Category Archives: Business

The Maravi Post is a leading source for reliable Business news and analysis on Business. Top African Business like  Dangote  Group in Nigeria, Mulli Brothers in Malawi

The 10 Greatest Living Business Leaders In Africa Today
  • Sheikh Mohammed Al-Amoudi, Ethiopian.
  • Raymond Ackerman, South African.
  • Aliko Dangote, Nigerian.
  • Manu Chandaria, Kenyan.
  • Onsi Sawiris, Egyptian.
  • Brian Joffe, South African.
  • Strive Masiyiwa, Zimbabwean.
  • Wale Tinubu, Nigerian.
Business, Religion

MRA’s 30% tax imposition on churches activities stirs controversy

Maravi Post Reporter

BLANTYRE-(MaraviPost) – The recent Malawi Revenue Authority (MRA) imposition of 30 percent tax on churches and faith-based organisations operating business ventures effective October, 2017, has not been well received.

MRA introduced the tax in its drive to widen the tax base for maximum revenue collection.

However, some members of the faith community in Malawi, strongly question the motive behind this drive; they argue that the tax bill is bent on milking religious institutions, that have numerous humanitarian programs.

At a meeting with the clergy in Blantyre this week, MRA Head of Corporate Affairs Steven Kapoloma said the tax will apply on businesses which religious institutions run directly or indirectly to boost their revenue collection.

Kapoloma explained that the new tax is not applicable to offerings and tithes.

He told the clergy to embrace this tax measure, stating that it is aimed at improving the country’s socio-economic development.

Kapoloma added that religious bodies qualify to pay tax because a number of them make payments to various suppliers and service providers.

“The Taxation Act requires taxes to be charged on, levied on, and paid by every ecclesiastical body at the rate of 30 percent as specified in the eleventh schedule to the Taxation Act,” said Kapoloma.

But reacting to the new tax obligation, Pastor Jeston Chiweza, General Secretary of the Living Waters International Church, said they do not understand the whole idea behind the new tax, which is supposed to be principle-based, not law-based as they currently sound.

“There is a continuous revolution in the world that has not spared all sectors of the church, including entertainment, transport, education and health; hence, they should rethink on what is tax-free, because that has potential to defeat our ecclesiastical role as religious bodies,” Pastor Chiweza said.

Muslim Association of Malawi (MAM) Secretary General Twaibu Lawe, also expressed disapproval with the new tax measure, arguing that some mosques are already feeling the effects of ecclesiastical levy.

Among the religious institutions to be subjected to the tax include those running private schools, hospitals, and clinics and other properties, which churches normally hire out for profits.

The new tax structure comprises income tax, pay as you earn (PAYE), withholding tax, value added tax (VAT), and the Tevet levy introduced in 2015.

Business

New Capital Hill Government office complex ready to open

Malawi News Agency (MANA)

Government is on a mission to open its new offices at Capital Hill in Lilongwe. Speaking on Thursday during inspection ceremony of the offices building which is still under construction in Lilongwe, Minister of Lands Housing and urban Development, Honorable Anna Kachikho said she is happy with the nature of the building as it is about to be finished.

 

“I am happy that, the building is really in finishing mold, not only that I have also observed that the building is very different from other buildings whereby it has the facilities which will give ability to disabled people to walk freely to every room” she noted. Continue reading New Capital Hill Government office complex ready to open →

Business

Timba and Tsogolo taken to the masses

Maravi Post Reporter

In a bid to increase access to the newly launched Timba and Tsongolo policies, Old Mutual has intensified marketing activation to all cities in Malawi.

Timba Family plan and Tsongolo Saving plan are designed to meet the needs of Malawians and instill a saving culture to ensure that Malawians live a better life and have something to rely on in case of emergencies such as death.

Old Mutual Marketing and Communications Manager Patience Chatsika, said the company has embarked on an awareness campaign on the two products, to reach out to all people.

“We want to be closer to the customer, providing them first-hand information, it’s our first time to be in the retail market (non digital), therefore face to face makes more sense as part of our distribution strategy for these products,” Chatsika said.

Commenting on customer’s response towards the products, Chatsika said the company was satisfied with the response from the public as evidenced by the number of people buying the policies.

“The response is positive. People are buying. However, we need to enhance our premium collection proposition; we are working towards closing all gaps,” she said.

She said the two are unique in the sense that its premiums are low, and time it takes to pay out claims is unmatched, suitable for Malawian.

“ The policies allows members to withdraw without disturbing the investments, cashback on timba after 3 years on no claim, serviced at their work place by a dedicated financial advisor,” she added.

The Timba family plan is a life Insurance that provides you and your registered family members with funeral cover.

Tsongolo Savings Plan offers two savings pockets as part of one Plan, with a single monthly premium. It has both the long pocket and a short term pocket.
To register for Timba family plan you must be between 18 and 65 years and one must pay designated monthly premiums.

Business

CFTC and RBM team up against financial institutions’ customers duping conduct

Lloyd M’bwana

LILONGWE-(MaraviPost)- The Competition and Fair Trading Commission (CFTC), and Reserve Bank of Malawi (RBM), this week teamed up against financial institutions that are duping customers with misleading adverts.

This comes following the central bank received numerous complaints as far back as from 2013, which were 13 but now the figure has risen to 500 claiming that financial institutions are misleading customers when trading them.

Through the country-wide financial sector surgeries conference, the two institutions are raising awareness on fair trading practices among the financial institution players.

The exercise will help to lessen anti-competitive business practices among them, and in the process, create more protection shield for consumers.

Speaking on the sidelines of the financial literacy conference in Lilongwe this week RBM’S chief examiner for protection and financial literacy, Madalitso Chamba, observed that the increase in complaints shows that Malawians are becoming aware of their rights.

Chamba said financial literacy surgeries for the financial sector are important because financial sector players will now know that it is important to give all information a customer requires before they secure a loan or sign contracts.

“The RBM wants to promote fair competition in the financial sector, and by working hand-in-hand with the CFTC, consumers will be protected. Initially, people did not know that they could complain, but now following the massive campaigns we have conducted, people know their financial rights.

“We expect customers’ interests to be at the heart of how firms do business. Customers can expect to get financial services and products that meet their needs from firms that they can trust,” said Chilombo.

Underscoring these sentiments, CFTC director of consumer welfare and education Lewis Kulisewa, said that the level of awareness, among consumers and financial players, is low, which aggravates the situation.

Kulisewa said CFTC wants players in the financial sector to understand the law and how it is interpreted, so that it helps them comply to them.

“Disclosure must be made in standardized formats for common products to allow comparability of products or services of the same nature.

‘Financial institutions must have appropriate structures for handling consumer complaints. Well-designed recourse and dispute resolution mechanisms can help consumers quickly and effectively resolve problems and questions as they arise,” Kulisewa said.

Business

Roads Fund Administration to introduce road access fee by November

MaraviPost

By Precious Mtuwa

BLANTYRE-(MaraviPost) – Malawi Government, this week approved Roads Fund Administration’s (RFA) to levy a fee called Road Access Fee (RAF) to broaden its revenue collection base.

The RFA will use this revenue for maintenance and rehabilitation of public roads in the country.

Speaking during a press briefing in Blantyre, Director of Finance at the Roads Funds Administration Alexander Makhwatha, said the fee is applicable to all foreign registered small vehicles including saloons, pickups and also those that are not paying international transit fee (ITF). Continue reading Roads Fund Administration to introduce road access fee by November →

Business

TNM’s CEO Douglas Stevenson gets the Boot

MaraviPost
Douglas Stevenson
TNM’s CEO Douglas Stevenson presenting an apple to smart kid winner Panache Jere

Telekom Networks Malawi (TNM) a leading telecommunications service providers in Malawi, based in Blantyre, Malawi’s finance and commerce capital today in a terse statement announced that Douglas Stevenson is no longer employed as Chief Executive Officer of the company Established in 1995 as a joint venture between Telekom Malaysia and Malawi Telecommunications Limited.

 

The short statement reads:

 

“The Board of Directors of Telekom Networks Malawi Plc wishes to inform all stakeholders that Douglas Stevenson is no longer employed as Chief Executive Officer of the company and, Consequently, Eric Valentine will continue as Acting Chief Executive Officer, a position he has ably filled for the last two months. TNM will shortly make an announcement concerning appointment of a substantive Chief Executive Officer.” –George Partridge Chairman

 

TNM’s network covers over 85 percent of Malawi’s geographic population. The Company increased its reach by recently acquiring Burco Limited which has since has been rebranded to a new business unit, TNM Business Services (TBS) within TNM.

 

Previously Mr. Stevenson had worked for several companies within the Vodacom Group in Mozambique, Tanzania and South Africa, as Financial Director and Commercial Director among other positions as well as his most recent position as Managing Director of Vodacom Business Africa Group.

 

TNM Football Sponsorship

 

Malawi Government has applauded mobile network firm TNM for continuing to sponsor to the tune of  K60 million every year the  TNM Super League and urged soccer loving Malawians to patronize the company’s business.

Since TNM started sponsoring the league almost ten seasons ago, the company has pumped in more than K900 million into the league. This is a commendable achievement for both TNM and the Super League of Malawi.

Business, Environment

Brazilian company to invest in Greenbelt Initiative

Malawi News Agency (MANA)

A Brazilian company plans to invest in Malawi’s mining and agriculture sectors, according an official from Costa Negócios.

Costa Negócios, is a Brazilian company that works in commercial exports, agribusiness, and industrial building. The company’s Chief Executive Officer responsible for Africa, Danilo Danelucci, disclosed this following an on audience he had with President Prof. Arthur Peter Mutharika at Hilton Midtown Hotel in New York, USA last week.

 

Danelucci said the company will firstly invest in the agriculture sector with the Greenbelt Initiative as its primary target.

 

“We met with the president to talk about opportunities in Malawi, especially the Greenbelt Initiative. Our company like to empower small scale farmers and we see the Greenbelt as a potential project to develop agriculture in Malawi especially for small scale farms,” Danelucci said.

 

He said Costa Negócios intends to boost the Initiative with financial and technical support.

 

“We are injecting US$50 million as the first tranche towards the project and this will be done within the next four or six months, once all the paper work is done,” he said.

 

In terms of technical support, the company will provide equipment and technical staff, according to Danelucci.

 

“There is what we call a technology package, whereby we will be bringing farm equipment for small scale farmers. As you know, Brazil is very good in producing farm machinery, and we want Malawians to benefit from this,” he said.

 

Costa Negócios works in Brazil, Latin America, Africa and Europe. In Africa, the company is largely operating in Angola with other projects in Mozambique, and Equatorial Guinea.

Business, Entertainment, Law and order, Lifestyle, Malawi, Regional, Top News

Azungu akuletsana kupita ku Mulanje chifukwa cha anthu achimidzi

Admin

A maumau osasamba amene akhala akugaza anthu osalakwa m’boma la Mulanje kamba kowaganizira kuti akuziwapo kanthu pa nkhambakamwa zomwe zili mkamwamkamwa kunena kuti anthu akuyamwidya ndikupopedwa magazi apangitsa kuti ziko la Amerika liuze anthu ake kuti asapite ku Mulanje pakadali pano.

Izizi ndizinthu zochititsa manyazi kwa dziko lonse ndiponso zotayitsa nthawi komanso kuluzitsa ndalama kwa anthu a bizimezi omwe amadalira anthu okaona chilengedwe m’bomalo.

Mchikalata chomwe chatulutsidwa sabata yathayi, dziko la Amerika lati ngakhale apolisi akuti palibe akuyamwidwa magazi mbuli zina kufupi ndi ku Limbuli sizikusiyabe kupanga za umbuli zawo zowononga katundu, kugenda, kuotcha ndi kupha anthu omwe anamizilidwa kuti ndi opopa magazi.

Werengani chikalatacho apa

Tili ndi chikhulupiliro kuti anthu a ku Mulanje sali ngati zigawenga za ku Ndirande ndipo kuti ali ndi mitima yokongala ngati mapiri, nkhaka, nanazi ndi misinje ya ku Mulanjeko ndipo kuti ayesesa kuti athane ndi zigawenga zomwe zikukanika kupeza akazi ndiponso zilibe ndalama zomwe zikupangitsa kuti zizichitira nsanje anthu akamakwera magalimoto ndikuoneka ngati ali ndi ndalama.

Asiyeni apolisi agwire ntchito yawo, ngati ena akusowa ndalama apite ku ma esiteti ali nawo pafupi azikatola magede ndikuthyola tiyi chifukwa zauchifwamba zikuononga myoyo ya anthu osalakwa.

Business, Law and order, Lifestyle, Malawi

Two netted over fake currency

Maravi Post Reporter

Police in Karonga, the northern border district of Malawi on Sunday morning arrested a 27 year old man Patrick Mhango and 29 year old man John Mwangwelo for being found in possession of fake bank notes.

According to Karonga police deputy spokesperson George Mlewa, the two were found with K2000 fake bank notes amounting to K60, 000.

“They were drinking beer at a certain pub in the district. However, the bar man noticed that the two were using fake bank notes and he immediately informed people within the pub,” said Mlewa.

Mlewa disclosed that the two were severely injured by the angry mob before they brought them to the police station after being found with a lot of K2000 fake bank notes in their pockets.

A day before the incident, another bar man within the district found a number of K2000 fake bank notes after his sales, according to Mlewa.

Two Months ago, three other men were also arrested by the police in the district on the same crime.

Karonga police deputy spokesperson said the two will appear before the court soon to answer charges of being found in possession of fake currency which is contrary to section 382 of the country’s Penal Code.

Meanwhile, people especially those conduct their businesses at night have been advised to be observant when receiving money from their customers.

Mhango hails from Mwenevumo village in the area of Traditional Authority (TA) Nthalire in Chitipa district while Mwangwelo from Mwangwelo village in the area of TA Kyungu in Karonga.

Business

Lilongwe Water Board introduces pre-paid water metering system

Maravi Post Reporter

The Lilongwe Water Board (LWB) recently introduced pre-paid water metering system to improve its service delivery. The metering system is an upgrade from the post-paid metering system, which the Board has been using since its establishment in 1947.

The pre-paid metering system is one of the innovations the Board is implementing to, among others, enhance revenue collection and eradicate illegal water usage by simplifying water supply services.

Through the pre-paid system, a customer will be paying for water upfront before using it. The system is similar to the Electricity Supply Corporation of Malawi (ESCOM) pre-paid metering system.

In addition, the pre-paid water metering system promotes best water demand management initiatives, as customers will be able to maximize water usage, according to the amount of credit in their pre-paid account, by curbing inessential or low-use values through price or non-price measures.

The pre-paid meters are programmed to stop the flow of water once the pre-paid credit is exhausted, and alerts a customer when he/she has low water credit. The meters have also a facility to enables customers to view the history of their water usage, to better manage it.

HOW THE METER OPERATES

The meter operates using a Customer Interface Unit (CIU) through wireless communication. The STS decryption connection between the meter and the CIU provides a convenient interface to the customer. Customers will be using the CIU device to recharge their water meters and also access information like token acceptance and rejection, credit status and historical usage data.

The water meter’s design makes it immune to any tampering and fraud.

The facility details:

• Pre-paid meters will come with Customer Interface Unit (CIU).
• Customers will use the CIU to top-up their account within the radius of 2 kilometers as long as there is no interference.
• All pre-paid meters will come with a start-up credit (that will be recovered from subsequent customer purchases).
• Once the start-up credit is exhausted, customers will be required to buy a 20-digits water credit token and top-up their accounts using any First Merchant Bank (FMB) branch.
• Customers that have unsettled water bills shall be deducted 60 percent of every top-up they will make until the bill is settled.

System Benefits:

• The pre-paid metering system will eradicate delays in bill delivery.
• Improve bill accuracy.
• Instill self-management of consumption by customers.
• Assist in immediate detection of leakages.
• Assist timely and speedy faults reporting.

Meanwhile, first phase of the pre-paid meter installation is targeting institutional customers before it rolls out to other Lilongwe water Board customers.