Malawi bans foreign travel to cut costs, Nigeria borrows to waste on luxury
By Jeph Ajobaju, Chief Copy Editor
Malawi has suspended until March 24 foreign travel for all government officials, including President and Ministers, to both reduce the cost of governance and conserve available funds in the treasury.
President Lazarus Chakwera disclosed the ban on national television, explaining it is part of strict measures to revive the economy.
This is in sharp contrast to the profligacy in Nigeria, a country already bankrupt but which still borrows to fund a luxury lifestyle for President Bola Tinubu with, among others, 10 presidential jets, SUVs, limousines, and even a yacht.
The Office of the First Lady – occupied by Tinubu’s wife, Remi, an office not recognised by the Constitution – also has funds allocated to it to acquire SUVs in the N2.17 supplementary budget Tinubu signed into law on November 8.
Tinubu had earlier bribed federal lawmaker with N110 billion from the N500 billion fuel subsidy removal palliatives, for them to rubber stamp his wishes. From that vote, SUVs worth N160 million each are being bought for each lawmaker.
Nigeria funds its budget mainly through borrowing, and is currently spending more than 90 per cent of revenue to service debt – not even to pay off the principals.
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In Malawi, Chakwera also ordered Ministers currently outside the country to return home, stressing the suspension is in place till March 24 and “any travel deemed absolutely necessary by anyone during that period must be submitted to my office for my personal authorisation.”
He unveiled a variety of other austerity measures, including cutting by 50 per cent fuel entitlements for cabinet Ministers and other senior government officials, according to reporting by Vanguard.
Local media reports Chakwera has faced criticism over his frequent foreign travels, forcing him to resort to the new initiative, saying he would lead by example by curtailing his foreign junkets.
He also
- Cancelled his attendance at the COP28 climate change conference in Dubai in the United Arab Emirates later this month.
- Directed the Minister of Finance to include provisions for a reasonable wage increase for all civil servants in the midyear budget review.
- Ordered income tax cuts for individuals to help workers whose incomes have lost value with a “lower tax burden.”
Malawi, an East African country, is grappling with an economic crisis that has led to fuel shortages, inflated food prices, and a shortage of foreign exchange.
Its Central Bank announced two weeks ago it was devaluing the local currency against the United States dollar by nearly 30 per cent.
