world Bank to invest $95 million in Malawi agribusiness

Coca-Cola fully acquires Chi Limited - Ventures Africa: The World Bank has earmarked a sum of $95 million to fund the Agricultural Commercialization (AGCOM) Project in Malawi over the next six years. The initiative is aimed at transforming the agriculture sector into a highly productive commercial division.

The overall objective of AGCOM for Malawi is to increase commercialization of agriculture value chain products and is targeted at livestock, aquaculture, and small and medium crop farmers that are in cooperatives to ensure sustained commercialization

Banks minimum capital set at $5 million | The Times Group

Banks minimum capital set at $5 million | The Times Group: A latest directive on capital adequacy for banks has set $5 million as the minimum amount players in the banking industry are supposed to maintain at all times. The Financial Services (Capital Adequacy for Banks) Directive 2018, published on the Reserve Bank of Malawi website, says a bank shall maintain a minimum core capital of Malawi kwacha equivalent of $5 million or such a higher amount as determined by the Registrar of Financial Institutions.

Inside K53bn deal - The Nation Online

Inside K53bn deal - The Nation Online: Parliament’s Public Accounts Committee (PAC) has expressed fears of profiteering in the controversial K53 billion Immigration uniforms supply deal and demanded documentation after noting what it termed exorbitant prices for items.

In an interview on Tuesday, PAC chairperson Alekeni Menyani said his committee has cast doubt at some claims in the deal such as a single uniform shirt for an Immigration officer pegged at about K60 000 and in some cases a belt quoted at K100 000.

Globe Metals & Mining Ltd finalises Kanyika Niobium Project feasibility study revision

Globe Metals & Mining Ltd finalises Kanyika Niobium Project feasibility study revision: The updated feasibility study outlines a staged, conventional open pit mining scenario.

Niobium is used mostly in alloys and superconducting materials

Paladin Exploring Potential Langer Heinrich Uranium Restart | INN

Paladin Exploring Potential Langer Heinrich Uranium Restart | INN: Australia’s Paladin Energy (ASX:PDN) reported sales of 475,000 pounds of U3O8 during the December 2018 quarter, with the material going for an average price of US$31.41 per pound. The company, which released its quarterly activities report on Wednesday (January 16), also provided updates on its Langer Heinrich mine and its Kayelekera mine. Langer Heinrich, located in Namibia, was transitioned to care and maintenance in August 2018. However, Paladin reported that a concept study was underway this past quarter to optimize the operation “in preparation for a restart decision.”

Uranium hits 29 USD/LBS

Uranium | 2019 | Data | Chart | Calendar | Forecast | News: Uranium was quoted at 29 USD/LBS on Friday January 25. Historically, Uranium reached an all time high of 143 in May of 2007 and a record low of 7.10 in December of 2000.

Industry outlines economic risks - The Nation Online

Industry outlines economic risks - The Nation Online: The Malawi Confederation of Chambers of Commerce and Industry (MCCCI) says despite registering some positives in the past year, Malawi’s economy remains threatened by rising prices and lower agricultural production. In its Fourth Quarter Economic Review covering October to December 2018, MCCCI notes that although electricity generation and supply improved and the local currency was stable, the country’s economic gains were threatened by continued increase in inflation, with the rate hitting a double digit in November.

Industry skeptical on 2019 GDP growth | The Times Group

Industry skeptical on 2019 GDP growth | The Times Group: t a time Capital Hill and the African Development Bank have predicted robust economic growth in 2019, the Malawi Confederation of Chambers of Commerce and Industry (MCCCI) has said it is skeptical on GDP growth this year. In a Fourth Quarter Economic Report released on Friday, MCCCI says growth for 2019 may be subdued by intermittent power supply and weak performance of the industry sector.

WB, govt differ on 2019 growth projections - The Nation Online

WB, govt differ on 2019 growth projections - The Nation Online: Contradictions have risen over Malawi’s 2019 projected real gross domestic product (GDP) growth government projecting the economy to register a growth rate of seven percent while the World Bank pits growth at 4.3 percent.

The bank has further said growth is expected to decelerate by to 5.3 in 2020 and 5.5 in 2021, declining by 0.2 and 0.4 basis points respectively

Icon shares gain on listing day - The Nation Online

Icon shares gain on listing day - The Nation Online: It was all smiles yesterday for shareholders of newly-formed property development and management firm, Icon Properties plc, as they saw the share price increase from K8.75 to K12 per share on listing day on the Malawi Stock Exchange (MSE).

Market analysts have since described Icon Properties’ listing as a significant feat which will provide diversified products on MSE.

The listing, which broke MSE’s 10-year listing drought, followed a successful Initial Public Offer (IPO) of 1.68 billion shares that raised K14.7 billion from investors

Bad loans close 2018 at 6.1% | The Times Group

Bad loans close 2018 at 6.1% | The Times Group: The country’s level of non-performing loans (NPLs) hit a record low when they fell to 6.1 percent in December 2018, Reserve Bank of Malawi (RBM) Governor, Dalitso Kabambe, has said.

Speaking during the launch of Malawi Stock Exchange Automation, Microfinance Institution Hub and Natswitch Operationalisation, Kabambe said the level of NPLs came down from 19.9 percent at the beginning of 2018 and against a regulatory requirement of 5 percent.

Sovereign Metals Limited receives high-grade rutile results from Malingunde in Malawi

Sovereign Metals Limited receives high-grade rutile results from Malingunde in Malawi: Sovereign Metals Limited (ASX:SVM) has received high-grade, broad and widespread rutile results from re-assaying of historical hand-auger holes at the Malingunde project in Malawi.

There were 125 shallow hand-auger drill holes selected for re-assay to assess the overall rutile potential across the Malingunde tenement area.


High-grade results
Results demonstrate that rutile mineralisation is likely to be present over vast areas and is hosted in soft, free-dig saprolite.

There were 26 holes, or 21%, with a weighted average grade of 2.34% titanium oxide and 96 holes, or 78%, with a weighted average grade of 1.89%.

Public investment under scrutiny - The Nation Online

Public investment under scrutiny - The Nation Online: Public investment under scrutiny
Steve Chilundu January 23, 2019 0 Comments
Malawi is lagging behind� in the implementation of public investment compared to neighbouring countries in the southern Africa region, the International Monetary Fund (IMF) has said.

A recently released IMF technical assessment report on Public Investment and Management Assistance (Pima) measured the country’s performance on an index of the output of public investment compared to budget allocation

Inflation back to single digit | The Times Group

Inflation back to single digit | The Times Group: By Taonga Sabola:

Just like a pendulum, Malawi’s headline inflation swung back to single digit in December as it hit 9.9 percent after just a single month in double digit bracket, the National Statistical Office (NSO) has said.

In November, headline inflation had threatened to runaway, hitting 10.1 percent as food and fuel prices surged

AfDB puts Malawi growth at 5.5 percent in 2019 - The Nation Online

AfDB puts Malawi growth at 5.5 percent in 2019 - The Nation Online: AfDB puts Malawi growth at 5.5 percent in 2019
Orama Chiphwanya January 21, 2019 0 Comments
The African Development Bank (AfDB) has projected that Malawi’s five percent economic growth in 2018 and 5.5 percent in 2019 is more positive, given the stable economy, though the country remains vulnerable to external shocks and fiscal slippages.

The forecast, contained in this year’s flagship publication of the African Economic Outlook (AEO) released by the bank Thursday, is slightly higher than government’s forecast of 4.5 percent in 2018.

Egenco positive on energy generation | The Times Group

Egenco positive on energy generation | The Times Group: The Energy Generation Company (Egenco) has said the outlook for energy generation in 2019 remains promising following the completion of installation of generators in Blantyre and Lilongwe that will be producing a combined 30 megawatts (MW).

Egenco also said it was banking on the rains to improve hydro power generation at its power stations.

Egenco Senior Public Relations Officer, Moses Gwaza, said on Tuesday that since December the company has met the country’s power demand.

Malawi apparel exports to US up | The Times Group

Malawi apparel exports to US up | The Times Group: Malawi’s earnings from exports of apparel to the United States (US) under the African Growth and Opportunity Act (Agoa) inched up by 19.8 percent in 2018 as compared to 2017, the African Cotton and Textile Industries Federation (Actif) indicates.

Investment pledges jump 250% in 2018 | The Times Group

Investment pledges jump 250% in 2018 | The Times Group: Malawi Investment and Trade Centre (MITC) recorded investment pledges worth $1.49 billion (about K1.1 trillion) in 2018 from 105 companies that were issued with investment certificates.

The value of the pledges is 250 percent higher than the $400 million recorded from 42 firms in 2017.

Forbes unveils its ranking of best countries for business in 2019, here are the African best - Ecofin Agency

Forbes unveils its ranking of best countries for business in 2019, here are the African best - Ecofin Agency: This year, Mauritius was the best African country for doing business, according to a ranking published by the American magazine Forbes. This island of the Indian ocean is the 39th �best country for business in the world in the ranking that compared 161 countries based on fifteen criteria. These criteria are notably, property rights, innovation, taxes, corruption, freedom (personal, economic and monetary), bureaucracy and investor protection, workforce availability, infrastructures, the market size as well as the living conditions.

South Africa (59th globally) is the second in Africa, ahead of Morocco (62nd on a global scale), the Seychelles, Tunisia, Botswana, Rwanda, Kenya and Ghana. Egypt (95th on a global scale) is the last of the top 10 African countries for business in 2019.

Uranium | 2019 | Data | Chart | Calendar | Forecast | News

Uranium prices inching toward $30

Uranium | 2019 | Data | Chart | Calendar | Forecast | News: Uranium increased to 28.90 USD/LBS on Monday January 7 from 28.80 USD/LBS in the previous trading day. Historically, Uranium reached an all time high of 143 in May of 2007 and a record low of 7.10 in December of 2000.

Businesses focus on regional markets | The Times Group

Businesses focus on regional markets | The Times Group: A study by the Malawi Confederation of Chambers of Commerce and Industry (MCCCI) has revealed that local businesses are mostly focusing their exports on the Southern African Development Community (Sadc) and the Common Market for Eastern and Southern Africa (Comesa).

According to the 2018 Malawi Business Climate Survey (MBCS), businesses indicated that both Sadc and Comesa remain great opportunities for businesses compared to regions beyond.

Private sector credit soars | The Times Group

Private sector credit soars | The Times Group: Commercial banks credit to the private sector continued to grow in October, rising by K17.5 billion to hit K464.7 billion.

This is compared to a growth of K7.7 billion and K7.8 billion in September 2018 and October 2017, respectively.

Rare Earth Metals Market growing at 9% CAGR up to 2024

Rare Earth Metals Market growing at 9% CAGR up to 2024: HomenewsRare Earth Metals Market growing at 9% CAGR up to 2024| China Minmetals Rare Earth Co. Ltd., Neo Performance Materials,
Taking into account the potential that this vertical holds, rare earth metals market giants have been making major investments in numerous drilling programs across several geographies. Validating the aforementioned fact, a few days before, the Canada headquartered mineral exploration and development company, Mkango Resources Ltd. took a step forward to carry out drilling in the East-African country, Malawi.Following the lines of numerous industry verticals, rare earth metals market has also succumbed to the vast expanse of technology, emerging as a pivotal sphere of the polymers space. In the current scenario, numerous electronic components ranging from computer hard drives and cellular phones to electronic displays and hybrid vehicles have been deploying rare earth metals

Our Comment on Goodall Giondwe's  elusive 7 percent

Our Minister of Finance has been singlehandedly aiming at 7percent growth which he has over the years claimed was just around the conner

On may May 18, 2017, Finance Minister Goodall Gondwe said Malawi’s economic growth was forecast at 7 percent this year from 5.1 percent in 2016, helped by a recovery in the agriculture sector, on Thursday.

By the end of the year, the Minister had lowered expectations but he was still upbeat about the country registering economic growth of over five percent despite acknowledging the possible threat to the same created by extended power outages. 

On  Malawi  21, 2018 Finance Minister, Goodall Gondwe, pronounced in the 2018/19 budget statement that  GDP would   grow 4.1 pct this year

In the letter of intent sent to the IMF on October 30th, 2018, Goodall Gondwe wrote: “Economic growth is expected to accelerate from just above 3 percent in 2018 to around 4 percent in 2019 and to 6-7 percent over the medium term.”

 A few months later the 4 percent had morphed into 7 percent. On January 3, 2019, the Minister expressed hope that the economy would grow by at least seven percent in 2019. The economic growth will be propelled by the stability in “macroeconomic fundamentals” in 2018.

Why is the Minister obsessed with 7 percent?  The reason is that only a 7 percent growth rate will make a dent in the immense poverty in Malawi. As the Minister stated on May 20th 2017: “There will be others who will be apprehensive about this objective and will be arguments as to why this objective is too ambitious. However, the target of growth of 7 percent per year is an ambition that is not based on complicated mathematical economics but it has to be attained if the aspirations of Malawians are to be satisfied”.

 Anything less means poverty is growing. We haven’t come anywhere close to 7 percent during his current reign as Minister of Finance.

Government secures $200 million for Mzuzu, Chileka airports | The Times Group

Government secures $200 million for Mzuzu, Chileka airports | The Times Group: Minister of Finance, Goodall Gondwe, has said the government has secured $200 million from China to be used for construction of Mzuzu International Airport at Lusangadzi close to Mzuzu City.

Gondwe said part of the grant would be used for rehabilitating Chileka International Airport in Blantyre.

Goodall sees 7 percent GDP growth in 2019 | The Times Group

Goodall sees 7 percent GDP growth in 2019 | The Times Group: By Chimwemwe Mangazi: In a typical case of dreaming in colour, Finance Minister Goodall Gondwe has expressed hope that the economy would grow by at least seven percent in 2019. The growth projection comes at a time global economic think-tanks have predicted that economic growth would remain subdued this year.

Our Comments on Economic Growth

In recent speeches, our President has claimed that the economy's performance has been exemplary. Available data shows quite the opposite (See graph). Under Muluzi the economy performed terribly. Bingu substantially improved the economy only to leave it in shambles with negative growth in the final year. Joyce Banda took drastic and unpopular measures and improved the growth rate. Since Peter Mutharika took over we have had two years of negative growth rates and anemic growth rates after. There is really nothing to show for now. Our advice:  Rather than campaign on his non-existent success, he should focus on future plans.

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Business confidence inches up in 2018 | The Times Group

Business confidence inches up in 2018 | The Times Group: A latest Business Confidence Index (BCI) by the Malawi Confederation of Chambers of Commerce and Industry (MCCCI) has revealed that industry players’ belief in the economy slightly inched up in 2018.

This was despite the local economy facing continued challenges such as frequent power blackouts and high cost of capital in the year.

The BCI in 2018 was calculated at 69.5 percent against 67 percent recorded in 2017. This shows that business confidence improved by 2.5 percentage points in 2018 compared to 2017.

High cost of finance tops 2018 business obstacles | The Times Group

High cost of finance tops 2018 business obstacles | The Times Group: A latest Malawi Business Climate Survey (MBCS) by the Malawi Confederation of Chambers of Commerce and Industry (MCCCI) has revealed that the cost of finance was the biggest challenge of doing business in Malawi in 2018. The revelation comes barely a few weeks after Parliament pended the Interest Rate Capping Bill aimed at limiting the amount of interest borrowers could pay on loans. The survey, released at the weekend, shows that the cost of finance recorded a score of 8.8 points out of 10.

Banks speak on long-term financing - The Nation Online

Banks speak on long-term financing - The Nation Online: Constant macroeconomic risks in a fragile economy and unpredictability of the exchange rate are among issues that make it difficult for local banks to finance long-term investment projects.

Malawi News Agency Online - Government to rehabilitate M1 Road

Malawi News Agency Online - Government to rehabilitate M1 Road: Karonga, December 31, 2018: Government, with support from the European Investment Bank (EIB) will start rehabilitation of M1 Road from Kamuzu International Airport in Lilongwe to Chiweta in Karonga, soon.

Minister of Transport and Public Works, Jappie Mhango announced this in Karonga during supervision of construction of Karonga- Songwe Border road, on Saturday.

Happy New Year You all


In this year of the election, we will not only continue to provide the links to basic economic information on Malawi but will also provide some guidelines on critical issues through our "Comments". So keep your eyes open and spread the word.