AGP Executive Report

Digital Payments: PayChangu has secured a Reserve Bank of Malawi licence to offer payment aggregation nationwide, supporting the growth of electronic transactions for businesses and consumers. Food and Agriculture: Growers marked World Food Day amid high input costs and low maize prices. The IMF warns that further shocks, including higher fertiliser costs and El Niño, could worsen food insecurity and push up prices. Fuel Supply: Consumer advocate John Kapito is calling for private companies to be allowed to import fuel, arguing that opening the market could ease shortages disrupting households, businesses and essential services. Mining and Investment: Malawi is among eight countries in the World Bank’s new critical-minerals initiative, which aims to build local industries and retain more value from resources. Lindian Resources’ Kangankunde rare-earth project is also advancing towards a planned December production start. Power Infrastructure: EGENCO is seeking an engineering firm to oversee a 4.5-megawatt extension at Wovwe hydropower station in Karonga.

Fuel Supply: Consumer leader John Kapito is urging Malawi to open fuel imports to private companies as shortages leave motorists queuing for hours and disrupt businesses and essential services. Women in Business: CTS Courier and SMEDCO trained more than 500 women in Zomba in food processing, soap-making and financial management, with cooperatives and expansion to Lilongwe and Mzuzu planned. Mining and Local Value: The World Bank aims to quintuple its critical-minerals business over five years; Malawi is among eight countries with plans to build local industries, skills and jobs and retain more value from mineral resources. Infrastructure: A K15 billion Lilongwe road package includes a new Lingadzi River bridge and 800 metres of road, intended to cut congestion and travel delays. Agriculture: Only 19% of registered tobacco growers had enrolled in the Know Your Grower programme by its extended deadline, raising concerns about crop traceability. Food Safety: A study found adulteration in 91% of raw milk samples tested in informal markets, intensifying calls for stronger consumer protection and enforcement.

Mining and Minerals: The World Bank plans to quintuple its critical-minerals business over five years, with Malawi among eight countries that have launched plans to build local industries and retain more value. At Lindian Resources’ Kangankunde rare-earths project, construction is advancing towards first concentrate production in December; stockpiles have reached 149,000 tonnes. Power: EGENCO is seeking an engineering firm for a 4.5MW extension at Wovwe hydropower station in Karonga. Transport: A new Lingadzi bridge and road link is expected to ease Lilongwe congestion; it forms part of a K15 billion package of city infrastructure projects. Agriculture and Food: Just 19% of registered tobacco growers had enrolled in the Know Your Grower programme by its extended deadline. Separately, a study found 91% of sampled raw milk was adulterated, raising food-safety and consumer concerns. Health Services: NBM and Press Trust have invested K1.4 billion in a Ntcheu health centre expected to serve more than 15,000 people.

Tourism and Forex: The EU is urging Malawi to develop tourism as a source of foreign exchange, with a new ecotourism partnership expected to support small businesses and skills. Food Safety: A study found 91% of 384 raw milk samples from Lilongwe, Thyolo and Karonga were adulterated, raising concerns about consumer safety and lost nutritional value. Energy: EGENCO is seeking an engineering firm for a 4.5MW hydropower extension at Wovwe in Karonga; the project would add to planned Salima and Mzimba power projects set to bring 125MW onto the grid. Transport: Work has begun on a K15 billion Lilongwe infrastructure package, including a bridge and road linking Areas 47 and 49 to ease congestion and cut delays for residents and businesses. Agriculture: Only 19% of registered tobacco growers had enrolled in the Know Your Grower programme by the extended deadline, posing a challenge for crop traceability. Mining: Lindian says its Kangankunde rare earths project remains on track for first monazite concentrate in December, with construction advancing and ore stockpiles growing.

Tobacco: Just 55,851 of Malawi’s 293,205 recorded tobacco growers—19%—have registered under the Know Your Grower programme. Field registration is due to end today, with registration continuing at Tobacco Commission offices. Mining: Lindian Resources says its Kangankunde rare earths project remains on track for first concentrate in December. Ore stockpiles have reached about 149,000 tonnes, and site power-up is targeted for early November. Infrastructure: Lilongwe’s K15 billion road and bridge package aims to ease congestion and reduce delays that affect businesses and workers. The council says the work must meet cost, safety and delivery standards. Gold: Malawi’s plan to buy artisanal gold faces questions over unverified estimates of losses to smuggling and an offtake agreement with the Reserve Bank that is still pending. Agriculture: The Greenbelt Authority is seeking K44 billion for a proposed 2,000-hectare Salima irrigation scheme, with a target of 100,000 tonnes of maize.

Mining: Lindian Resources says its Kangankunde rare earths project remains on track for first monazite concentrate in December. Ore stockpiles have reached 149,000 tonnes, with site power-up targeted for early November. Public Finance: German-supported tax audits helped the Malawi Revenue Authority generate more than K40 billion in additional revenue in 2025–26. Agribusiness: NICO Group subsidiaries and GIZ are investing K40 million to help agricultural MSMEs turn business training into growth. The Greenbelt Authority is seeking K44 billion for a Salima irrigation scheme designed to produce 100,000 tonnes of maize. Energy and Trade: Fuel shortages continue as global costs rise, prompting calls to review pump prices. Mining Governance: Economists say Malawi needs stronger oversight and transparency to retain more value from its mineral wealth; questions also remain over the gold scheme’s unverified estimate of annual smuggling losses.

Rare Earths: Lindian Resources says construction at its Kangankunde project is advancing, with first monazite concentrate targeted for December. The milestone could bring Malawi closer to producing minerals used in magnets. Economic Outlook: The IMF projects Malawi’s growth will slow to 2.3% in 2027, citing foreign-exchange shortages that restrict imports of energy, food and fertiliser. Farm Inputs: Farmers say uncertainty over when subsidised fertiliser will reach selling points is disrupting their plans, despite the supplier reporting 62,000 tonnes in stock. Mining Reform: Economist Chifipa Mhango has called for an overhaul of the sector’s rules and institutions, with stronger transparency and safeguards for national interests. Electricity: ESCOM has signed agreements for projects in Salima and Mzimba expected to add 125MW to the grid. Productive Capacity: A UN index ranks Malawi 186th out of 195 economies, highlighting weak transport, energy and private-sector capacity as barriers to growth.

Farm Inputs: Farmers say delays in the 2026–27 subsidy programme are disrupting plans, despite the fertiliser fund reporting 62,000 tonnes in stock. Distribution is set to begin in seven districts, but no timetable has been given. Water Services: Lilongwe residents in several townships have gone up to seven days without running water, prompting consumer groups to warn of health risks and demand restored supply. Housing: The Malawi Housing Corporation estimates its 250,000-home, 10-year plan will cost K20 trillion to K25 trillion, starting with 10,000 homes in December. Mining: Lindian Resources says Kangankunde is on track for first monazite concentrate by year-end, with plant commissioning targeted for late October. Energy: ESCOM has invited bids for a 20MW battery storage system in Mzuzu, while recent agreements could add 125MW of generation capacity. Fuel: A nationwide crackdown targets hoarders and illegal sellers as shortages and high prices continue to disrupt transport and business.

Power Investment: ESCOM has invited bids for a 20MW battery storage system in Mzuzu and signed grid connection agreements for proposed 75MW Salima and 50MW Mzimba power projects. The developments could strengthen supply for businesses, though delivery depends on construction and commissioning. Fuel Supply: A nationwide crackdown targets fuel hoarding and illegal sales as shortages drive long queues and higher transport costs. Agribusiness: The EU plans €143 million for soya and coffee processing, while Hope Field Initiative’s K25 billion farmers’ club programme aims to expand in Ntcheu; its organisers have acknowledged concerns over fair beneficiary selection. Sugar Industry: Government has filed a $15 million counterclaim against AUM Sugar over alleged mismanagement and improper payments at Salima Sugar. Mining: Fortuna Metals reported further high-grade rutile at its Mchinji project, adding to exploration activity in the district.

Fuel Supply: Malawi has launched a nationwide crackdown on hoarding and illegal fuel sales as shortages, driven by scarce foreign currency, leave truckers waiting days and push up bus fares. Power Investment: ESCOM has signed connection agreements for 75MW of thermal power and 50MW of solar, projects expected to ease blackouts and diversify supply. Mining: Kangankunde’s rare-earths project is moving towards commissioning, with ore stockpiled ahead of schedule and first concentrate targeted by year-end; a grid connection remains a key step. Agriculture: Hope Field Initiative plans 20 new farmers’ clubs in Ntcheu as part of a five-year, MK25 billion programme. Separately, tobacco grower registration has been extended to 17 October, with 49,229 of an estimated 191,000 growers registered by 12 October. Housing: Government’s K8.1 trillion plan targets 135,000 homes by 2031, but delivery will depend on attracting private investment.

Housing Finance: Malawi’s K8.1 trillion plan targets 135,000 homes by 2031, but delivery depends on private investment and public-private partnerships. Medicine Supply Chain: MPs sent Victoria Pharmaceuticals away from a theft and drug-quality inquiry for failing to provide basic company and licensing details, ordering officials to return prepared. Fuel Crisis: Authorities have stepped up a nationwide crackdown on illegal fuel sales as shortages keep motorists queuing and disrupt transport and business. Power Supply: Escom signed connection agreements for 125MW of new generation—75MW thermal and 50MW solar—to strengthen supply and reduce outages. Mining Investment: Kangankunde’s rare-earths project is moving towards commissioning, with a large ore stockpile ready; a grid connection remains key to its year-end production target. Agriculture: Malawi extended tobacco-grower registration to 17 October, while the UN warns El Niño could cut cereal harvests by 30% and leave four million people needing assistance.

Land and Housing: Malawi has launched a five-year plan to modernise land administration, expand affordable housing and manage urban growth, with the World Bank backing the strategy. Fuel and Transport: Authorities are cracking down on illegal fuel sales as shortages keep motorists queuing and push up costs for businesses and public transport. Mining: Lindian Resources says Kangankunde is moving towards commissioning, targeting its first monazite concentrate by year-end; a grid connection remains a key next step. Energy: ESCOM and project partners have signed agreements to connect a planned 50MW Mzimba solar plant, while Chisi Island’s solar minigrid shows how off-grid power can serve remote communities. Agriculture: The UN warns El Niño could cut Malawi’s 2026–27 cereal harvest by 30% and leave four million people needing assistance, urging early action on farm inputs and climate advice.

Fuel & Transport: Malawi’s fuel shortage has entered its second week, with motorists waiting days at stations as authorities crack down on illegal sales. The crisis is disrupting travel and business, while the trade union says black-market prices could reach K20,000 a litre. Rare Earths: Lindian says Kangankunde has built its ore stockpile ahead of schedule; connecting the site to power is the next key step as it targets first monazite concentrate by year-end. Roads: The Roads Fund Administration plans tollgates on all new Roads Authority roads to help pay for maintenance. Local Manufacturing: A cooking-oil factory in Machinga has resumed sunflower processing after 15 years, offering farmers a market and potential jobs. Energy: ESCOM has signed agreements to connect the planned 50MW Mzimba solar plant to the grid.

Telecoms: CAMA has asked MACRA to investigate Airtel and TNM over dropped calls, unreliable internet and delays in mobile-money transactions. Fuel Crisis: Lilongwe motorists are queuing for up to three days, disrupting travel, business and deliveries; CAMA warns that shortages are also enabling fuel price exploitation. Manufacturing: A cooking-oil factory in Machinga has resumed production after 15 years, processing sunflower and offering farmers a market for their crops. Mining: Rare-earth extraction is under way at Kangankunde, while construction advances toward first concentrate. Malawi’s gold-trading centres are also preparing to buy from local miners, aiming to curb smuggling and retain more export earnings. Energy: ESCOM has signed an agreement to connect a 50MW Mzimba solar plant to the grid. Agriculture: Fertiliser stocks stand at about 148,000 tonnes against estimated needs of 450,000–475,000 tonnes, raising concern for the coming planting season.

Fuel Disruption: Lilongwe motorists are waiting days for petrol as shortages enter a second week, disrupting businesses, school runs and goods deliveries. Farming & Inputs: Malawi has committed US$1 million to a seed investment plan, but fertiliser stocks are more than 300,000 tonnes below estimated annual needs, threatening the coming planting season. Public Procurement: The Anti-Corruption Bureau has blocked ADMARC’s proposed K2.97 billion contract for 100 tarpaulins while it investigates suspected corruption; the move does not establish wrongdoing. Mining: Mamico is preparing formal gold-buying centres to draw miners away from smugglers, but still needs financing and an offtake agreement. Separately, extraction has begun at the Kangankunde rare-earth mine, with local processing a stated goal. Power & Industry: ESCOM and Quantel have signed a connection agreement for a 50MW solar plant in Mzimba, a step towards adding power for industry and agriculture.

Fuel Supply: Malawi’s shortage is entering its second week, disrupting transport and pushing some motorists toward black-market fuel. NOCMA is seeking bids for 440,000 tonnes of fuel, but authorities have yet to say when supplies will stabilise. Farm Inputs: Fertiliser stocks stand at about 148,000 tonnes, against annual needs of up to 475,000 tonnes, while prices are rising. Malawi has committed US$1 million to a national seed investment plan, but AGRA warns that plans need funding and stronger delivery on farms. Mining: State-owned Mamico says its gold-buying centres are ready to open, pending an agreement with the Reserve Bank. The company also plans to mine and process gold next year to bring more trade into formal channels. Rare-earth extraction has begun at Kangankunde in Balaka, with the project expected to support investment and local processing. Power: ESCOM has signed connection agreements for a 50MW solar project in Mzimba and a 75MW multifuel plant in Salima, paving the way for projects intended to ease power shortages and support industry. Business Climate: Industry leaders say forex and energy constraints are eroding gains from lower inflation and weighing on businesses.