The Public Procurement and Disposal of Assets Authority (PPDA), in its Act, states that Small and Medium Enterprises are to benefit from public procurement. However the SMEs, through Chamber for Small and Medium Business Association (CSMBA) have asked PPDA to clarify on preferences that small and medium enterprises.

The SMEs have also questioned the 60/40 law, to which they are asking for clarity. In 2017, lawmakers passed an insertion to the Public Procurement and Disposal of Public Assets Act, which stated that the 60% of Government’s procurement needs must be from black indigenous Malawians. SMEs feel that the law has not been honored.

CSMBA Executive Secretary, James Chiutsi, said the association looked forward to reaping the most from the new law, but needed clarification on some of the provision. “Government is the biggest buyer of goods and services in the country and the law talks about preference being given to SMEs but we want to understand, for example, the 60:40 provision. We are not sure what this exactly means and how this will be implemented, so we are waiting for clarification.”