Malawi's opposition began debating the national annual budget in parliament on Wednesday, ending a boycott that had threatened to cut essential services in the impoverished southern African country.
The opposition said it agreed to take part after receiving government assurances that a court case on alleged poaching of its members by the ruling party would be accelerated.
The debate should have been completed by June 30 but was suspended last month when the opposition refused to discuss it before the poaching issue was resolved.
"We have been intimidated and harassed in the last few months, and our decision today should not be taken as a sign of weakness on our part," said George Ntafu, deputy leader of the opposition United Democratic Front.
Earlier on Wednesday, ruling party deputies had started debating the budget without the opposition deputies, who hold the majority in parliament.
President Bingu wa Mutharika had threatened on Tuesday to close parliament if deputies did not start debating the budget within two days.
Finance Minister Goodall Gondwe warned in an interview with Reuters this week the country of 12 million risked losing crucial donor budget aid if the standoff went on.
Malawi relies heavily on donor support for its public spending. Gondwe said the country was expecting $500 million in foreign aid for its $1.2 billion budget.
The draft budget allocates more resources to poor rural areas, proposes salary increases for civil servants and higher spending on health care and food production.
Wednesday, 15 August 2007
Informal Trade Crucial for Job Creation
Every day a bus, usually packed to capacity, leaves Malawi for South Africa. Most of the passengers are traders, off to sell wooden curios in the main South African cities of Johannesburg, Durban and Cape Town.
A few stop in Harare, Zimbabwe, with pieces of cloth and food products such as flour and sugar.
From South Africa, the traders bring back items of clothing, shoes, electronics and personal accessories. Those who go to Zimbabwe, buy butter, jam and tomato sauce to sell in Malawi.
Some traders also cross the borders into Mozambique, Zambia and Tanzania, bringing back goods. Those that have substantial amounts of money even fly as far as Kenya, Hong Kong, Dubai and Thailand to bring back electronics and apparel.
Maria Kachale (32) has been engaged in cross-border trade since 1999. From the proceeds she has built a three-bedroom house and bought a second-hand car.
Kachale says it is not easy to be in the trade business. She spends a lot of time on the road. "It takes two full days to drive between Malawi and South Africa and that alone is very tiring."
The businesswoman, who stays in Malawi's capital Lilongwe, also covers long distances scouting for customers to buy her merchandise and for goods to bring back to Malawi.
She says before the economic problems in Zimbabwe, traders had a choice of either going to the now poverty-stricken country or to South Africa. "Zimbabwe is a bit closer to home but now we do not have much choice but to travel all the way to South Africa since it is a more lucrative trade destination."
Another person involved in informal cross-border trade is the 27-year-old Zalimba Khoviwa who stays in Mulanje, a district in the south of Malawi which borders on Mozambique. Since the age of 19 years, Khoviwa has been cycling across the border to buy maize, pasta, toothpaste and soap in Mozambique which he re-sells in his area.
"A number of us help in providing maize, which is a staple food in my area. Most times we do not grow enough to feed ourselves," says Khoviwa.
Khoviwa is among some 500 informal cross-border traders in his area, according to a November 2006 survey by the National Association of Businesswomen (NABW) which promotes small-scale economic activities in Malawi.
NABW national credit coordinator Lackson Kapito says the country's capital and the main commercial city of Blantyre are home to approximately 10,000 such traders while the country's third largest city, Mzuzu, and the lake district of Mangochi have 2,000 each.
Kapito estimated that at least one hundred people from the 23 other districts in the country have been involved in cross-border trade. The country has a population of 12 million of whom 65 percent of the population live below the poverty line of less than a dollar per day.
Economic analyst Mavuto Bamusi speaks highly of the effective role that informal cross-border traders are playing in the Malawian economy. He says this type of trade offers economic opportunities to women and youth in the country who would otherwise not be employed.
"The concern is that they usually face all kinds of social and economic injustices, such as harassment by public authorities, especially the tax department. They undergo unnecessary checks which are unregulated and they are forced to pay exorbitant taxes," says Bamusi.
He says the other disadvantage is that most of the traders are not literate and are ignorant of tax rates on different types of goods. "Unfortunately, there is no formal grouping that looks after the interests of these traders, so they cannot fight for their rights," Bamusi points out.
These experiences contradict the mission statement of the country's revenue services, the Malawi Revenue Authority (MRA), which states that it contributes to national development through cost-effective, equitable and effective enforcement of revenue laws and to continuously providing quality service to all stakeholders.
Another economic analyst, Abel Mwanyungwe, agrees with Bamusi about the function of informal cross-border trade. He says it is important to the country as it provides informal employment to many people who end up contributing to the country's economy as they pay tax and are able to sustain their livelihoods and that of their families.
Mwanyungwe worries over the lack of market research and information on informal trade which, he says, leads to most of the traders not knowing the demand for their merchandise.
"The economic environment in the country is not friendly to them," he points out, explaining that banks demand collateral, being hesitant to provide loans to informal trade. Hence traders have difficulty accessing loans for capital.
Mwanyungwe also says that even if the traders were to easily access loans, they would face prohibitive interest rates, currently ranging between 23 and 26 percent.
A few stop in Harare, Zimbabwe, with pieces of cloth and food products such as flour and sugar.
From South Africa, the traders bring back items of clothing, shoes, electronics and personal accessories. Those who go to Zimbabwe, buy butter, jam and tomato sauce to sell in Malawi.
Some traders also cross the borders into Mozambique, Zambia and Tanzania, bringing back goods. Those that have substantial amounts of money even fly as far as Kenya, Hong Kong, Dubai and Thailand to bring back electronics and apparel.
Maria Kachale (32) has been engaged in cross-border trade since 1999. From the proceeds she has built a three-bedroom house and bought a second-hand car.
Kachale says it is not easy to be in the trade business. She spends a lot of time on the road. "It takes two full days to drive between Malawi and South Africa and that alone is very tiring."
The businesswoman, who stays in Malawi's capital Lilongwe, also covers long distances scouting for customers to buy her merchandise and for goods to bring back to Malawi.
She says before the economic problems in Zimbabwe, traders had a choice of either going to the now poverty-stricken country or to South Africa. "Zimbabwe is a bit closer to home but now we do not have much choice but to travel all the way to South Africa since it is a more lucrative trade destination."
Another person involved in informal cross-border trade is the 27-year-old Zalimba Khoviwa who stays in Mulanje, a district in the south of Malawi which borders on Mozambique. Since the age of 19 years, Khoviwa has been cycling across the border to buy maize, pasta, toothpaste and soap in Mozambique which he re-sells in his area.
"A number of us help in providing maize, which is a staple food in my area. Most times we do not grow enough to feed ourselves," says Khoviwa.
Khoviwa is among some 500 informal cross-border traders in his area, according to a November 2006 survey by the National Association of Businesswomen (NABW) which promotes small-scale economic activities in Malawi.
NABW national credit coordinator Lackson Kapito says the country's capital and the main commercial city of Blantyre are home to approximately 10,000 such traders while the country's third largest city, Mzuzu, and the lake district of Mangochi have 2,000 each.
Kapito estimated that at least one hundred people from the 23 other districts in the country have been involved in cross-border trade. The country has a population of 12 million of whom 65 percent of the population live below the poverty line of less than a dollar per day.
Economic analyst Mavuto Bamusi speaks highly of the effective role that informal cross-border traders are playing in the Malawian economy. He says this type of trade offers economic opportunities to women and youth in the country who would otherwise not be employed.
"The concern is that they usually face all kinds of social and economic injustices, such as harassment by public authorities, especially the tax department. They undergo unnecessary checks which are unregulated and they are forced to pay exorbitant taxes," says Bamusi.
He says the other disadvantage is that most of the traders are not literate and are ignorant of tax rates on different types of goods. "Unfortunately, there is no formal grouping that looks after the interests of these traders, so they cannot fight for their rights," Bamusi points out.
These experiences contradict the mission statement of the country's revenue services, the Malawi Revenue Authority (MRA), which states that it contributes to national development through cost-effective, equitable and effective enforcement of revenue laws and to continuously providing quality service to all stakeholders.
Another economic analyst, Abel Mwanyungwe, agrees with Bamusi about the function of informal cross-border trade. He says it is important to the country as it provides informal employment to many people who end up contributing to the country's economy as they pay tax and are able to sustain their livelihoods and that of their families.
Mwanyungwe worries over the lack of market research and information on informal trade which, he says, leads to most of the traders not knowing the demand for their merchandise.
"The economic environment in the country is not friendly to them," he points out, explaining that banks demand collateral, being hesitant to provide loans to informal trade. Hence traders have difficulty accessing loans for capital.
Mwanyungwe also says that even if the traders were to easily access loans, they would face prohibitive interest rates, currently ranging between 23 and 26 percent.
McConnell handed Malawi post
Former Scottish First Minister Jack McConnell is to become the next British High Commissioner to Malawi, it has been announced.
Prime Minister Gordon Brown made the announcement just hours after his Labour colleague had stepped down as leader of the party in the Scottish Parliament.
Mr McConnell will continue to serve as MSP for Motherwell and Wishaw while the current High Commissioner, Richard Wildash, completes his posting, scheduled to end in 2009. The President of Malawi also welcomed the proposal.
"I've received a very kind offer from the Prime Minister to have a role in the future in Malawi that would be very special," Mr McConnell told BBC Scotland.
"I'm delighted to accept that opportunity. I'm sure in addition to representing the UK government there, it would be a real opportunity to further enhance the relationship between Scotland and Malawi and to support those thousands of Scots that are now involved in partnerships with Malawian organisations and people from Malawi on the ground."
Mr McConnell was deposed as First Minister after Labour's defeat to the SNP at the Scottish elections in May.
He revealed that he is to join the Clinton Hunter Development Initiative, leading research and project development on education in Malawi and Rwanda, as he announced in Edinburgh he was stepping down.
Mr Brown said Scotland had developed a special connection with the people of Malawi and said Mr McConnell would be suited to the role of High Commissioner. "I know he cares passionately about two of the great issues of international development - the relief of poverty and the provision of education.
"I believe that he will make an excellent representative of the United Kingdom Government in Malawi and I am pleased he has accepted the Government's offer of the position of High Commissioner to Malawi, after the present High Commissioner completes his posting at an appropriate moment."
The appointment is subject to approval of the Queen.
Prime Minister Gordon Brown made the announcement just hours after his Labour colleague had stepped down as leader of the party in the Scottish Parliament.
Mr McConnell will continue to serve as MSP for Motherwell and Wishaw while the current High Commissioner, Richard Wildash, completes his posting, scheduled to end in 2009. The President of Malawi also welcomed the proposal.
"I've received a very kind offer from the Prime Minister to have a role in the future in Malawi that would be very special," Mr McConnell told BBC Scotland.
"I'm delighted to accept that opportunity. I'm sure in addition to representing the UK government there, it would be a real opportunity to further enhance the relationship between Scotland and Malawi and to support those thousands of Scots that are now involved in partnerships with Malawian organisations and people from Malawi on the ground."
Mr McConnell was deposed as First Minister after Labour's defeat to the SNP at the Scottish elections in May.
He revealed that he is to join the Clinton Hunter Development Initiative, leading research and project development on education in Malawi and Rwanda, as he announced in Edinburgh he was stepping down.
Mr Brown said Scotland had developed a special connection with the people of Malawi and said Mr McConnell would be suited to the role of High Commissioner. "I know he cares passionately about two of the great issues of international development - the relief of poverty and the provision of education.
"I believe that he will make an excellent representative of the United Kingdom Government in Malawi and I am pleased he has accepted the Government's offer of the position of High Commissioner to Malawi, after the present High Commissioner completes his posting at an appropriate moment."
The appointment is subject to approval of the Queen.
Key contracts signed for Malawi uranium project
Australia-based exploration and development company Paladin Resources' African subsidiary, Paladin Africa, has signed three major contracts for the development of its Kayelekera uranium project, in Malawi.
The engineering, procurement, construction and management (EPCM) contract has been awarded to Engineering & Projects Company (E&PC), which has been appointed as the project engineer, Paladin said.
E&PC is a Johannesburg-based mining and minerals engineering firm, and is part of the multidisciplinary group Aveng.
The mining and earthworks contracts have been awarded to international earthmoving and construction consortium Mota Engil Engineering. Mota has already been involved in the Kayelekera project in establishing the 11-km branch road to the project site and preparing all lay-down areas for the anticipated equipment arrival, Paladin explained.
Mota has also started preparing the site for the erection of the 800-person construction camp, which is currently being transported from Langer Heinrich, Paladin's uranium mining operation in Namibia.
"It is anticipated that Mota will be ready to start the civil earthworks for the project by the end of August. Major mining equipment orders are also in place and planned delivery is on schedule for late 2007 in readiness for mining prestrip operations to begin," Paladin said in a statement.
The company commented that, following the awarding of the contracts and the finalisation of a project labour agreement with the Malawian Workforce Community Forums, the tempo of the project development was increasing rapidly.
Worker recruitment programmes had been initiated and there were already 200 employees active on site, the vast majority of whom are local Malawians. The total number of people employed is expected to peak at about 1 000 during the construction period.
Both the construction plans and engineering designs have reached an advanced stage and purchase orders for some of the longer-lead items are already in place. Enquiry documentation is currently being prepared for the remainder of the subcontracts and process equipment.
Plant commissioning remains on schedule for the fourth quarter of next year, Paladin said.
The engineering, procurement, construction and management (EPCM) contract has been awarded to Engineering & Projects Company (E&PC), which has been appointed as the project engineer, Paladin said.
E&PC is a Johannesburg-based mining and minerals engineering firm, and is part of the multidisciplinary group Aveng.
The mining and earthworks contracts have been awarded to international earthmoving and construction consortium Mota Engil Engineering. Mota has already been involved in the Kayelekera project in establishing the 11-km branch road to the project site and preparing all lay-down areas for the anticipated equipment arrival, Paladin explained.
Mota has also started preparing the site for the erection of the 800-person construction camp, which is currently being transported from Langer Heinrich, Paladin's uranium mining operation in Namibia.
"It is anticipated that Mota will be ready to start the civil earthworks for the project by the end of August. Major mining equipment orders are also in place and planned delivery is on schedule for late 2007 in readiness for mining prestrip operations to begin," Paladin said in a statement.
The company commented that, following the awarding of the contracts and the finalisation of a project labour agreement with the Malawian Workforce Community Forums, the tempo of the project development was increasing rapidly.
Worker recruitment programmes had been initiated and there were already 200 employees active on site, the vast majority of whom are local Malawians. The total number of people employed is expected to peak at about 1 000 during the construction period.
Both the construction plans and engineering designs have reached an advanced stage and purchase orders for some of the longer-lead items are already in place. Enquiry documentation is currently being prepared for the remainder of the subcontracts and process equipment.
Plant commissioning remains on schedule for the fourth quarter of next year, Paladin said.
Paladin Resources Kayelekera Uranium Project, Malawi: Major Development Contracts Signed
PERTH, WESTERN AUSTRALIA--(Marketwire - Aug. 15, 2007) - Paladin Resources Ltd ("Paladin" or "the Company") (TSX:PDN)(ASX:PDN) is pleased to advise that its subsidiary Paladin (Africa) Ltd has signed three major contracts for the development of its Kayelekera Uranium Project.
The EPCM contract has been awarded, appointing Engineering and Projects Company (E&PC) as the Project Engineers. E&PC are a highly reputable South African mining and minerals engineering firm based in Johannesburg and are part of the Aveng Group, a multi-disciplinary, mining, manufacturing, engineering and construction group centred in South Africa. Besides E&PC, the Aveng Group also includes Grinaker LTA, Moolmans Brothers and McConnell Dowell, providing extensive mining experience throughout the African continent, the Middle East and Australia.
The mining and earthworks contracts have also been awarded. The successful company for both is Mota Engil Engineering (Mota), a large Portuguese based, international earthmoving and construction consortium. Mota provide the added benefit of having operated in Africa for 55 years including the last 15 years in Malawi. Mota has already been engaged on the project in establishing the 11km branch road to the project site and preparing all lay down areas for the anticipated equipment arrival. Mota has also commenced preparation of the site for erection of the 800 person construction camp now being transported from Langer Heinrich. It is anticipated that Mota will be ready to commence the civil earthworks for the project by the end of August. Major mining equipment orders are also in place and planned delivery is on schedule for late 2007 in readiness for mining pre-strip operations to commence.
Following the award of these contracts plus the finalisation of a Project Labour Agreement with the Malawian Workforce Community Forums, the tempo of the project development is increasing rapidly. Worker recruitment programmes have been initiated and there are already 200 employees active on site (the vast majority of which are local Malawians). This number is expected to peak at around 1,000 during the construction period.
Both the construction plans and engineering designs have reached an advanced stage and purchase orders for some of the longer lead items are already in place. Enquiry documentation is currently being prepared for the remainder of the sub-contracts and process equipment.
These latest developments in the execution of the Project mean that plant commissioning remains on schedule to commence in Q4 of calendar 2008.
The EPCM contract has been awarded, appointing Engineering and Projects Company (E&PC) as the Project Engineers. E&PC are a highly reputable South African mining and minerals engineering firm based in Johannesburg and are part of the Aveng Group, a multi-disciplinary, mining, manufacturing, engineering and construction group centred in South Africa. Besides E&PC, the Aveng Group also includes Grinaker LTA, Moolmans Brothers and McConnell Dowell, providing extensive mining experience throughout the African continent, the Middle East and Australia.
The mining and earthworks contracts have also been awarded. The successful company for both is Mota Engil Engineering (Mota), a large Portuguese based, international earthmoving and construction consortium. Mota provide the added benefit of having operated in Africa for 55 years including the last 15 years in Malawi. Mota has already been engaged on the project in establishing the 11km branch road to the project site and preparing all lay down areas for the anticipated equipment arrival. Mota has also commenced preparation of the site for erection of the 800 person construction camp now being transported from Langer Heinrich. It is anticipated that Mota will be ready to commence the civil earthworks for the project by the end of August. Major mining equipment orders are also in place and planned delivery is on schedule for late 2007 in readiness for mining pre-strip operations to commence.
Following the award of these contracts plus the finalisation of a Project Labour Agreement with the Malawian Workforce Community Forums, the tempo of the project development is increasing rapidly. Worker recruitment programmes have been initiated and there are already 200 employees active on site (the vast majority of which are local Malawians). This number is expected to peak at around 1,000 during the construction period.
Both the construction plans and engineering designs have reached an advanced stage and purchase orders for some of the longer lead items are already in place. Enquiry documentation is currently being prepared for the remainder of the sub-contracts and process equipment.
These latest developments in the execution of the Project mean that plant commissioning remains on schedule to commence in Q4 of calendar 2008.
McConnell quits to fight Africa poverty
JACK McCONNELL today quit as Scottish Labour leader to take up his "dream job" of fighting poverty in Africa with Bill Clinton and Sir Tom Hunter.
The former First Minister is to take on a voluntary role, heading up education programmes in both Malawi and Rwanda.
It was announced later Mr McConnell would become the next British High Commissioner to Malawi after being nominated by Prime Minister Gordon Brown.
The former teacher and Education Minister has long held an interest in Africa, and two years ago launched a Scottish Executive programme to help tackle poverty in Malawi.
He will join the Clinton Hunter Development Initiative (CHDI), working with the former US President and the Scottish entrepreneur in their drive to tackle poverty, climate change and key world issues.
Mr McConnell, who is tipped for a peerage in the New Year's Honour's list, told the Evening News today: "My two great passions are education and tackling poverty in Africa, so if there is anything I could have chosen to do then it would have been this. It's an absolute dream job."
Announcing his resignation at a ten-minute press conference in Our Dynamic Earth later, he said it had been "an honour" to lead the party since the early years of devolution.
"Scotland is a far better place now than it was six years ago. We are more prosperous and more confident as a nation.
"But today, after accepting an offer last week to help improve education for some of the poorest children in the world, I am resigning from my position as Labour Leader in Scotland with immediate effect.
"All my life I've wanted a Scottish Parliament, and a chance to change Scotland. I'm pleased to have made my contribution to that."
He added: "The Scottish Labour Party needs to respond to the election defeat in May and hear what the Scottish people had to tell us.
"We need to re-engage with our people to develop the policies and the approach which will rebuild our support, because those with the least need us to be successful."
Sir Tom welcomed Mr McConnell to the new role with CHDI , which will see him lead research and project development on educational services in the two countries.
"The Board of CHDI welcomes Jack and looks forward to his contribution to our thinking and strategy in regards to supporting educational development in Rwanda and Malawi," he said.
"Jack's credentials in addressing this huge challenge require no explanation.
"It's now all about rolling up the sleeves and getting on with assisting us and our government partners in defining a sustainable, scalable and affordable solution to the challenges both countries face in education."
Just hours after Mr McConnell formally stepped down, the Prime Minister announced his intention to make Mr McConnell a high commissioner.
Mr McConnell will continue serve as MSP while the current High Commissioner, Richard Wildash, completes his posting, scheduled to end in 2009.
The President of Malawi also welcomed the proposal.
“I’ve received a very kind offer from the Prime Minister to have a role in the future in Malawi that would be very special,” Mr McConnell said. “I’m delighted to accept that opportunity.
“I’m sure in addition to representing the UK government there, it would be a real opportunity to further enhance the relationship between Scotland and Malawi and to support those thousands of Scots that are now involved in partnerships with Malawian organisations and people from Malawi on the ground.”
Mr Brown said today Scotland had developed a special connection with the people of Malawi and said Mr McConnell would be suited to the role of High Commissioner.
“I know he cares passionately about two of the great issues of international development – the relief of poverty and the provision of education.
“I believe that he will make an excellent representative of the United Kingdom Government in Malawi and I am pleased he has accepted the Government’s offer of the position of High Commissioner to Malawi, after the present High Commissioner completes his posting at an appropriate moment.”
The appointment is subject to approval of the Queen.
Former Justice Minister Cathy Jamieson takes over as interim leader of the party, though shadow finance minister Wendy Alexander is almost certain to succeed Mr McConnell, with the new leader in place by the end of next month. Sources confirmed today that both former Health Minister Andy Kerr and former Parliament Minister Margaret Curran had ruled themselves out.
The only uncertainty is whether another candidate will stand to ensure there is a contest, with suggestions that Edinburgh North and Leith MSP Malcolm Chisholm may throw his hat in the ring.
Ms Alexander said: "The whole of Scotland owes Jack McConnell an enormous debt of gratitude. This is the right moment for myself, the Labour Party and Scotland to say thank you."
Ms Alexander would not be drawn on her own future other than to say: "It is Jack's moment and there will be plenty of time to talk about the future."
Tributes to Mr McConnell's reign as Labour leader came from across the political spectrum.
First Minister Alex Salmond said: "I extend Jack McConnell every good wish for the future.
"He once said that the job of First Minister was to leave Scotland a better place than he found it. With the smoking ban and his work in Malawi he has certainly done that.
"Addressing Scotland's poor public health record and extending Scotland's horizons abroad will also be regarded as substantial achievements."
Scots Tory leader Annabel Goldie said: "Whilst the Scottish Conservatives and Jack McConnell disagreed on many aspects of domestic policy, we never doubted his wholehearted commitment to devolution, to the Scottish Parliament and to Scotland.
"As First Minister he discharged his responsibilities with diligence and tackled all his challenges with assiduous determination.
"We wish him well for the future as he takes on new and exciting challenges which are clearly close to his heart."
Scottish Liberal Democrats leader Nichol Stephen added: "To be First Minister of a coalition government of two parties was a difficult challenge.
"Jack McConnell was prepared to put aside narrow party political dogma to seek to build consensus on a positive way forward for Scotland."
Mr McConnell's predecessor Henry McLeish, who quit as First Minister in 2001 in the "Officegate" affair, said Mr McConnell had given the Scottish Parliament "status" and "legitimacy".
He acknowledged Wendy Alexander was the front-runner to succeed Mr McConnell.
"I think she is the favourite and I think she would be a good choice.
"That doesn't mean to say there should not be alternatives," he said.
She had a "formidable" intellect and had matured over the last decade.
"I suspect people grow into a job and if Wendy is successful, she will take Labour hopefully in a different direction.
"The good thing is she has the confidence of Westminster - the main thing is she should not be too much dictated to by that."
Mr McConnell's replacement will be the fourth Scottish leader since 1999.
From sheep farm to top Scottish politician
BORN in Irvine in 1960, Jack McConnell grew up on a sheep farm in Arran before attending the University of Stirling, where he served as president of the Students Association.
He became a maths teacher before entering politics as a councillor in 1984, working his way up to become general secretary of the Scottish Labour Party in 1992.
In this role he managed Scottish Labour's 1997 Westminster election success and co-ordinated the party's "Yes Yes" devolution referendum campaign.
Following Henry McLeish's departure, he took over as First Minister in 2001.
Mr McConnell has been widely tipped to win a place in the House of Lords in the New Year's Honours list.
He is married to Bridget and has one daughter and a son.
His son Mark hit the headlines in 2006 when the Evening News revealed how Mark's friend Euan MacDonald had posted video footage of himself cavorting around the First Minister's official residence Bute House in a dressing gown.
MacDonald was forced to apologise for filming the footage and posting it on the internet without telling Mark.
£60 million scheme to help with education and health
BILL CLINTON and Tom Hunter launched the Clinton Hunter Development Initiative (CHDI) in Malawi's capital Lilongwe in 2006.
The scheme will invest around £60 million over ten years in Malawi and Rwanda to help local communities develop a sustainable economy through support for education, health, water and sanitation.
Mr McConnell will lead research and project development on educational services in both countries.
He was behind an agreement with Malawi in 2005 that involved Scotland offering practical help to the African nation in areas such as health, education, and economic development.
The two countries have ties going back 150 years to the work of missionary and explorer David Livingstone.
Bruce Lindsey, chief executive of the Clinton Foundation and board member of CHDI, said: "The Clinton Foundation strongly supports CHDI's mission to promote economic growth in Rwanda and Malawi.
"As another step in that direction, we welcome Jack McConnell's generous contribution of his time and energy to work with local partners and identify programmes that can strengthen education in these countries."
The former First Minister is to take on a voluntary role, heading up education programmes in both Malawi and Rwanda.
It was announced later Mr McConnell would become the next British High Commissioner to Malawi after being nominated by Prime Minister Gordon Brown.
The former teacher and Education Minister has long held an interest in Africa, and two years ago launched a Scottish Executive programme to help tackle poverty in Malawi.
He will join the Clinton Hunter Development Initiative (CHDI), working with the former US President and the Scottish entrepreneur in their drive to tackle poverty, climate change and key world issues.
Mr McConnell, who is tipped for a peerage in the New Year's Honour's list, told the Evening News today: "My two great passions are education and tackling poverty in Africa, so if there is anything I could have chosen to do then it would have been this. It's an absolute dream job."
Announcing his resignation at a ten-minute press conference in Our Dynamic Earth later, he said it had been "an honour" to lead the party since the early years of devolution.
"Scotland is a far better place now than it was six years ago. We are more prosperous and more confident as a nation.
"But today, after accepting an offer last week to help improve education for some of the poorest children in the world, I am resigning from my position as Labour Leader in Scotland with immediate effect.
"All my life I've wanted a Scottish Parliament, and a chance to change Scotland. I'm pleased to have made my contribution to that."
He added: "The Scottish Labour Party needs to respond to the election defeat in May and hear what the Scottish people had to tell us.
"We need to re-engage with our people to develop the policies and the approach which will rebuild our support, because those with the least need us to be successful."
Sir Tom welcomed Mr McConnell to the new role with CHDI , which will see him lead research and project development on educational services in the two countries.
"The Board of CHDI welcomes Jack and looks forward to his contribution to our thinking and strategy in regards to supporting educational development in Rwanda and Malawi," he said.
"Jack's credentials in addressing this huge challenge require no explanation.
"It's now all about rolling up the sleeves and getting on with assisting us and our government partners in defining a sustainable, scalable and affordable solution to the challenges both countries face in education."
Just hours after Mr McConnell formally stepped down, the Prime Minister announced his intention to make Mr McConnell a high commissioner.
Mr McConnell will continue serve as MSP while the current High Commissioner, Richard Wildash, completes his posting, scheduled to end in 2009.
The President of Malawi also welcomed the proposal.
“I’ve received a very kind offer from the Prime Minister to have a role in the future in Malawi that would be very special,” Mr McConnell said. “I’m delighted to accept that opportunity.
“I’m sure in addition to representing the UK government there, it would be a real opportunity to further enhance the relationship between Scotland and Malawi and to support those thousands of Scots that are now involved in partnerships with Malawian organisations and people from Malawi on the ground.”
Mr Brown said today Scotland had developed a special connection with the people of Malawi and said Mr McConnell would be suited to the role of High Commissioner.
“I know he cares passionately about two of the great issues of international development – the relief of poverty and the provision of education.
“I believe that he will make an excellent representative of the United Kingdom Government in Malawi and I am pleased he has accepted the Government’s offer of the position of High Commissioner to Malawi, after the present High Commissioner completes his posting at an appropriate moment.”
The appointment is subject to approval of the Queen.
Former Justice Minister Cathy Jamieson takes over as interim leader of the party, though shadow finance minister Wendy Alexander is almost certain to succeed Mr McConnell, with the new leader in place by the end of next month. Sources confirmed today that both former Health Minister Andy Kerr and former Parliament Minister Margaret Curran had ruled themselves out.
The only uncertainty is whether another candidate will stand to ensure there is a contest, with suggestions that Edinburgh North and Leith MSP Malcolm Chisholm may throw his hat in the ring.
Ms Alexander said: "The whole of Scotland owes Jack McConnell an enormous debt of gratitude. This is the right moment for myself, the Labour Party and Scotland to say thank you."
Ms Alexander would not be drawn on her own future other than to say: "It is Jack's moment and there will be plenty of time to talk about the future."
Tributes to Mr McConnell's reign as Labour leader came from across the political spectrum.
First Minister Alex Salmond said: "I extend Jack McConnell every good wish for the future.
"He once said that the job of First Minister was to leave Scotland a better place than he found it. With the smoking ban and his work in Malawi he has certainly done that.
"Addressing Scotland's poor public health record and extending Scotland's horizons abroad will also be regarded as substantial achievements."
Scots Tory leader Annabel Goldie said: "Whilst the Scottish Conservatives and Jack McConnell disagreed on many aspects of domestic policy, we never doubted his wholehearted commitment to devolution, to the Scottish Parliament and to Scotland.
"As First Minister he discharged his responsibilities with diligence and tackled all his challenges with assiduous determination.
"We wish him well for the future as he takes on new and exciting challenges which are clearly close to his heart."
Scottish Liberal Democrats leader Nichol Stephen added: "To be First Minister of a coalition government of two parties was a difficult challenge.
"Jack McConnell was prepared to put aside narrow party political dogma to seek to build consensus on a positive way forward for Scotland."
Mr McConnell's predecessor Henry McLeish, who quit as First Minister in 2001 in the "Officegate" affair, said Mr McConnell had given the Scottish Parliament "status" and "legitimacy".
He acknowledged Wendy Alexander was the front-runner to succeed Mr McConnell.
"I think she is the favourite and I think she would be a good choice.
"That doesn't mean to say there should not be alternatives," he said.
She had a "formidable" intellect and had matured over the last decade.
"I suspect people grow into a job and if Wendy is successful, she will take Labour hopefully in a different direction.
"The good thing is she has the confidence of Westminster - the main thing is she should not be too much dictated to by that."
Mr McConnell's replacement will be the fourth Scottish leader since 1999.
From sheep farm to top Scottish politician
BORN in Irvine in 1960, Jack McConnell grew up on a sheep farm in Arran before attending the University of Stirling, where he served as president of the Students Association.
He became a maths teacher before entering politics as a councillor in 1984, working his way up to become general secretary of the Scottish Labour Party in 1992.
In this role he managed Scottish Labour's 1997 Westminster election success and co-ordinated the party's "Yes Yes" devolution referendum campaign.
Following Henry McLeish's departure, he took over as First Minister in 2001.
Mr McConnell has been widely tipped to win a place in the House of Lords in the New Year's Honours list.
He is married to Bridget and has one daughter and a son.
His son Mark hit the headlines in 2006 when the Evening News revealed how Mark's friend Euan MacDonald had posted video footage of himself cavorting around the First Minister's official residence Bute House in a dressing gown.
MacDonald was forced to apologise for filming the footage and posting it on the internet without telling Mark.
£60 million scheme to help with education and health
BILL CLINTON and Tom Hunter launched the Clinton Hunter Development Initiative (CHDI) in Malawi's capital Lilongwe in 2006.
The scheme will invest around £60 million over ten years in Malawi and Rwanda to help local communities develop a sustainable economy through support for education, health, water and sanitation.
Mr McConnell will lead research and project development on educational services in both countries.
He was behind an agreement with Malawi in 2005 that involved Scotland offering practical help to the African nation in areas such as health, education, and economic development.
The two countries have ties going back 150 years to the work of missionary and explorer David Livingstone.
Bruce Lindsey, chief executive of the Clinton Foundation and board member of CHDI, said: "The Clinton Foundation strongly supports CHDI's mission to promote economic growth in Rwanda and Malawi.
"As another step in that direction, we welcome Jack McConnell's generous contribution of his time and energy to work with local partners and identify programmes that can strengthen education in these countries."
Malawi budget debate starts without opposition
Malawi's parliament began debating the annual budget on Wednesday without opposition deputies who boycotted the session in a row that is putting at risk donor aid and key services.
The debate should have been concluded by June 30, to allow 2007/08 budget spending in the poor southern African country, but discussion was suspended last month because of the spat over the alleged poaching of opposition members by the ruling party.
President Bingu wa Mutharika threatened on Tuesday to close parliament if lawmakers did not start debating the budget within two days, and speaker Louis Chimango ordered legislators to start the discussion on Tuesday evening.
Ruling party deputies began discussing the budget early on Wednesday but opposition legislators -- who have boycotted the debate until the poaching dispute is settled -- sat in silence.
"We are going to decide whether we will join the debate or not this afternoon," opposition leader John Tembo told Reuters.
Finance Minister Goodall Gondwe warned in an interview with Reuters this week that the country of 12 million risked losing crucial donor budget aid if the stand-off continued. If no budget is passed quickly, essential services could be cut off.
The draft budget allocates more resources to poor rural areas, proposes salary increases for civil servants and higher spending on health care and food production.
Malawi relies heavily on donor support for its public spending. Gondwe said the country was expecting $500 million of foreign aid for its $1.2 billion budget.
The government rejected on Monday a proposal by the opposition United Democratic Front and Malawi Congress Party, who together hold the majority in the House, to adopt a temporary three-month budget that would allow for public spending while the political dispute over their members is resolved.
The debate should have been concluded by June 30, to allow 2007/08 budget spending in the poor southern African country, but discussion was suspended last month because of the spat over the alleged poaching of opposition members by the ruling party.
President Bingu wa Mutharika threatened on Tuesday to close parliament if lawmakers did not start debating the budget within two days, and speaker Louis Chimango ordered legislators to start the discussion on Tuesday evening.
Ruling party deputies began discussing the budget early on Wednesday but opposition legislators -- who have boycotted the debate until the poaching dispute is settled -- sat in silence.
"We are going to decide whether we will join the debate or not this afternoon," opposition leader John Tembo told Reuters.
Finance Minister Goodall Gondwe warned in an interview with Reuters this week that the country of 12 million risked losing crucial donor budget aid if the stand-off continued. If no budget is passed quickly, essential services could be cut off.
The draft budget allocates more resources to poor rural areas, proposes salary increases for civil servants and higher spending on health care and food production.
Malawi relies heavily on donor support for its public spending. Gondwe said the country was expecting $500 million of foreign aid for its $1.2 billion budget.
The government rejected on Monday a proposal by the opposition United Democratic Front and Malawi Congress Party, who together hold the majority in the House, to adopt a temporary three-month budget that would allow for public spending while the political dispute over their members is resolved.
Budget discussions under way in Malawi
Malawian lawmakers finally kicked off a budget debate on Tuesday after a one-and-a-half month stalemate and a threat from the president that he would dissolve parliament.
"The government bench started the debate after mediation efforts," parliamentary spokesperson Leonard Mengezi told AFP. "The MPs will debate the budget for 21 days before approving it."
Mengezi said the powerful opposition, which has flatly refused to debate the budget over the past weeks, remained quiet in the House and did not contribute to the debate.
"There will be hiccups here and there, but this is a good sign that debate has finally started," said Mengezi, in reference to the political stand-off.
The debate began after President Bingu wa Mutharika threatened earlier Tuesday to dissolve the House within two days if debate failed to take place.
Mutharika and the opposition have been at loggerheads for weeks over the budget debate, with opposition deputies calling for the expulsion of 41 lawmakers who defected to government benches before the debate can proceed.
Mutharika, who is often undermined by the country's powerful opposition, said the 193-member House had "abrogated its responsibility and become irrelevant for the development of this country."
"The government bench started the debate after mediation efforts," parliamentary spokesperson Leonard Mengezi told AFP. "The MPs will debate the budget for 21 days before approving it."
Mengezi said the powerful opposition, which has flatly refused to debate the budget over the past weeks, remained quiet in the House and did not contribute to the debate.
"There will be hiccups here and there, but this is a good sign that debate has finally started," said Mengezi, in reference to the political stand-off.
The debate began after President Bingu wa Mutharika threatened earlier Tuesday to dissolve the House within two days if debate failed to take place.
Mutharika and the opposition have been at loggerheads for weeks over the budget debate, with opposition deputies calling for the expulsion of 41 lawmakers who defected to government benches before the debate can proceed.
Mutharika, who is often undermined by the country's powerful opposition, said the 193-member House had "abrogated its responsibility and become irrelevant for the development of this country."
Pastor takes unique approach to evangelism in Malawi
Malawi (MNN) ― Grace Ministries International's Sam Vinton says Pastor Kennedy Simtowe (sim-TOE-ee) is in Malawi heading up "Harvest Time Mission," which is involved in expanding GMI ministries into the neighboring countries.
This came in the years following dedicated work in Zambia. According to GMI, in 1997 Simtowe was working with another GMI team, Dan and Tina Moyer in Zambia. Together, they started Zambia Grace Bible Institute as the training center for the GMI churches.
Then in 2005 came another vision and another call to train leaders and plant churches in the country of Malawi. Simtowe, together with his wife Sofia and their four children, left their work in Zambia and moved to Malawi.
Vinton says Simtowe holds seminars for the area church leaders and then takes them out to witness in the villages, resulting in a kind of revival. "He's also moving into going with a team and doing open air meetings in villages. At the end of July, in the southern part of the country where he did this for two weeks, he had over 2,000 people who attended and close to 600 who made professions of faith in Christ in the various villages."
All the new converts of each village are brought together, and grace church leaders from the area were appointed to teach each new group. Vinton explains, "The thing that he has done is to establish what he calls 'preaching points.' So when he gets a number of people to come to Christ, he will put them all into a Bible study, get an elder, and then his job then becomes following up on them by teaching them and preparing them and getting the group to grow."
GMI reports that the training center in Lilongwe is offering module programs for the leadership of the churches. Two Malawians are studying at the Zambia Grace Bible Institute in Kabwe, Zambia. Several churches have been planted in Lilongwe and several elsewhere plus 20 preaching points which will eventually become church plants. Praise God for the power of the Gospel and the Simtowes' evangelistic zeal.
This came in the years following dedicated work in Zambia. According to GMI, in 1997 Simtowe was working with another GMI team, Dan and Tina Moyer in Zambia. Together, they started Zambia Grace Bible Institute as the training center for the GMI churches.
Then in 2005 came another vision and another call to train leaders and plant churches in the country of Malawi. Simtowe, together with his wife Sofia and their four children, left their work in Zambia and moved to Malawi.
Vinton says Simtowe holds seminars for the area church leaders and then takes them out to witness in the villages, resulting in a kind of revival. "He's also moving into going with a team and doing open air meetings in villages. At the end of July, in the southern part of the country where he did this for two weeks, he had over 2,000 people who attended and close to 600 who made professions of faith in Christ in the various villages."
All the new converts of each village are brought together, and grace church leaders from the area were appointed to teach each new group. Vinton explains, "The thing that he has done is to establish what he calls 'preaching points.' So when he gets a number of people to come to Christ, he will put them all into a Bible study, get an elder, and then his job then becomes following up on them by teaching them and preparing them and getting the group to grow."
GMI reports that the training center in Lilongwe is offering module programs for the leadership of the churches. Two Malawians are studying at the Zambia Grace Bible Institute in Kabwe, Zambia. Several churches have been planted in Lilongwe and several elsewhere plus 20 preaching points which will eventually become church plants. Praise God for the power of the Gospel and the Simtowes' evangelistic zeal.
For Malawi girls, high school is only the first hurdle
Matilda Chakaka is about to become the first girl from her village to finish high school. Her usually serious face breaks into a quick, shy smile. "I am better in biology than my parents and also better in math." She considers. "And in reading, too. Even that."
Two years ago, following a story in the Monitor about what it's like to live on $1 a day in the rural Malawian village of Bowa, readers wrote in asking how they could help. Within days, 20 readers contributed $1,500, and a small fund was soon set up to send a few of the village's girls to secondary [high] school. This fall, the first of those girls – Matilda – is scheduled to graduate.
The project spawned a small aid group unaffiliated with the Monitor that has hundreds of supporters and ambitious plans to double donations by next year. Today, the Advancement of Girls Education Fund (AGE) has a new executive director, an advisory board, four volunteers, and, with the help of a local Malawian partner group, it is sending 17 girls to school, five of them from Bowa.
"Children should be in school, they should be exploring," says Marisol Pérez, an education team leader for the US Agency for International Development in Malawi. "And whether it's USAID, large private foundations, or a small [nongovernmental organization] like AGE – they are all addressing real needs and it all helps."
In 1994, primary education in Malawi became essentially free, but secondary school tuition still costs about $200 a year, putting it out of reach of the average Malawian, who lives on less than $160 per year.
Moreover, the gender gap remains high, with those who can afford to send a child to secondary school typically choosing to send sons, who, it is believed, will later have higher earning power.
Twenty percent of Malawian boys graduate from secondary school, while only 11 percent of the country's girls do, according to the Malawian statistics office.
AGE estimates it costs about $725 a year to send a girl to secondary school, taking into account books, school and personal supplies uniforms, and pocket money.
To raise the money for these scholarships, AGE has so far relied on small independent donations – $20 here, $40 there – to keep going.
It's not an easy system to sustain, and it's unclear whether AGE will be able to take more scholars into the program come the new term.
But those involved are planning new fundraising efforts and grant applications. They are ambitious to remain independent and even expand. "We make sure to keep our overheads low," says Sarah Lamce, AGE's volunteer operations director. "And we are focused on these girls, each and every one."
Two years ago, following a story in the Monitor about what it's like to live on $1 a day in the rural Malawian village of Bowa, readers wrote in asking how they could help. Within days, 20 readers contributed $1,500, and a small fund was soon set up to send a few of the village's girls to secondary [high] school. This fall, the first of those girls – Matilda – is scheduled to graduate.
The project spawned a small aid group unaffiliated with the Monitor that has hundreds of supporters and ambitious plans to double donations by next year. Today, the Advancement of Girls Education Fund (AGE) has a new executive director, an advisory board, four volunteers, and, with the help of a local Malawian partner group, it is sending 17 girls to school, five of them from Bowa.
"Children should be in school, they should be exploring," says Marisol Pérez, an education team leader for the US Agency for International Development in Malawi. "And whether it's USAID, large private foundations, or a small [nongovernmental organization] like AGE – they are all addressing real needs and it all helps."
In 1994, primary education in Malawi became essentially free, but secondary school tuition still costs about $200 a year, putting it out of reach of the average Malawian, who lives on less than $160 per year.
Moreover, the gender gap remains high, with those who can afford to send a child to secondary school typically choosing to send sons, who, it is believed, will later have higher earning power.
Twenty percent of Malawian boys graduate from secondary school, while only 11 percent of the country's girls do, according to the Malawian statistics office.
AGE estimates it costs about $725 a year to send a girl to secondary school, taking into account books, school and personal supplies uniforms, and pocket money.
To raise the money for these scholarships, AGE has so far relied on small independent donations – $20 here, $40 there – to keep going.
It's not an easy system to sustain, and it's unclear whether AGE will be able to take more scholars into the program come the new term.
But those involved are planning new fundraising efforts and grant applications. They are ambitious to remain independent and even expand. "We make sure to keep our overheads low," says Sarah Lamce, AGE's volunteer operations director. "And we are focused on these girls, each and every one."
Malawi leader threatens to close parliament
Malawi President Bingu wa Mutharika has threatened to close parliament if a budget crisis threatening to cut off services in the impoverished nation was not resolved within two days.
The 2007-2008 budget debate, which should have been concluded by June 30, was suspended last month because the opposition first wanted a dispute over the poaching of its members by the ruling party settled.
"I am giving them two days - today and tomorrow - and if today and tomorrow they do not start discussing seriously the budget, I am closing down the Parliament," Mr Mutharika said in a speech monitored on state radio.
"Parliament, especially the opposition, has abrogated their responsibility and as such they have therefore become irrelevant for the development of this country."
Leaders in parliament are meeting to discuss what to do.
Finance Minister Goodall Gondwe says that the southern African country risked losing donor budget aid if the stand-off continued.
"We are in a financial crisis and further delays to pass the budget will be catastrophic, as donors will not be forthcoming to put financial support to the budget," Mr Gondwe said.
On Monday, the Government rejected a proposal by the opposition to adopt a temporary three-month budget that would allow for public spending while the political dispute over the opposition's members was being resolved.
The draft 2007-2008 budget allocates more resources to poor rural areas, proposes salary increases for civil servants and allows higher spending on health care and food production.
Malawi relies heavily on donor support for its public spending.
Mr Gondwe said the country was expecting $US500 million of foreign aid for its $US1.2 billion budget.
Frustrations have been growing in the southern African nation of 12 million people as the political stand-off deepened, and thousands have taken part in demonstrations.
The 2007-2008 budget debate, which should have been concluded by June 30, was suspended last month because the opposition first wanted a dispute over the poaching of its members by the ruling party settled.
"I am giving them two days - today and tomorrow - and if today and tomorrow they do not start discussing seriously the budget, I am closing down the Parliament," Mr Mutharika said in a speech monitored on state radio.
"Parliament, especially the opposition, has abrogated their responsibility and as such they have therefore become irrelevant for the development of this country."
Leaders in parliament are meeting to discuss what to do.
Finance Minister Goodall Gondwe says that the southern African country risked losing donor budget aid if the stand-off continued.
"We are in a financial crisis and further delays to pass the budget will be catastrophic, as donors will not be forthcoming to put financial support to the budget," Mr Gondwe said.
On Monday, the Government rejected a proposal by the opposition to adopt a temporary three-month budget that would allow for public spending while the political dispute over the opposition's members was being resolved.
The draft 2007-2008 budget allocates more resources to poor rural areas, proposes salary increases for civil servants and allows higher spending on health care and food production.
Malawi relies heavily on donor support for its public spending.
Mr Gondwe said the country was expecting $US500 million of foreign aid for its $US1.2 billion budget.
Frustrations have been growing in the southern African nation of 12 million people as the political stand-off deepened, and thousands have taken part in demonstrations.
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