Local construction industry to benefit from joint ventures
Minister of Transport Ulemu Chilapondwa says the local construction industry is expected to grow further following the launch of the subcontracting and joint venture regulations.
The launch took place in Lilongwe on Thursday.
According to a senior official in the construction industry, the regulations were approved by the National Construction Industry Council (NCIC) two years ago, but somehow government did not sign them giving undue advantage to two foreign construction companies who were taking over 70 percent of all the jobs.
Said Chilapondwa on the sidelines of the launch: “The construction industry is very critical in the development of the country, but somehow our local companies were losing out because big foreign institutions were taking over jobs for Malawians. With the launch of the joint venture regulations, 30 percent of any jobs foreign companies get will be done by Malawians.”
NCIC chief executive officer Linda Phiri said the country has paid a heavy price for delaying to implement the joint venture regulations.
“In neighbouring countries, these policies were put in place long time ago but here somehow we were dilly-dallying and at the same time, our construction industry was not fully-benefitting the locals,” she explained.
