Retired public servants under the Public Pensioners Forum (PPF) have pleaded with the government, through the Ministry of Finance, to consider increasing the allocation of pension funds to clear outstanding gratuity arrears for pensioners in the country.
Dyson Mutipe, the Forum’s Chairperson, noted that government disbursement of pension funds has been slow due to inadequate allocation in the national budget, adding that the Forum still records outstanding gratuity arrears for pensioners from 2023 to 2025.
While appreciating the K196 billion pension allocation that was revised during the previous mid-year budget review, Mutipe pointed out that the funds are still inadequate to meet the high demand. He therefore called for increased allocation to address the slow disbursement, a development that has left retirees failing to access their income on time.
“We appreciate the K196 billion revised in the last mid-year budget review, but the funds cannot suffice for all retirees. We need more budget allocation,” Mutipe said.
For years, retired public servants have complained that delays by the government in paying gratuities subject them to hardship and short-change them, as their retirement packages lose value due to currency devaluation.
Reports indicate that as of January 2026, there was a significant backlog of pension gratuities in the country, with over 7,000 pensioners previously waiting for their payments.
However, the government pledged to embark on a mass payment exercise to clear all outstanding pension arrears dating back to 2023. The Minister of Finance, Economic Planning and Decentralization, Joseph Mwanamvekha, made the assurance in November last year.
“I share the concern that retirees who served the nation devotedly are suffering due to financial challenges,” Mwanamvekha said.
He said; “Let me assure you that with the government’s support through the K196 billion allocation in the 2025/26 financial budget, we will clear the accumulated gratuity payments on a first-come, first-served basis."
Public pension funds in Malawi are primarily managed through the Public Service Pension Trust Fund (PSPTF).
Meanwhile, many Malawians, including retired public servants, are hopeful as the 2026/27 Parliamentary session is set to commence on Friday the 13th this week. President Arthur Peter Mutharika is expected to deliver his second State of the Nation Address since his victory in the September 16, 2025 general election.
