Member of Parliament for Mangochi South West who is also chairperson for the Public Accounts Committee (PAC), Shadric Namalomba, intends to move a private member’s motion on interest capping to check on interests that commercial banks and other lending institutions charge customers.
This is the second time the issue is coming in the house Last time, the motion did not see the light of the day.
In an interview, Namalomba said he expects members of Parliament to support his motion which he thinks is necessary to protect the interest of many Malawians.
Reads the motion: “That having observed the exorbitant interests on loans obtained from banks and other lending institutions have resulted in failure by many citizens of the Republic of Malawi to service the loans and in some cases forfeiture of property, this House resolves that a private member’s bill that prohibits all commercial banks and financial lending institutions from recovering 100 percent of the principal of the loaned amount be drafted and introduced in the house for consideration.”
