The Ministry of Local Government has urged district councils to work collaboratively and expedite the implementation of development projects for the benefit of the citizenry.
The call to action was made by the Deputy Minister of Local Government, Owen Chomanika, during the closing of a quarterly coordination meeting held in Dowa.
In his closing remarks, Chomanika emphasised the importance of unity among key stakeholders in the district councils.
“The conference has ended well. It provided a platform where key stakeholders, including District Commissioners, Councillors, and Parliamentarians, had a chance to have a candid discussion on issues relating to development at the council level, identify bottlenecks, and find pragmatic solutions,” he said.
Chomanika further noted that the Ministry is aware of the challenges faced by the councils and is committed to addressing them.
“As a ministry, we have appreciated the problems and challenges participants have shared. Sometimes the solutions lie with the councils themselves, some are with us as a ministry and others are with our sister ministries. A lot has emanated from this discussion, which is why it has been described as a successful conference,” Chomanika added.
One of the key issues raised during the meeting was the fees charged by the Development Fund for Local Authorities (DFLA). Councils had complained about their lack of collateral and the low threshold of funds they were receiving. Responding to these concerns, Chomanika announced that the Ministry has intervened to raise the threshold to K50 million. Additionally, the loan fee has been reduced to 1 percent, and councils are now granted more flexibility in loan servicing.
“Councils can even add it to a loan—that’s the flexibility we have brought. With all these resolutions, I think we are satisfied as the Ministry of Local Government,” Chomanika stated.
Cydex Makunje, Chief Executive Officer of the DFLA, also addressed the concerns of the councils, particularly their desire to secure substantial funds for large-scale projects. Makunje proposed a cost-sharing model as a solution.
“Now the councils want to get some huge sums of money to invest in their districts, but because most councils don’t have capacity to repay huge sums, what we are saying is, let the councils bring that big project to us (DFLA). We meet halfway, they bring 50 percent, we also bring 50 percent so that at least, at the end of the day, we have the project done,” he explained.
Makunje highlighted the example of councils wishing to construct shopping malls, projects that typically require significant funding.
“We have devised a cost-sharing model so that once the project is finished and inflows of revenues have started, we will be getting our funds back,” he concluded.
Participants say lessons shared will lead to more efficient project execution at the district level.
The meeting brought together District Commissioners, Directors, Members of Parliament, and Councillors from the Eastern and Central regions.
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