Parliament yesterday passed the International Development Association (IDA) Malawi Emergency Project Bill to authorise disbursement of a $100 million (K103 billion) grant to support health services in the country.
The development paved the way for Minister of Finance and Economic Affairs Sosten Gwengwe to receive the grant from IDA, an agency of the World Bank Group.
The minister said the project is aimed at helping government ensure sustained provision of essential health services in the country.
Gwengwe: It is emergency support
“The objective of the project is to provide emergency support to protect and ensure sustained delivery of essential health workers and services in Malawi,” said Gwengwe.
The project supports the health sector budget to ensure that the budget for drugs, medical supplies and essential operating expenditures is timely and adequate.
The minister said the grant will also help provide forex as well as ease pressure on government resources.
In his reaction, Democratic Progressive Party spokesperson on finance in Parliament Ralph Jooma also said the money will help improve health services as well as improve the foreign exchange situation in the country.
He cautioned government against failing to absorb the money.
But Jooma, who is Mangochi Monkey Bay legislator, wondered why the money was not included under grants in the budget to boost the health budget.
“Having the money put in the budget would have helped meet the Abuja Declaration of allocating at least 15 percent of the national budget to the health sector,” he said.
United Democratic Front (UDF) spokesperson on the Bill, Ned Poya, said the grant will help address issues of scarcity of drugs and management of drugs and ghost workers
“There is the issue of payroll integrity which will sort out ghost workers. There is also the issue of drugs procurement which will help sort out drug shortage,” he said.
Poya, who is Zomba Ntonya parliamentarian, urged government to be prudent.
Responding to the concerns raised by DPP and UDF, Gwengwe said there will be independent audits.
He said the facility is an emergency grant and was not planned, as such, could not be included in the health budget allocation.
Gwengwe also said the facility was not in place at the time the Mid-Year Budget Review was being done.
Speaking in an interview after yesterday’s adjournment, Budget and Finance Committee of Parliament chairperson Gladys Ganda said the committee will be following up on the money to ensure that it is put to good use.
She said there are a number of challenges in the health sector and the money needs to be used properly.
Parliament earlier this week passed the Mid-Year Budget that saw the health sector budget trimmed, raising fears that other activities in would suffer. n
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