AGP Executive Report

Power Investment: ESCOM has signed grid-connection agreements for Quantel’s $50 million, 50MW solar plant in Mzimba and a 75MW multifuel plant planned for Salima. The latter is expected to boost baseload capacity and cut unserved energy, while developers warn paperwork delays can slow investment. Fuel Supply: Malawi’s shortage is entering its second week, disrupting transport and businesses. CAMA says black-market fuel is selling for K15,000–K20,000 a litre as NOCMA seeks bids for 440,000 tonnes of fuel. Public Procurement: The Anti-Corruption Bureau has stopped ADMARC from awarding a K3 billion contract for 100 tarpaulins while it investigates suspected corruption. The move does not establish wrongdoing. Mining: Kayelekera produced 332,000 pounds of uranium in its first year, below its planned ramp-up amid plant and sulphuric-acid supply problems. AuKing Mining also reported further high-grade rare-earth results at its Tundulu project, though exploration results do not guarantee a viable mine.

Mobile Money: Airtel Money shares slipped below their £1.96 IPO price in a muted London debut, despite strong demand. The service operates in Malawi and 12 other African countries. Economic Outlook: Government says Kwacha devaluation is not on the agenda in IMF talks; the Fund reports progress toward a possible new programme, but no deal is final. Fuel and Transport: Fuel shortages are raising travel costs and creating operational risks for businesses and events, despite assurances that regional stocks are adequate. Roads: Road levy arrears have fallen to K173 billion, but delayed payments have hampered maintenance. RFA says renewed collections helped it repay a K34.5 billion road loan early and fund rehabilitation. Mining: Kayelekera produced 332,000 pounds of uranium in its first year, below its ramp-up target, as plant reliability and sulphuric acid supply disrupted operations. Agriculture and Energy: Blantyre has received 25,067 farm-input subsidy coupons for distribution, while Mpatamanga’s resettlement programme has completed 28 of 48 homes ahead of planned December relocations.

Mining: AuKing Mining reported high-grade rare-earth hits across three areas of its Nathace Hill project in southern Malawi, including deeper mineralisation that could guide further drilling. Currency and Investment: Government says Kwacha devaluation is not part of IMF negotiations. The Fund reported progress toward a possible new programme, but no agreement has been reached. Fuel and Power: Fuel shortages are disrupting businesses, while the Malawi Congress of Trade Unions is urging urgent action. Power cuts are also constraining small firms: 90% of 362 surveyed businesses reported outages. Transport: Roads Authority plans K587.1 billion in contracts to rehabilitate the Chiweta–Karonga M1 stretch, a key route for fuel and goods. Energy Projects: Mpatamanga’s resettlement programme has completed 28 of 48 houses ahead of the planned 350MW hydropower project. Road Funding: Road levy arrears remain at about K173 billion, limiting funds for maintenance and contractor payments.

Power Projects: Mpatamanga hydropower developers have completed 28 of 48 resettlement homes, with relocation expected to start in December. Roads, boreholes and a school are also planned at the new sites. Fuel and Transport: Malawi’s fuel shortages continue to drive up travel costs, prompting the trade union congress to demand urgent action. Zambia’s energy regulator says its own stocks are adequate but warns regional supply remains exposed to international shocks. Roads: The Roads Authority intends to award K587.1 billion in contracts to rehabilitate the 105-kilometre Chiweta–Karonga section of the M1, a key route for goods and fuel from Tanzania. Agrifood: Government is urging private investment in farming and food processing to build local value chains and reduce reliance on imported processed products. An expected strong El Niño adds urgency: climate shocks have cut regional legume harvests by as much as 78%, raising risks for farmers and food supplies.

Fuel and Transport: Malawi’s shortages are driving up travel costs, with some Mzuzu–Nkhata Bay minibus fares reaching K30,000 and black-market fuel reportedly selling for K22,000 a litre. Public Spending: Parliament’s Public Accounts Committee questioned the use of US$13.9 million from Blantyre Water Board to help fund maize imports from Zambia, saying the money could have improved water services; it also urged more investment in domestic irrigation. Agrifood Investment: Government is courting private investors to expand processing, value addition and exports, as climate risks threaten bean harvests across the region. Finance: NBM has contributed K5 million to a financial dealers’ conference focused on liquidity and improving foreign-exchange availability. Industrialisation: The government says preparations are advancing for the delayed Magwero Industrial Park, a project projected to generate US$600 million in annual exports.

Industrial Investment: Government says the delayed Magwero Industrial Park is moving toward construction, with lead partner Arise IIP expected to finalize preparations and officials seeking more local investor participation. The planned hub targets textiles, pharmaceuticals and food processing, with projected annual exports of $600 million. Economic Reform: Economist Paul Gadama urged coordinated fiscal, monetary, trade and regulatory reforms, including directing borrowing toward productive investment and expanding exports and manufacturing. Food and Farming: Food security concerns are turning to the next harvest, as possible El Niño conditions threaten crops and fuel shortages disrupt grain transport. Maize bags are selling for K40,000 to K60,000 in several markets. Fuel and Logistics: The shortage is also raising costs for businesses and event organizers, while transporters warn poor roads delay deliveries and add towing expenses. Regional Finance: Malawi is hosting SADC financial regulators in Lilongwe to discuss stronger cooperation, financial inclusion and cross-border oversight of non-bank institutions.

Livestock & Hunger Rethink: A new push at the World Food Prize Borlaug Dialogue argues livestock must be treated as part of the solution to hunger and livelihoods—not just an emissions trade-off. Food Waste & Climate: UN-linked reporting warns rotting food waste can drive up to 10% of global greenhouse gases, pushing calls for methane-cutting waste systems. Public Health Tech: Google Earth AI is being used to spot disease risks earlier by combining satellite, weather and search signals. Fuel Crisis Pressure: Zambian police intercepted 19 Malawians in a petrol-smuggling bust aimed at Lilongwe, highlighting how shortages are driving risky coping. RBM Financial Reform: Reserve Bank of Malawi Governor George Partridge urged stronger SADC cooperation to regulate cross-border non-bank finance and protect savers. Local Industry & Jobs: SMEDCO opened applications for a January 2027 manufacturing/value-addition training intake in Phalombe, with support for business financing. Health System Strain: Malawi’s health ministry says medicine shortages are a crisis worsened by forex gaps and supplier debt, turning to local manufacturers via CMST. Energy & Power Reliability: Blackouts are disrupting businesses in places like Mchinji, with residents climbing to telecom towers to recharge phones. Climate Preparedness: DoDMA unveiled a K488bn El Niño plan but says it has only secured about a quarter of needed funding. Education & Skills: KUHes enters THE World University Rankings for 2027, while youth coverage flags graduate unemployment as a jobs mismatch problem. Governance & Accountability: ADMARC faces fresh scrutiny over a K2.97bn tarpaulin deal as questions swirl around pricing and connections. Pensions Update: Pro Veritas becomes Malawi’s first licensed Pension Advisor, expanding independent advisory services for pension funds and members.

Higher Education & Skills: Kamuzu University of Health Sciences (KUHes) enters the Times Higher Education World University Rankings 2027 for the first time, placing 39th in Africa and 9th in Southern Africa (1,201–1,400 globally), with strong scores in research quality and international outlook. Climate & Agriculture: Malawi’s Department of Climate Change and Meteorological Services (MET) warns recent rains are a “false onset” and not reliable for planting, while El Niño preparedness remains underfunded as DoDMA’s K488bn plan has a large funding gap. Energy & Business Impact: Blackouts are disrupting livelihoods and charging phones at telecom tower sites in Mchinji, while mining and other sectors push for reforms that support value addition and jobs. Health & Local Industry: The Ministry of Health calls medicine shortages a crisis driven by foreign exchange constraints and supplier debt, and is pushing local manufacturers via CMST to restore supplies. Mining & Manufacturing: Malawi’s Ministry of Mining says Minerals Act 2023 amendments aim to boost local content and value addition; SMEDCO opens applications for a Phalombe manufacturing/value-add academy intake (Jan 2027). Finance & Pensions: Pro Veritas becomes Malawi’s first licensed Pension Advisor, filling a gap for independent advisory services to pension funds and members. Food Systems & Waste: A UN Environment Programme warning links rotting food waste to up to 10% of global greenhouse gas emissions—about five times aviation—adding urgency to waste management solutions.

Rare Earths & Mining: Lynas’ $968m all-scrip bid for Meteoric signals a global rush toward simpler, low-cost rare earth processing, reshaping who can compete in the sector. Natural Resources & Academia: Malawi’s Natural Resources Ministry and LUANAR signed an MoU to deepen fisheries, aquaculture, forestry, climate services, research and capacity building. SME Manufacturing Pipeline: SMEDCO opened applications for its Phalombe Manufacturing & Value Addition Academy (Jan 2027 intake), promising hands-on training plus support to access business loans. Pensions Regulation: RBM licensed Pro Veritas as Malawi’s first Pension Advisor, expanding independent advisory services for pension and provident funds. Energy & Power Reliability: EGENCO moved to restore 20MW at Nkula B Unit 6 after repairs sent to South Africa, aiming to complete maintenance by end of October. Fuel Costs & Forex Pressure: Global oil and refined-product tightness is driving higher fuel prices, with Malawi flagged among Africa’s most expensive petrol markets—an issue tied to import dependence and forex constraints. Climate Risk Funding: DoDMA unveiled a K488bn El Niño Preparedness Plan but says only about a quarter is secured, leaving a large private-sector funding gap. Agribusiness & Markets: Tobacco’s KYG traceability push aims to meet buyer demands for transparent grower sourcing, while tomato farmers call for sustainable markets as losses mount. Business Environment: Government says SMEs still face financing gaps, forex shortages and power outages, urging more production for export and value addition. Industry & Culture: A University of Malawi study estimates arts and cultural industries contribute about K28bn annually, calling for stronger government support. Consumer & Retail Promotions: Castel Malawi launched price cuts and a “Tikwere Under the Crown” promotion with prizes including a Nissan Navara and motorbikes.

Energy & Power Reliability: EGENCO has started restoring Nkula B Hydropower Station Unit 6 after a five-week outage, following the arrival of a critical shaft for repairs; the 20MW unit is expected back on line by end of October, aiming to ease load-shedding pressures. Fuel & Forex Pressure: Malawi’s fuel queues are being linked to a global diesel squeeze and shipping disruptions, but analysts stress the real trigger is how the shock hits Malawi’s foreign-exchange constraints and import financing. Governance & Accountability: President Arthur Peter Mutharika marked his first year with a “4Fs” message on food, fuel, fertiliser and forex, while critics say citizens deserve tougher scrutiny beyond a “staged scorecard.” SMEs & Industry: The Ministry says SMEs still face financing gaps, foreign-exchange shortages and power outages, urging more production for export and value addition. Health Supply Chain: Persistent medicine shortages are being blamed on theft and “leakages,” alongside CMST’s outstanding supplier debt. Agribusiness & Markets: SMEDCO is buying surplus tomatoes to curb post-harvest losses and stabilise prices, as farmers call for sustainable markets and affordable financing. Housing & Urban Renewal: Malawi Housing Corporation says it is shifting from eviction notices to community engagement, partnerships and digital transparency in its urban renewal drive. Sports & Local Investment: Mzimba Queens won the Northern Region netball league, with a sponsor pledge to upgrade Rosedale Court facilities. Business Regulation: RBM has licensed Pro Veritas as Malawi’s first pension adviser, expanding independent advisory services for pension funds and members. Climate & Food Security: El Niño-linked risks are expected to worsen food insecurity, with households struggling more from low income than from outright lack of food.

Power & Industry Reliability: EGENCO has started restoring Nkula B Hydropower Station Unit 6 after a five-week outage, following the arrival of a critical shaft from South Africa; engineers expect to complete maintenance by end-October to bring back 20MW to the national grid. Infrastructure & Jobs: President Arthur Peter Mutharika says his first year in office has been anchored on road reconstruction—from the M1 and Khwekwere to completed Liwonde–Matawale—aiming to finish the national road network by 2028. Housing & Urban Renewal: Malawi Housing Corporation says its new housing drive is built on urban renewal, investor partnerships and transparency, citing community-first redevelopment approaches like Malangalanga Area 1. Agri-Business & Market Stability: Tomato farmers are calling for sustainable markets and financing as SMEDCO buys surplus tomatoes and processes them into sauce and paste to curb losses. Health Supply Chain: Persistent medicine shortages continue as theft and diversion deepen hospital gaps; CMST says local procurement and supplier debt are both key pressures. Fuel & Forex Pressure: Analysts warn Malawi’s fuel queues are ultimately driven by foreign-exchange scarcity, while NOCMA is seeking alternative payment terms and currencies to keep imports moving. Tourism & Regulation: Government says the Malawi Tourism Authority is nearing operationalisation to speed licensing and inspections and attract private investment, while Golden Sands Hotel plans at Cape Maclear remain investor-dependent due to heritage and environmental rules. Food Security: El Niño-linked risks are expected to worsen food insecurity, with households struggling more to afford food as rainfall delays and labour demand fall. Digital & Consumer Protection: MACRA is investigating rapid depletion of mobile data bundles by TNM and Airtel Malawi, with consumers set to get answers. Education & Human Capital: A new stipend fund under the People Over Politics Foundation pledges K1bn over five years to support underprivileged university students. Energy Transition & Regional Trade: Malawi, Kenya and Eswatini are set to bring state mining priorities to African Mining Week 2026, pushing mineral projects toward bankable pipelines and beneficiation.

Fuel & Forex Shock: A neutral economic read of Malawi’s renewed fuel queues says the “global vs domestic” blame game misses the point: Malawi imports nearly all petroleum, so foreign-exchange scarcity is the key vulnerability, with policy and supplier credit deciding how badly the shock hits consumers. Health Supply Crisis: Persistent medicine shortages are being worsened by theft/diversion and CMST’s debt to international suppliers (over US$18m), even as government says local suppliers are being paid and more stock is expected mid-October. Food Security Warning: El Niño-linked rainfall delays and weaker labour demand could deepen food insecurity, with 2.6 million people (14%) projected to face it in 2026/27. Energy Reliability: EGENCO has started restoring the 20MW Nkula B Unit 6 after a five-week outage, targeting return to service by end-October. Governance & Accountability: As President Mutharika’s first year is assessed, critics point to still-fragile forex, debt and power problems, while supporters cite partial stabilization and social-sector gains. Tourism Under Pressure: Kuti Wildlife Reserve in Salima was torched by villagers after alleged poaching clashes, adding to calls for stronger tourism protection and enforcement. Local Industry Push: Government says CMST will prioritise locally manufactured medicines to reduce forex dependence, while tourism regulation moves toward operationalising the Malawi Tourism Authority.

Fuel & Forex Pressure: Malawi’s fuel shortage is being blamed on a forex squeeze, with NOCMA seeking alternative payment terms, currencies and routes for a tender covering refined products via Mozambique and Tanzania, while economists warn this may ease liquidity without fixing the core dollar constraint. Energy Infrastructure & Theft: ESCOM has secured 10-year hard labour sentences for two people caught with stolen aluminium conductor wire, as the utility pushes for tougher action against vandalism. Health Supply Chain: Government has directed CMST to prioritise locally manufactured medicines to cut import reliance and ease persistent drug shortages tied to foreign exchange limits. Mobile Data Scrutiny: MACRA is investigating rapid depletion of mobile data bundles; TNM responds with tips on reducing consumption from streaming quality, app updates, hotspot use and social media auto-play. Tourism Regulation: Stakeholders say operationalising the Malawi Tourism Authority will improve licensing, inspections and hotel star-grading to attract private investment. Agrifood Investment Push: Malawi will host an agrifood systems symposium to unlock private sector value-chain investment, while farmers in Kasungu are urged toward drought-tolerant seed choices amid El Niño uncertainty. Urban Governance: Councils from across Malawi meet in Salima for a national symposium to tackle shared urban development challenges through peer learning. Business & Industry: Government says it is still searching for an investor for the Golden Sands Hotel at Cape Maclear, citing environmental and heritage requirements inside the Lake Malawi National Park. Conservation Scale-Up: African Parks says its outcomes-based conservation model now covers 1.37 million hectares across three Malawi parks.

Fuel & Forex Pressure: NOCMA says Malawi’s fuel shortages are tied to forex constraints, and it’s now tendering 440,000 metric tonnes via Mozambique/Tanzania with alternative payment terms (including credit and non-USD currencies) to keep supplies moving. Policy & Industry: Government has directed CMST to prioritise locally manufactured medicines to cut import reliance as public facilities report persistent drug shortages. Tourism Regulation: Malawi is nearing operationalisation of the Malawi Tourism Authority, with stakeholders expecting faster licensing, inspections and hotel grading to unlock private investment. Agri-Food Investment Push: Malawi will host an agrifood systems investment symposium in Lilongwe to attract private capital into value chains and boost food security and industrial growth. Agriculture Under Climate Stress: Kasungu farmers are being urged to switch to drought-tolerant seed varieties as El Niño-linked dry spells threaten rain-fed production. Urban Services & Power: Lilongwe, Mzuzu and Zomba are seeing streetlights fail due to theft, damage and weak maintenance, while ESCOM reports harsh jail sentences for vandalising power infrastructure. Mobile Data Scrutiny: MACRA-linked concerns have TNM advising customers on factors that drive rapid data use, as investigations continue. Conservation & Funding Model: African Parks says its outcomes-based Verifiable Nature Unit has expanded to three parks covering 1.37 million hectares, aiming to attract long-term conservation finance.

Fuel crisis pressure: Malawi’s fuel shortage is being blamed on weak foreign-exchange generation, with NOCMA telling Parliament that demand is about two million litres a day and meeting it needs roughly US$49m—while economists and MPs are urging the Energy Minister to act fast as queues keep paralysing transport and business. Agri-food investment push: Government and partners are set to host a National Agrifood Systems Investment Symposium in Lilongwe to line up value-chain projects and unlock private capital for Malawi’s food security and industrial base. Urban governance: Councils from across Malawi met in Salima for a first-ever urban governance symposium to share solutions on planning, engineering and finance challenges facing cities and municipal councils. Power infrastructure crackdown: ESCOM welcomed 10-year hard-labour sentences for two people caught with aluminium conductor wire, sending a strong message against vandalism and theft of critical power assets. Rail and trade costs: Malawi is intensifying plans for a north-bound railway link to the Tanzania–Zambia network, starting with a feasibility study, to cut transport costs that hit imports and exports. Mobile data concerns: MACRA probes rapid depletion of mobile data bundles, while TNM responds with tips on video streaming settings, app updates, hotspot use and social media auto-play. Mining value addition: Malawi is consulting on draft Value Addition Regulations and Mines and Minerals Act amendments to push higher returns from minerals before export. Digital public infrastructure: Apolitical and WEF’s DPI work has released the inaugural DPI 50 list, highlighting leaders building more inclusive digital public infrastructure, with Africa showing strong representation.

Power & Infrastructure Accountability: ESCOM says two people convicted for vandalising power infrastructure will each serve 10 years with hard labour after being caught with 100 metres of aluminium conductor wire, urging the public to report theft and damage. Telecom Consumer Protection: MACRA has opened an investigation into complaints that TNM and Airtel Malawi data bundles are depleting too fast, including checks on charging, billing, usage records and deductions; TNM meanwhile tells customers to cut data-heavy habits like high-quality video streaming, auto app updates, hotspot sharing and social media video auto-play. Agrifood Investment Push: Malawi will host a National Agrifood Systems Investment Symposium at BICC on 5 October to unlock private sector investment for agrifood transformation under Malawi 2063. Urban Governance: MALGA convenes mayors and municipal leaders in Salima for a first national urban governance symposium to share solutions for city and municipal challenges. Transport & Trade Costs: Malawi intensifies plans for a north-bound railway to connect to the Tanzania-Zambia network, starting with a feasibility study, aiming to reduce transport costs. Mining Value Addition: Government consults on draft Value Addition Regulations and Mines and Minerals Act amendments to increase benefits from mineral resources before export. Energy & Business Pressure: Reports highlight diesel scarcity stalling production and raising costs for transport and manufacturing, with calls to prioritise fuel for productive sectors.