The Ministry of Local Government and Rural Development has given all 87 Local Authorities participating in the Cash for Work (C4W) program a 10-day deadline, starting January 21, 2025, to disburse funds allocated for the program’s implementation.
This directive was announced during a high-level meeting chaired by Secretary to the Cabinet, Mr. Patrick Kangwa, on January 20, 2025. The meeting reviewed the progress of Phase 1 of the Cash for Work Program, covering the period from September to December 2024.
Delays in Fund Disbursement Unacceptable
Mr. Kangwa emphasized that delays in implementing government programs, especially those targeting vulnerable households, were unacceptable. He highlighted that the C4W program is a crucial intervention to provide financial relief to communities affected by the 2023/2024 drought.
To address the delays, Mr. Kangwa instructed the Ministry of Local Government, through the Permanent Secretary – Technical Services, to ensure that all Local Authorities distribute the funds to beneficiaries within 10 working days. He also urged Local Authorities to uphold transparency and accountability, ensuring value for money in the Cash for Work and other Public Works programs.
Improved Payment Mechanisms
During the meeting, Permanent Secretary Technical Services, Mr. Nicholas Phiri, confirmed that Local Authorities have been granted permission to open mobile payment accounts with Mobile Service Providers. This decision is in line with Section 141 of the Public Finance Management Act No. 1 of 2018 and Treasury Finance Management Circular No. 1 of 2024.
The use of mobile payment systems is expected to overcome challenges in servicing areas with limited banking and mobile network coverage. Network providers have also committed to distributing free SIM cards to beneficiaries. This initiative aims to streamline the verification process and address mismatched details between SIM cards and National Registration Cards (NRCs), a common cause of previous payment delays.
Monitoring and Compliance
The Ministry of Local Government has pledged to closely monitor the disbursement process. Local Authorities that fail to comply with the directive will face appropriate disciplinary action.
Commitment to Livelihood Restoration
The Cash for Work program is part of the government’s efforts to alleviate poverty and restore livelihoods in drought-affected areas. The Ministry of Local Government and Rural Development has reiterated its commitment to ensuring that the program is implemented efficiently and effectively.
