Finance Minister Ken Kandodo Banda made the announcement on Friday 28 May 2010 when he presented the K297 billion 2010-2011 national budget.
The minister reminded the House that order to ensure that certain services of the Malawian economy are provided, the government established public entities through which such services are being provided in the hope that such these services should be provided efficiently, effectively and sustainably.
"As the honourable House is aware, despite various measures the government has undertaken in the past to achieve these objectives, a number of entities have remained inefficient and ineffective," he said.
Banda said in order to improve the delivery of public goods and services of these entities within the 2010/11 financial year, government has decided to streamline and rationalize the sub-vented organisations which has affected the autonomous existence of TVM and MBC.
Some of the parastatals that have been affected include the Malawi Export Promotion Council (MEPC) and Malawi Investment Promotion Agency (MIPA) which have been dissolved and their functions merged into a new entity called the Malawi Trade and Investment Centre.
The Small Enterprise Development Organisation of Malawi (SEDOM), Malawi Entrepreneurs Development Institute (MEDI) and the Development of Malawi Traders' Trust (DEMAT) have also been dissolved and their functions have merged into a new entity called the Small and Medium Enterprise Board.
Last month Minister of Information and Civic Education Leckford Thoto announced that the merger of Malawi's two state-owned broadcasters the Malawi Television and the Malawi Broadcasting is near completion.
A task force comprising officials from the department of Public Reforms in the office of the president and cabinet and the two institutions were said to be working on the final modalities.
The minister did not elaborate whether the dissolution of TVM was as a result of the ground work that was being carried out before the merger.
