14/09/2021
Earlier today Thomson Nelson Kumwenda posted comments on the AIP, from all sorts of parties, political and not . It is not surprising that most of the arguments have a political fervor, making it risky for this forum to comment on, being politically non-aligned. However the main issues remain: for others the expenditure is justified as social spending and public service; it ensures social and tax expenditure equity as the majority of its purported beneficiaries are the poor Malawians. on the other hand opponents cite the AIP escalating cost and ask if it is sustainable; they also ask whether other alternative expenditures would not be more beneficial such as direct cash transfers to the poor, direct govt investment in agriculture, etc. The Agriculture budget already stretched by AIP will be stretched further. The better approach as the debate continues is to minimize the fractures that accommodating such increasing expenditure will create. Production-side subsidies should also be aligned to supply-side subsidies that already exist through ADMARC and minimum price enforcement, the equation should balance,.
What's your take?
