use of the funds on the part of the office bearers and administrators of such parties, but also build confidence in the parties’ membership to continue supporting their respective parties financially and/or materially, as part of their participation in the democratization process.

He says CDEDI is concerned with the growing tendency by some individuals who hold the country’s presidency at ransom in order to gain favours as a precondition for their political party sponsorship.

Namiwa adds that this malpractice grew in the immediate past administration of the DPP and has spilt to the incumbent Tonse Alliance government.

“CDEDI is made to believe that all this is happening due to the lack of strict enforcement of the Political Parties’ Act by your office sir/madam, specifically sections 27, subsection 2 of the Act which states: “A political party may, for purposes of financing its activities, appeal for and receive donations from any individual or organization within or outside Malawi, provided that the source of every donation, whether in cash or in kind and whether once or cumulatively, with a monetary value of at least K1, 000,000 from an individual donor and of at least K2, 000,000 from an organisation shall within ninety days of its receipt be declared to the registrar by the political party concerned,” says the letter.

“Sir/madam, Malawians are their own witnesses that the aforementioned political parties put up super campaigns that undoubtedly involved colossal sums of money ahead of both the May 21, 2019 Tripartite Elections, as well as the Court sanctioned June 23, 2020 Fresh Presidential Elections (FPEs), that left Malawians’ lips wagging in disbelief to the notion that Malawi is a poor country where over 50 percent survive on less than a dollar a day. Still on the same, several business people within and outside the country have more than once publicly through the national radio, TVs, and online news outlets, come out, making revelations that they have at one time bankrolled political parties of their choices, without telling Malawians their interest behind their gestures, and neither did they disclose the amounts they donated,” it continues.

Namiwa says very recently, during the previous two sets of by- elections, Malawians saw with their own naked eyes politicians dishing out cash to prospective voters.

In addition, Malawians have noticed a strange way in the running of state affairs, the resemblance of state capture by those that invested their resources towards the campaign for the political parties that eventually won the elections where some undeserving people, in CDEDI view, with questionable character and skills, have found their way into the Cabinet while others got top government positions purportedly as a reward for what they contributed to the party during the campaign period.

“You may wish to know Sir/madam, that given such circumstances, we have had too powerful individuals and untouchables who do not have the interest to serve, let alone deliver, but go into the public service to merely enrich themselves and their cronies. They stop at nothing, but ensuring that they accumulate more for them to spend in the subsequent elections! Thus far, CDEDI and Malawians that mean well for this country, believe that strict adherence to the Political Parties’ Act, is the only sure way of uprooting the deep-rooted corruption in the country, which according to studies, claims over 30 percent of the total national budget,” emphasizes Namiwa further arguing that this is the sole reason Malawi seems to be moving in circles in as far as the fight against corruption is concerned.

He says Malawians have a right to know the sponsors behind the colourful campaigns, and at the same time the interests behind such gestures, and how such actions are reciprocated.

“We at CDEDI would like to believe that all the political parties complied with the law by declaring the sources of such funding, hence our humble request to your office to provide us with such information. Section 27 subsection 5 is also very clear on this as it states: ‘A secretary general of a political party shall be personally held responsible for declaring to the registrar the sources of any donation that requires disclosure under subsection 2’. It is therefore, our belief that you sir/madam, are in custody of all the information we are requesting. CDEDI is therefore, giving your good office seven (7) days to make the requested information available in line with the said constitutional provisions and acts. Lastly, but not the least, CDEDI will not hesitate to commence legal proceedings against your office, should this request be ignored,” thus concludes Namiwa.

MPs challenged to rise above petty partisan politics to debate punitive taxes in Budget Sitting of Parliament

By Watipaso Mzungu

Namiwa: CDEDI would like to maintain its stand that the punitive tax regimes in the country are scaring off prospective investors

The Centre for Democracy and Economic Development Initiatives (CDEDI) has challenged members of Parliament (MPs) to rise above petty party politics and introduce motions, including healthy debates, that should result into the scrapping off of the 16.5 percent value added tax (VAT) on essential goods and services such as cooking oil.

The human rights watchdog has also asked the legislators to take advantage of the meeting to review some of the unjustifiable levies and tariffs on fuel, electricity and water, to ensure the reduction of the high cost of production, which is threatening the survival of the local industry.

In a statement issued this morning in Blantyre, CDEDI executive director Sylvester Namiwa says Malawians expect nothing less than a pro-poor kind of budget sitting of parliament, which should translate into a drop in the current high cost of living due to among other things, unrealistic and punitive tax policies.

Namiwa says worth noting is that the budget meeting of parliament is coming at a time when the majority of Malawians are struggling to make ends meet, due to punitive taxes, levies, high interest rates and exorbitant prices on essential services and products such as water, electricity, fuel and high mobile phone tariffs, among others.

“CDEDI would like to maintain its stand that the punitive tax regimes in the country are scaring off prospective investors, while the existing ones are closing shop, a development that has made smuggling of goods to flourish, at the expense of local production. The country is in the process exporting jobs and externalizing the much-needed forex on one hand, while on the other hand, the Malawi Revenue Authority (MRA) is losing out on taxes and revenue. Similarly, CDEDI is once again challenging President Chakwera to cease the opportunity to share with Malawians a very clear roadmap, detailing how his government is going to implement the Tonse Alliance manifesto, having failed to do the same during his inaugural State of the Nation (SoNA) in the 2020/2021 fiscal year. We don’t want the trial-and-error kind of leadership which we are currently witnessing, whereby the President tells Malawians one priority area today, and a totally different priority area the following day,” he says.

CDEDI has also asked the National Assembly to debate and review the 2011 Pension Act, especially sections 64 and 65 that give inhumane restrictions to access to pension funds in an event that the contributor loses a job.

According to Namiwa, the two sections have seen Malawi sending its productive citizens to an early grave due to lack of funds to pay for medical care elsewhere, when their money is lying idle with the respective pension administrators, purportedly waiting for the mandatory retirement age of 60.

“CDEDI is further challenging the MPs to ensure that they exercise their oversight role to pressurize the Tonse Alliance government to ensure that it addresses the gray areas in the MK6.2 billion Covid-19 scandal, and the MK17.5 billion allocated for the same,” he says.

Namiwa has since warned MPs to desist from towing their masters’ line in total disregard of the will of the electorates, as doing so would make us not to hesitate in mobilizing the masses to stand up against such selfish political interests.

Castel Malawi exchange losses affect PCL profits

By Mc Donald Chapalapata, a Contributor

Press Corporation CEO George Partridge

Exchange losses amounting to K6.36 billion incurred by Castel Brewery Malawi Limited has affected profit margins for conglomerate Press Corporation plc which has posted an after tax profit of K19.9 billion, 13% lower than prior year.

In a financial statement for the year ending 31st December 2020 signed by Press Corporation plc Board Chairman Randson Mwadiwa and PCL Group Chief Executive Officer George Partridge, the conglomerate said granted the very difficult operating environment, the Group registered respectable results with profit before tax for the period at MK38.22 billion (2019: MK40.31 billion) was 5% lower than prior year.

“Most Group companies could not meet planned turnover levels and Group revenues were just level with prior year. Profit after tax at K19.90 billion (2019: K22.87 billion) was 13% down on prior year. Results were further negatively impacted by a 90% decline in profit from equity accounted investments largely due to losses incurred in the Beverage and Bottling Company occasioned by an exchange loss amounting to MK6.36 billion (2019: MK258 million),” reads the statement in part.

PCL also said in addition, Directors found it prudent to make a provision, pending resolution, in respect of Value Added Tax claims in the mobile phone company by the Malawi Revenue Authority amounting to MK2.3 billion (2019: MK1.9 billion) following a tax audit. Accordingly, the statement informs, 2019 results were also re-stated to take this provision into account.

“The year was defined by the global Covid-19 pandemic and the attendant preventative measures that severely restricted business and commerce affecting all areas of the economy. Locally, the situation was further exacerbated by the unsettling effects of the pre and post fresh presidential election activities which led to a highly unpredictable economic landscape. As a consequence, economic growth estimated at 0.6% was significantly down when compared with the pre-pandemic estimates of around 5.5%,” reads part of the statement.

PCL also announced that it is divesting in Castel Malawi Limited.

“After assessing the various operational and regulatory issues that continue to negatively affect Castel Malawi Limited, Directors concluded that it would be in the best interest of the Group to divest PCL’s remaining 20% stake in the company. Negotiations to that effect have now been concluded at a price of USD12 million, and the proceeds will be realized in 2021. The investment has been disclosed as held for sale in the financial statements,” reads the statement in part.

PCL also announced new investments in an insurance company and a foreign bank through its subsidiary National Bank of Malawi (NBM) plc.

“During the year, the Group made a 49.5% investment in LifeCo Holdings Limited, a newly formed life insurance, pension administration and asset management business. The company started its operations in January 2021 immediately upon being granted the requisite licenses by the Registrar of Financial Institutions. Similarly, National Bank of Malawi acquired a controlling stake in Akiba Bank, a potentially high growth bank in Tanzania, as part of the Group’s growth strategy in the region,” reads the statement in part.

In segmental performance, PCL said in the financial services segment, NBM plc delivered strong results with a 31% growth in its profit after tax but the telecommunications segment (mobile phone company: TNM, and the fixed telephony and broadband company: MTL) registered 46% decline in its profit after tax.

“In the energy segment (ethanol manufacturing: PressCane and Ethco) delivered excellent results and registered a 116% growth in its profit after tax. The performance was driven by improved margins following the agreement of a new pricing model with the Malawi Energy Regulatory Authority.”

“Results were further bouyed by an upside from the production of hand sanitizers, a new product line, in the wake of COVID-19 pandemic, supported by the availability of additional feedstock carried over from the previous year,” reads the statement in part.

The conglomerate said the Consumer Goods Segment (retail chain: Peoples) continued to make losses mainly due to working capital constraints which is also undermining the implementation of the revised strategic plan.

“The board is considering several strategic options including, but not limited to, inviting new investors into the company,” reads the statement.

PCL said the fish farming business, Maldeco reported a loss while the real estate business, Press Properties registered the same profit as prior year and profit from the equity accounted business namely joint ventures fuel distribution company PUMA Energy and steel processing and trading company Macsteel, associated companies Limbe Leaf Tobacco company Limited, Castel Malawi and a telecom fibre backbone infrastructure company Open Connect Limited declined by 90%.

On the business outlook for this year, PCL says it is confident of delivering planned results.

“With the availability of Covid-19 vaccines, Directors envisage improved economic prospects for 2021. A GDP growth of 3.5% is projected up from the 0.6% achieved in 2020. Management is confident of delivering planned results. The prevailing foreign currency shortages and the related impact on exchange rates, however, remain a major downside risk. Likewise, the significant increase in public debt poses another major challenge to economic growth.”

“The Group continues to search for profitable investment in the power segment. Negotiations for a Power Purchase Agreement are underway. Leveraging on its position in the market, the Group is well positioned for continued growth,” reads the statement in part.