Priority Sectors For Investment
 Different ways of investing in Malawi
Private investors can venture into the above stated projects on their own, as green field investment or identify partners already operating in Malawi. MIPA has a database of investors in Malawi who wish to collaborate with foreign companies. (See under Investment Projects)
Privatization
The privatization programme also accords the business community an opportunity to invest in the country. This is done through purchase of shares, management contracts, concessions or outright acquisition of a whole company. Some state-owned companies, which have been privatized, include government guesthouses, the textile company: David Whitehead and Sons, Grain and Milling Company, cattle ranches. The privatization programme continues with studies to identify ways to unbundle the Electricity Supply Corporation of Malawi and among others. This will offer opportunities for the private sector to participate in electricity generation, transmission and distribution under a suitable form of public-private partnership programme
Infrastructure Projects
Government is seeking partners to invest in a number of projects under various private sector participation options such as build operate and transfer (BOT), build operate and own BOO or concessions. Some of the projects that will be considered under such arrangements are:
Kamuzu International Airport in Lilongwe
Planned activities centre around the rehabilitation of the runways, taxiways and part of the apron at an estimated cost of US$ 8 million. Also requiring attention is the rehabilitation and replacement of the telecommunications equipment.
Chileka Airport in Blantyre
The rehabilitation of Chileka Airport is estimated to cost close to US$ 1billion. This will include building a new terminal building, rehabilitation and widening of the runway.
New Mangochi (Namiyasi Airport)
Plans have been finalized for the construction of an airport at Mangochi to support the tourism industry at the southern end of Lake Malawi. An investor is invited to take up this opportunity.
Existing projects
A number of companies in Malawi are seeking collaboration with foreign firms to either expand their investment or diversify into new areas. The type of collaboration includes Joint ventures, loan financing, subcontracting, technical expertise, technology transfer and equipment purchase.
Other Sectors
Energy
This sector is underdeveloped and is a crucial industry that supports other manufacturing industries. Heavy private investment is required to meet increasing energy demand for both household and industry use. Electricity generated through hydroelectric power is the major source of energy in Malawi. Currently less than 10 percent of Malawi’s population of 12 million has access to electricity. Consequently, there is great pressure on the country’s forest reserves that provide alternative sources of energy through charcoal and firewood. Government is therefore promoting investment in alterative sources of energy such as solar power, the production of gel fuel from ethanol and coal mining.
Some manufacturing companies in Lilongwe and Blantyre use coal that is produced in Malawi. Future investments could include manufacture of solar panels, which are currently being imported. Likewise Investment is needed in the production of gel fuel and stoves for the urban and rural population.
|
