CFTC lauds the approval of ‘new legislation’

Hopes have been raised of improved enforcement of best trading practices and consumer protection, as the Competition and Fair Trading Act of 2024 becomes effective today 1st July.

This follows the passing of the new legislation by Parliament in April, 2024, which was assented to by President, Lazarus Chakwera on 19th May 2024, replacing that of 1998 which had many loopholes in its enforcement.

The CFTA of 2024 has provisions on competition regulations, consumer protection, abuse of buyer power and penalties for violations of competition and fair trading practices.

Meanwhile Lloyds Vincent Nkhoma, Chief Executive Officer for the Competition and Fair Trading Commission said the CFTA of 2024 among other things gives express powers to the commission to issue Administrative Orders, which include imposing fines on errant enterprises.

According to the new Act, the fines to be imposed will be up to 5% of annual turnover if it is an individual; or up to 10% of annual turnover for a company.

 

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