By Vincent Khonje

Blantyre, January 28, Mana: Mchinji District Council has admitted facing difficulties in collecting local revenue, citing uncollected plot development fees as a significant factor behind its underperformance in the 2024/25 financial year.

District Commissioner for Mchinji, Lucia Chidalengwa, revealed this during the 2025/26 budget review meeting held in Blantyre on Tuesday.

She noted that the council’s revenue shortfall had necessitated a downward local revenue revision of K200 million, from the initially estimated K703,970,908.

"We are working to improve revenue collection for the council by implementing strategies such as revising market fees, adjusting ground rentals, and reviewing water rentals," Chidalengwa said.

She also acknowledged that relying on plot sales as a primary revenue source is unsustainable, particularly in the current economic situation.

"We assume that plots, once offered, will be sold. However, due to the economic situation, many people have failed to pay," she said.

Chief accountant for the council, Fedderick Muyaba, outlined key strategies aimed at boosting revenue collection.

"We plan to establish a system to track daily revenue collections, create additional plots at Mayadi, improve service delivery facilities, identify locations for new markets, and raise public awareness about revenue collection," he said.

Principal Secretary in the Ministry of Local Government and Community Development, Dr. Esmie Kainja, emphasized the importance of aligning budgets with national development goals.

"I expect the budget estimates presented to align with Malawi 2063. Avoid allocating resources to small, low-impact projects and ensure timely implementation of planned projects," she said.

The National Local Government Finance Committee (NLGFC) is currently reviewing budget submissions from councils as part of its mandate before the budgets are tabled in Parliament.