Localization Agenda in Malawi – Part 1 A focus on local control and a call for global justice

I. PREAMBLE
The Council for NGOs in Malawi, within its representative and convening functions
of all NGOs in Malawi, would like to provide and add its voice of commendation,
encouragement, desire and solidarity in the LOCALIZATION Agenda in Malawi. This
comes on the heels of serious, colossal, broad based and deep-rooted global
development injustices and shenanigans, especially as expounded in the national
address by His Excellency, Dr. Lazarus McCarthy Chakwera, President of the
Republic of Malawi on Friday 28th April 2023 during the Opening Ceremony of The
Lilongwe Institute of Orthopedics and Neurosurgery.
II. OUR UNDERSTANDING OF THE CONCEPT OF LOCALIZATION
Localization is a movement and a principle for social and economic re-organization with the ultimate goal of benefiting the local, first and foremost.
Colin Hines (2000:27) in his book; Localization: A Global Manifesto, defines
Localization as “a process which reverses the trend of globalization by
discriminating in favor of the local”.
The implications of this definition, above, are many including bringing to the fore
the following values and principles:
1. Nurturing sustainable local production of goods and services
2. Self sufficiency and less dependence on imports. This is exactly what MW2063 is
about when it says “An inclusively wealthy and self reliant nation” (NPC 2020:
cover page of Malawi’s Vision).
3. Import substitution drive in which local economy produces same global quality
of goods and services locally mostly for local consumption first
4. More local control of beneficiations and decision making processes
5. Decolonization of international aid and focusing on local priorities and
strengthening local structures and systems
6. Stronger and decisive national Governments that are more accountable
7. Strong Civil Society regime that is accountable and beyond reproach
At the same time, there are key characteristic factors that drive the success of any
Localization Agenda. These include the following:
1. National common understanding and ownership of the Localization agenda.
People should embrace and drive the agenda on their own.
2. A capable society which thinks more than just getting hold of Donor grants as
an end in itself but goes beyond to use grants to create goods and services
locally for the local citizens’ benefit first and foremost.
3. A disciplined national ‘fiscus’ (Treasury) which only spends within its means
and prioritizes strategic and necessary expenditures.
4. Accessible capital, land and availability of trained manpower
5. Having good knowledge and data of a country’s wealth i.e. national natural
resources endowment profile like water and aquatic resources; minerals;
forests and land features
6. Having efficient transport system that links land, air and water modes of
logistics and supply
7. Having requisite and coordinated legal and policy regimes that work in
harmony, do not contradict and focuses on a common agenda
With the foregoing a case for Localization is clear in that:
1. All countries that developed, did so by empowering their own local people
while foreigners provided support
2. Locals understand their history and context better and is only right that they
lead the process of their own development
3. Most least developed countries including Malawi are already feeling the
pinch of aid reduction and frozen direct budget support that makes it proper
to start looking and focusing more locally
4. Some aid/ grant making institutions tend to abuse their freedoms and indulge
in development shenanigans for their own benefit which should not be
tolerated any more
5. Global partnerships with locals in all sectors including the NGO sector, will
enhance coordination, reduce duplication and improve impact of
development initiatives.
III. OUR COMMENDATION
CONGOMA commends:
(a)His Excellency Dr. Lazarus McCarthy Chakwera, the President of the Republic
of Malawi for:
(i) Providing a Government of Malawi perspective on how it views the Donor
grants and support Malawi receives in all sectors of development including
the NGO sector. This gives a clear baseline beacon of reference on issues of
Aid Effectiveness in Malawi.
(ii) Narrowing down the Localization Concept to the Malawi context focusing on
some Donor conditionalities and priorities which are mostly imposed,
pretentious and leave a lot to be desired against the real needs and modus
operandi of this country.
(iii) Leading Malawians to start asking questions about accountability of some
Donor agencies and whether really the much touted grants help Malawians
or a big chunk of the grants goes back to their capitals.
(iv)Reiterating the focus of MW2063 on wealth creation and self sufficiency. This
should be mirrored against the implications of Localization and its
attendance facilitating factors above.
(v) Clearly conceptualizing that local priorities which are the essence of
Localization agenda have to be supported with global partnerships and
global justice systems to protect the vulnerable States and exact global
accountability.
(vi)Initiating various road construction/ improvement projects across the rural
and urban areas within the MW 2063 Vision and in support of principles of
Localization. It is appreciated that the rehabilitation of the M1 road from
Lilongwe to the North; the construction of the Corridor roads in the North,
Centre and South under the Compact 2 project and the expansion and
rehabilitation of various roads in Cities and Towns, once completed will boost
economic transformation. It is also pleasing to note that the Tonse
Administration has been quick to take corrective measures on substandard
quality of road works. A case in point is the termination of contract for the
Contractor of the Mzimba boma-Kafukure-Ekwendeni road.
(b)Comic Relief and Foreign, Commonwealth and Development Office (FCDO –
formerly DFID) for being among the leading grant making institutions to
acknowledge localization through the Shift the Power Manifesto. These
institutions have embarked on a process to provide long term grants to
Malawian organizations through Tilitonse Foundation (a Malawian registered
NGO) as their local partner. This is in support of Localization.
(c)Government of Malawi (including Parliament) for providing legal guidance in
the NGO Act 2000 in Section 35(1) (amended 2022) which seeks to provide
for the operations of International Non Governmental Organizations. This is a
drive towards some principles of localization.
(d)Local and International NGOs alike for coming to the rescue of cyclone
Freddy victims by providing much needed relief support to a large extent
within the Grand Bargain Agreement principles which are pro-localization
with necessary global partnerships. Further, CONGOMA is pleased to note
that these partnerships between most INGOs (that have already embraced
localization) and local NGOs are going hand in hand with requisite identities
based on best-fit and local context principles. The NGO Act (amended
2022), above, is the fore runner to craft these identities.
(e)Electricity Generation Company (EGENCO) for working tirelessly to restore
hydro-power generation capacity to almost full capacity. This will improve
local living and spur local production that will enhance economic growth
and import substitution drive as one principle of localization. This kind of
performance should be the one to be rewarded and emulated by MDAs
across public service.
IV. ON A SAD NOTE
Notwithstanding the foregoing, CONGOMA is deeply concerned by the following
realities:
1. Resistance to localize by some Development Partners
CONGOMA is very concerned that despite the Grand Bargain Agreement on
humanitarian work that fosters supporting locals; the Aid Effectiveness principles of
aid that strengthens local ownership of initiatives, there are some Development
Partners and some INGOs who are still resisting to embrace localization in favour of
imposing their priorities on poor countries. This is sad and suspicious and should not
be condoled. Localization is here to stay and the earlier it is accepted, the better.
2. Purchase of new vehicles for Cabinet
It is disheartening to learn that Government plans to procure expensive vehicles
worth billions of Kwacha for Cabinet and top Civil Servants when the country
cannot afford to resettle and take care of internally displaced Malawians due to
cyclone Freddy that hit the country. It is ironic, insensitive and irresponsibility of the
highest order to prioritize welfare of the Cabinet against the destitute Malawians.
In addition, wastage and misuse of vehicles is very visibly common in public service.
Several Cabinet Ministers have lamented this trend before in which vehicles on
account of minor repairs are abandoned in favour of new ones from Donor funded
projects. Maintenance of these vehicles can save Government a lot more
resources that can be channeled to other needs.
Furthermore, as reported during the National Development Conference 2023, civil
service is characterized by sluggishness and easy going attitude to work in which
work processes are very slow with weak sanction regimes. With this attitude and
work rate, the economy cannot be re-organized and no wonder the country
performs badly in public service delivery and benefitting from international
agreements and opportunities.
3. District Councils financial Audits
Just a decade ago in 2013, Malawi experienced massive plunder of public funds, in
what was then popularly known as “Cash Gate”. What remains more shocking and
infuriating is the fact that even before Malawi could fully recover, nor at least draw
lessons from the effects of this plunder, other cash gate pockets are being revealed
almost on monthly basis. The latest being the District Councils audit that revealed
massive financial irregularities. What is more disturbing is that none of such officers
responsible for these calamities are brought to justice. Instead, such Officers are just
transferred from one office to another. Actually the fight against corruption has
fizzled off. The cases in court are either very slow or not moving at all. It is like we
have reached dead end in the fight against corruption.
4. National planning and 2030 Middle Income status
CONGOMA has noted with serious concern the statistics over 2030 middle income
status from the high level vision outcome indicators in the MW2063. At a glance all
indicators have performed miserably:
(i) GDP growth rate has been below 2% for 2021 and 2022 against a
target of 6% with 2023 going for lower that 1.9% growth
(ii) Poverty levels are high at 52% national average (57% rural poverty)
against a target of 26% by 2030.
(iii) Proportion of people in urban centres living in slums remains high at
over 60%
(iv) Proportion of national budget expenditure funded by domestic
resources remains low at below 50% against a target of 100% by 2030.
This means that the economy is decimally producing; poverty is high among
majority Malawians; slum dwelling is high and increasing putting pressure on social
service provision and the country cannot fund its own budget 100%. These statistics
should ring a bell in policy makers’ ears, but alas, our leaders seem not to be
bothered, it is business as usual and no visible strategy in sight to reverse these
trends.
In addition to the statistics above, the implementation of plans is another sad story
as the following perspectives would attest:
(i) The national budget for a third year running this year (2023-2024) is largely not
aligned to the MIP-1 (2021-2030) plan which is meant to propel the country to
a middle income status. This shows lack of focus and commitment by
Government to the MW2063 vision. CONGOMA has been wondering as to
why the Ministry of Finance continues to hold national budget consultations
every year when the MIP-1 in there to guide spending and priorities.
(ii) There is still no clarity yet as to how contributions of Non State Actors will find
their way into the national M&E plans of the MW2063.
(iii) To a large extent, there is continued picking and choosing of NGOs to
represent others in Government forums (local and international) or structures
against provisions and mandates in the NGO Act. This creates confusion,
disrupts coordination of the sector and derails accountability hierarchies
5. Slow pace of Mega-Farms and Green-Belt initiatives
It is worrying to learn that mega farms and other initiatives under the Green Belt
Initiative are taking too long to complete. One case in point is the delayed
completion of Nthora-Ilola irrigation scheme. The site looks abandoned and its
future bleak. These are the initiatives that will enhance local production and
strengthen import substitution initially. As such they should be religiously followed up
by authorities to ensure timely completion.
V. OUR APPEAL
CONGOMA appeals to:
1. All development players (Government; Development Partners; Civil Society
and the private Sector) should rally behind the localization agenda which is
here to stay.
2. His Excellency Dr. Lazarus McCarthy Chakwera to rescind the decision to buy
new vehicles for cabinet Ministers and Civil Servants because it is not and it
cannot be a priority amid these economic and social challenges Malawi is
going through currently.
3. His Excellency Dr. Lazarus McCarthy Chakwera to immediately order a down
grade of benefits for Cabinet and top civil Servants including reduced travel
allowances and use of Saloon vehicles as opposed to these expensive to buy
and service Toyota TXs and Suvs. This is part of austerity measures to contain
spending.
4. Government should freeze buying of new vehicles and focus on maintaining
the existing fleet and Ministry of Transport to speed up roads contraction
works.
5. His Excellency Dr. Lazarus McCarthy Chakwera to immediately appoint an
Auditor General to comply with the law, deal with the audit backlogs and
sanction wrong doers especially from the revelations from Audit of Councils.
6. Ministry of Finance and Parliament should interface and orient the national
Budget 2023/2024 to align with priorities of the MIP-1 which could salvage the
middle income status by 2030 and start performing on the outcome
indicators.
7. All MDAs including those charged with Environmental assessments;
procurement and treasury, and parastatals on water and power supply to
closely and speedily collaborate with the Ministry of Transport and Public
Works to speed up processes including finalization of shifting utility facilities
and structures along the road projects that would speed up road works.
VI. CONCLUSION
CONGOMA feels that the localization agenda is very relevant and beneficial to
Malawi and is in line with the MW2063; Constitution of the Republic of Malawi; NGO
Act in Malawi, the Grand Bargain Agreement and its values of empowering the
locals. As such, CONGOMA urges Government; development Partners, private
Sector and the Civil Society to embrace it. In this vein, CONGOMA calls upon
Government to ensure that it is focused, strategic and that it is seen to be doing all
it can to get Malawi to middle income status come 2030. This is only possible with
local control of our destiny and with global partnerships and justice. CONGOMA
remains totally committed to working with the Government of Malawi in its
functions of NGO coordination for the realization of Malawi development agenda.
A middle-income status for Malawi is possible with Localization.

Kossam Jomo Munthali
CHAIRPERSON
12th May 2023

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