Context
Malawi remains one of the poorest countries in the world and is facing complex economic challenges. Investment is hampered by multiple currency devaluations and a foreign currency shortage. On top of this, the country’s agriculture-based economy is suffering from the impacts of climate change, and world market prices are fluctuating.
In addition, despite its democratic stability, the country continues to be affected by corruption and inadequate economic empowerment of women and young people.
The Malawi 2063 development agenda is intended to change this.
Objective
The competitiveness of micro, small and medium-sized enterprises (MSMEs) is improved in Malawi, paving the way for higher incomes, greater employment and long-term economic development.
Approach
The project supports the national development goals set out in Malawi 2063 and the African Union’s Agenda 2063. It works closely with Malawi’s Ministry of Trade and Industry, Ministry of Tourism and Ministry of Natural Resources and Climate Change. Together with the ministries, it produces policies and strategies to promote the private sector in agriculture, tourism and environmentally friendly building materials.
The project identifies regulatory obstacles through public-private dialogues and develops solutions to improve the business and investment climate. It is also expanding the range of services available, such as advisory services on marketing and technology transfer, which enable companies to boost their competitiveness. There is a focus on climate-smart practices and innovations, which promote climate resilience and sustainability through pilot projects.
The project improves companies’ integration into value chains and creates prospects for income and employment. Certain aspects of implementation are supported by Agriculture Finance Consultants International (AFCi).