# data[].attributes.body
climate change affect a lot in Malawi because it causes flooding, extreme rain falls and droughts

# data[].attributes.body
Q1: limestone and the (as yet unexploted) deposits of uranium coal and bauxite

# data[].attributes.body
This country been affected by climate change in te last 3 decades with more erratic rainfall, floods, droughts and strong wind

# data[].attributes.attachment_link.readable_text
Since the Industrial Revolution, the global climate has been warming, and on average, the Earth is around 1 degree warmer than it was. However, the warming is not evenly spread, and this is also true for Malawi.

In fact, between 1850 and 2020, the average annual temperature in Malawi increased by around 1.4 degrees Celsius with most of this warming happening in just the past two decades.

Rising temperatures

This graph shows how temperatures have changed since 1901, with the blue bars below the line showing cooler temperatures and the red bars above the line showing warmer temperatures. You can see how much the overall temperature has increased in just over 120 years!

© Ed Hawkins (2022) CC BY-SA 4.0. (Click to expand).

This rising temperature has resulted in increasing trends in both the frequency of hot days (maximum temperature) and hot night (minimum temperature). However, the rises have been faster in the summer months (December to February) than in other seasons, and the nights are warming faster than the days.

Due to the extreme variability in Malawi's precipitation levels year on year, it is hard to spot trends in the average precipitation levels. In some areas a slight decreasing precipitation trend is seen, but the picture is less clear in other parts of the country.

Climate shock impacts

Climate shocks in Malawi have become more frequent over the past few decades. This includes more erratic rainfall, floods, droughts, and strong winds. These extreme events have severely affected the economy and people of the country.

For example, in early 2022, three cyclones hit Madagascar, Mozambique, Zimbabwe and Malawi over a very short period of time. These storms resulted in deaths, injuries and damage in the regions, mainly as a result of flooding. This caused various socio-economic impacts that are likely to have long-lasting effects.

Storm frequency

While some of these storms were likely to have been made stronger by climate change, the main issue was the high frequency of the events - the short turnaround between storms heightened damage, and increased the vulnerability of communities. In some areas, damage from the first storm meant that early warning systems were not working, and communication about the subsequent storms was not possible.

Studies have shown that global climate change has already increased the chances of more frequent storms, and shorter turnaround between storms in the region. Additionally, the increasing number of prolonged dry periods has led to the soils in the region becoming compacted (hard) which can lead to more intense flooding once the rains return. This is because water isn't absorbed as easily by the soil, so it sits on the surface for longer.

# data[].attributes.attachment_link.description
Since the Industrial Revolution, the global climate has been warming, and this is also true for Malawi. Find out more in this article.

# data[].attributes.body
In Malawi de economy depends on the agriculture is the 80% of the economic souurces

# data[].attributes.attachment_link.readable_text
Located in Southern Africa, Malawi is landlocked, sharing its borders with Mozambique, Zambia, and Tanzania. The country's estimated population is 20.41 million (2022) with an annual growth rate of 2.6%

Malawi remains one of the poorest countries in the world despite making significant economic and structural reforms to sustain economic growth. The economy is heavily dependent on agriculture, which employs over 80% of the population, and it is vulnerable to external shocks, particularly climatic shocks.

In January 2021, the government launched the Malawi 2063 Vision that aims to transform Malawi into a wealthy, self-reliant, industrialized upper-middle-income country, through a focus on agriculture commercialization, industrialization, and urbanization. The first 10-year implementation plan anchors the World Bank's Country Partnership Framework (CPF) (FY21- FY25).
Political Context
Malawi has enjoyed sustained peace and stable governments since independence in 1964. One-party rule ended in 1993. Since then, multi-party presidential and parliamentary elections have been held every five years.

Malawi's sixth tripartite elections were conducted in May 2019. The presidential results were nullified in February 2020 by the Constitutional Court. Fresh presidential elections were held on June 23, 2020, in which Lazarus Chakwera of the Malawi Congress Party and Saulos Chilima of the UTM Party were elected as president and vice president respectively after getting 58.6% of the votes. They won against Peter Mutharika of the Democratic Progressive Party and United Democratic Front coalition that received 39.4% of the votes. President Lazarus Chakwera and Vice President Saulos Chilima lead a coalition of several political parties known as the Tonse Alliance. The next general election is scheduled September 16, 2025.
Economic Overview
Malawi's economy is projected to grow by 2.0% in 2024 - a contraction in per capita terms given 2.6% population growth. Limited availability of agricultural inputs and the impact of prolonged dry spells during the growing season will result in reduced agricultural output.

Continued liquidity challenges in foreign exchange markets are expected to continue affecting the importation of raw materials and productions inputs, constraining economic activity in industry and services. Headline inflation is expected to remain high and average 27.4% in 2024.

The disinflationary impact of tightening monetary policy will be offset by lower agricultural output and resultant pressures on food prices. The adjustment of energy and other utility prices necessitated by the adjustment of the kwacha and planned for 2024 will add to inflationary pressures. Revenue is projected at 21.5% of GDP in FY2024/25. This outcome assumes the achievement of ambitious tax revenue targets, as well as increased disbursements of grants, which are expected to reach 5.4% of GDP, the highest in the last decade.

Expenditure is expected to moderate slightly to 28.4% of GDP, thus translating to a projected fiscal deficit of 6.6% of GDP in FY2024/25. Failure to attain ambitious revenue targets and overspending would widen the deficit further, which would add to an already high and unsustainable public debt burden.

Imports are expected to continue rising, driven in particular by the need for increased food imports to address domestic shortages. While exports are also projected to recover, the impact of prolonged dry spells on agricultural production may constrain export growth.

The current account deficit is projected to remain high at 20% of GDP. With heightened food insecurity, both from high food prices and shortages owing to anticipated lower agriculture output, poverty is expected to worsen in 2024. The proportion of people living below the poverty line of $2.15 a day will increase slightly to 72% in 2024.
Development Challenges
Vulnerabilities in the Malawian economy continue to be exacerbated by weather and climate-related shocks paired with scarcity of foreign exchange that constrains the importation of raw materials.

Recurring floods and prolonged dry spells compounded by limited availability of agricultural inputs and weak domestic and regional market integration keep agricultural output below its potential.

Persistent liquidity challenges and distortions in foreign exchange markets continue to constrain the importation of raw materials for the production process, further undermining growth.

A lack of trade dynamism and low levels of investment persist. Lower agricultural output and slow implementation of policies to support crop diversification and economic transformation constrain exports, as does the widespread presence of non-tariff barriers, strict capital controls, and high trade costs. These, in turn, affect the accumulation of foreign exchange reserves. With continued high import demands, the current account deficit remains elevated, placing additional pressure on reserves.

Fiscal imbalances have been a central challenge to reducing inflation, following years of an expansionary fiscal policy. Slow implementation of public financial management reforms, paired with growing statutory expenditure requirements, continue to exert upward pressure on government expenditure.

With limited availability of external financing and high levels of domestic borrowing, public debt continues to rise, resulting in debt servicing requirements in excess of 35% of revenues.

The prevalence of poverty remains high, with rates exceeding 70% - one of the highest in the world. The continued high rate of poverty is exacerbated by a sluggish economic recovery and persistent food shortages following a series of weather shocks, high susceptibility to fluctuations in food prices, and ongoing rapid population growth.

Last Updated: Apr 11, 2024

The World Bank Group Malawi Country Partnership Framework (CPF) FY21-25 focuses on three areas: bolstering foundations for growth and accountability, promoting private sector-led jobs, and strengthening human capital development, with digital development and women's empowerment as cross-cutting themes. The CPF is anchored in the Malawi 2063 vision. A Performance and Learning Review of the CPF is expected in the first quarter of FY25 and will include a request for extension of the CPF period to FY26.

As of March 2024, the World Bank's portfolio in Malawi consists of 29 IDA lending operations with a total commitment amount of $3.35 billion of which 8 projects (worth $822.28 million) are regional projects. These are complemented by $170.74 million in trust funds (both Bank and Recipient Executed).

The portfolio includes financing for programs in agriculture and food security, urban resilience and land, social protection and jobs, governance, basic service delivery (including health, education, and water and sanitation), and support in the energy, transportation, digital development, trade logistics, finance, and competitiveness sectors.
International Finance Corporation (IFC)
IFC's engagement in Malawi focuses on investment and advisory activities that help diversify the economy, develop energy infrastructure, and improve access to finance.

Under the infrastructure and natural resources program, IFC is providing public-private partnership advisory services to the water, transport, and energy sectors. IFC supports private sector involvement in hydro and other renewable energy power projects identified as a priority in Malawi's Integrated Resource Plan.

IFC is supporting value addition enterprises in the agribusiness sub-sector, diversification of Malawi's exports, and increasing agricultural productivity through support of irrigation projects and working with the government to improve the environment for private sector investments in this sector.

In the financial sector, IFC provides advisory support with the aim of increasing access to trade finance and finance for small and medium enterprises (SMEs), and to help improve the collateral registry and credit reference systems.

Last Updated: Apr 03, 2024

The Equity with Quality and Learning at Secondary, EQUALS Project aims to improve quality of science and mathematics instruction in Community Day Secondary Schools (CDSSs) and increase access to secondary education in selected remote areas. Since March 2019, the project has made significant progress including among others:

90% of the targeted secondary schools have reached the desired student textbook ratio of 1:1 in the four selected science and mathematics subjects.

more than 1,400 school heads and their deputies have been trained on school management and instructional leadership including training of nearly 4,500 secondary school teachers on remediation to address COVID-19 school closure effects.

Cost-effective construction of 92 block classrooms and the expansion of 103 Community Day Secondary Schools CDSS is ongoing including furnishing classrooms and science blocks, gender and disabled-friendly ablution blocks, libraries, and equipping ICT laboratories.

Nearly 630 auxiliary teachers have now been enrolled on a government payroll at the end of their temporary contract to reduce teacher to pupil ratio.

The $72.4 million Digital Malawi Program Phase I: Malawi Digital Foundations Project(DIGMAP), aims to increase access to affordable, high-quality internet services for government, businesses and citizens. Since its implementation in 2018, results achieved include:

Supporting Youth - 10 Tech Hubs have been established across the country providing training in digital skills, basic ICT literacy and entrepreneurship, to over 19,000 youth (versus original target of 5,000), with over 50% of beneficiaries being female.

Over 50 young tech enthusiasts have been matched with internship programs in various organizations.

Internet for Academia - Over 83,000 students from 81 higher learning institutions in Malawi are now able to access cheaper and reliable internet connectivity though Malawi Research and Education Network, MAREN. Around 40% of the students are females.

Over 100 Free Public Wi-Fi spots are now available in public locations including post offices, hospitals, schools, libraries, marketplaces, and airports, providing access to free internet, and for business continuity.

Over 500 government sites including offices, post offices, hospitals, among others have been provided with internet connectivity which is critical for improved efficiency of public service delivery.

The 2019 ambitious $100 million Malawi Energy Access Project (MEAP) was designed to fast-track electrification efforts and provide electricity access to approximately 1.6 million people, constituting 8% of the population. Since the start of its implementation, results include:

Over 180,000 individuals now have access to electricity, bringing long-awaited relief to customers who have been waiting for over five years.

Electricity Supply Corporation of Malawi, ESCOM, the implementing agency has embraced transparency and accountability by publishing all quarterly connection targets on its customer engagement platforms.

The Ngwee Ngwee Fund, meaning "bright!" in Chichewa, an integral part of the MEAP, established to provide working capital and grants, fostering the growth of the private sector-led off-grid solar segment of the market, has forged partnerships with five leading solar companies in Malawi, embarking on a connection campaign to provide solar home systems to nearly 1 million people.

Last Updated: Apr 03, 2024

The European Union, African Development Bank, United Nations agencies, bilateral donors such as FCDO, USAID, Germany, Norway, and China, the World Bank Group, and the International Monetary Fund are among Malawi's key development partners.

The government and its cooperating partners have a Development Cooperation Strategy (DCS 2014-2018) which is currently being updated. It guides development cooperation in the country. The DCS advocates inclusive partnerships, government leadership and country ownership of the national development agenda, and alignment around national systems and strategies. It also embraces focusing on results that matter to poor citizens and encourages partnerships among development actors based on mutual trust, transparency, and accountability.

Last Updated: Apr 03, 2024

# data[].attributes.attachment_link.description
The World Bank Group supports Malawi's efforts to reduce poverty and promote economic growth by working with the government, development partners, and civil society.

# data[].attributes.body
Q1: the principal source of economic in malawi is the agriculture

# data[].attributes.attachment_link.readable_text
Located in Southern Africa, Malawi is landlocked, sharing its borders with Mozambique, Zambia, and Tanzania. The country's estimated population is 20.41 million (2022) with an annual growth rate of 2.6%.

Malawi remains one of the poorest countries in the world despite making significant economic and structural reforms to sustain economic growth. The economy is heavily dependent on agriculture, which employs over 80% of the population, and it is vulnerable to external shocks, particularly climatic shocks.

In January 2021, the government launched the Malawi 2063 Vision that aims to transform Malawi into a wealthy, self-reliant, industrialized upper-middle-income country, through a focus on agriculture commercialization, industrialization, and urbanization. The first 10-year implementation plan anchors the World Bank's Country Partnership Framework (CPF) FY21- FY25.
Political Context
Malawi has enjoyed sustained peace and stable governments since independence in 1964. One-party rule ended in 1993. Since then, multi-party presidential and parliamentary elections have been held every five years.

Malawi's sixth tripartite elections were conducted in May 2019. The presidential results were nullified in February 2020 by the Constitutional Court. Fresh presidential elections were held on June 23, 2020, in which Lazarus Chakwera of the Malawi Congress Party and Saulos Chilima of the UTM Party were elected as president and vice president respectively after getting 58.6% of the votes. They won against Peter Mutharika of the Democratic Progressive Party and United Democratic Front coalition which received 39.4% of the votes. President Lazarus Chakwera and Vice President Saulos Chilima lead a coalition of nine political parties known as the Tonse Alliance. The next general election is scheduled September 2025.
Economic Overview
Malawi's economy continues to be significantly weakened by frequent exogenous shocks coupled with macro-fiscal imbalances. Growth is projected to increase in 2023 to 1.6% as electricity supply improves, compared to 0.9% in 2022. However, severe, and persistent shortages of foreign exchange continue to subdue growth. The country is expected to secure a staff-level agreement with the IMF and return to an Extended Credit Facility by the end of 2023.

The economy is expected to grow at 2.8% in 2024, supported by further anticipated macroeconomic reforms. However, such growth remains insufficient to substantially mitigate the prevailing high levels of poverty.

Following Tropical Cyclone Freddy, agriculture output has grown only marginally since last year. Inflation has remained high at 28.4% in July 2023. Food prices are increasing rapidly, reaching 39.3% year-on-year in July 2023 mainly driven by supply constraints. To contain inflationary pressures, the policy rate was increased to 24%, from 14%. With interest rates rising, the fiscal burden of debt service has increased. While foreign exchange reserves have exhibited a modest improvement, they remained low at 0.7 months of import cover in July 2023. Recurrent climate shocks pose a considerable risk for exacerbating food supply shortages in Malawi. Coupled with persistent inflation, rising domestic prices, and an anticipated decline in per capita income, the percentage of individuals subsisting on less than $2.15 per day (2017 PPP) is projected to increase from 71% to 72% in 2023.

The implementation of fiscal consolidation reforms has resulted in a modest decrease in expected deficits, from 11.9% of GDP in 2022 to 10.4% expected in 2023. However, public debt is still in distress and unsustainable, estimated to reach 80.3% of GDP in 2023. Amidst rising interest rates and continued borrowing, interest expenditure is expected to consume 24% of the current budget.
Development Challenges
Low agricultural productivity and limited commercialization has resulted in stagnant growth in incomes for the majority of Malawians. Structural challenges faced by the sector include market distortions such as price controls, trade restrictions, poorly targeted subsidies, and low access to inputs, which constrain investment and export-led growth. These effects are magnified by increasingly frequent and destructive tropical cyclones, including Cyclone Freddy in February 2023, which resulted in estimated losses and damages of more than $500 million.

External imbalances impede more rapid economic growth. Exports as a share of GDP have been declining over decades, driven by weak demand for tobacco and an overvalued exchange rate, which has resulted in low foreign exchange reserves and a rising spread between the official and parallel rates. The imbalance has made foreign exchange scarce, in turn constraining productive imports, including machinery and fuel for production.

Weak public financial management systems have caused the government to miss its fiscal targets, resulting in unexpected and high deficits. High and rising domestic interest rates mean that debt servicing costs continue to erode fiscal space.

Last Updated: Oct 06, 2023

The World Bank Group Malawi Country Partnership Framework (CPF) FY21-25 focuses on three areas: bolstering foundations for growth and accountability, promoting private sector-led jobs, and strengthening human capital development, with digital development and women's empowerment as cross-cutting themes. The CPF is anchored in the Malawi 2063 vision. A Performance and Learning Review of the CPF is expected in the third quarter of FY24.

As of September 2023, the World Bank's portfolio in Malawi consists of 19 IDA lending operations with a total of $2.34 billion of which seven (worth $607.77 million), are regional projects. These are complemented by $133.92 million in trust funds (both Bank and Recipient Executed).

The portfolio includes financing for programs in agriculture and food security, urban resilience and land, social protection and jobs, governance, basic service delivery (including health, education, and water and sanitation), and support in the energy, transportation, digital development, trade logistics, finance, and competitiveness sectors.
International Finance Corporation (IFC)
IFC's engagement in Malawi focuses on investment and advisory activities that help diversify the economy, develop energy infrastructure, and improve access to finance.

Under the infrastructure and natural resources program, IFC is providing public-private partnership advisory services to the water, transport, and energy sectors. IFC supports private sector involvement in hydro and other renewable energy power projects identified as a priority in Malawi's Integrated Resource Plan.

IFC is supporting value addition enterprises in the agribusiness sub-sector, diversification of Malawi's exports, and increasing agricultural productivity through support of irrigation projects and working with the government to improve the environment for private sector investments in this sector.

In the financial sector, IFC provides advisory support with the aim of increasing access to finance for small and medium enterprises (SMEs), and to help improve the collateral registry and credit reference systems.

Last Updated: Oct 06, 2023

The Equity with Quality and Learning at Secondary Project (EQUALS) aims to improve the quality of science and mathematics instruction in Community Day Secondary Schools (CDSSs) and increase access to secondary education in selected remote areas. Since March 2019, the project has made significant progress including:

90% of the targeted secondary schools have reached the desired student-textbook ratio of 1:1 in the four selected science and mathematics subjects.

140 unqualified teachers have been enrolled to the University Certificate for Education (UCE) program including training of nearly 4,500 secondary school teachers on remediation to address COVID-19 school closure effects.

A Digitized Inspection Tool, construction monitoring tool, and an online registration and payment platform for end of cycle examination have been developed as ICT tools to improve education quality and system management.

The Digital Malawi Program Phase I: Malawi Digital Foundations Project ($72.4 million)  (DIGMAP), aims to increase access to affordable, high-quality internet services for government, businesses, and citizens. Since its implementation in 2018, achievements include:

10 tech hubs have been established across the country providing training in digital skills, basic ICT literacy and entrepreneurship, to over 10,000 youth, of whom over 50% are female. The tech hubs competitively awarded sub-grants of $2,500 to young entrepreneurs.

Over 50 young tech enthusiasts have been matched with internship programs in various organizations.

Internet for Academia - Over 66,000 students from 66 higher learning institutions in Malawi are now able to access cheaper and reliable internet connectivity though Malawi Research and Education Network, MAREN. Around 40% of the students are females.

Over 30 Free Public Wi-Fi spots are now available in public locations including post offices, hospitals, schools, libraries, marketplaces, and airports, providing access to free internet, and for business continuity.

Malawi Energy Access Project (MEAP). The 2019 $100 million project was designed to fast track electrification efforts and provide electricity access to approximately 1.6 million people, constituting 8% of the population. Since the start of its implementation results include:

Over 180,000 individuals now have access to electricity, bringing long-awaited relief to customers who have been waiting for over five years.

Electricity Supply Corporation of Malawi, ESCOM, the implementing agency has embraced transparency and accountability by publishing all quarterly connection targets on its customer engagement platforms.

The Ngwee Ngwee Fund, meaning "bright" in Chichewa, an integral part of the MEAP, established to provide working capital and grants, fostering the growth of the private sector-led off-grid solar segment of the market, has forged partnerships with five leading solar companies, embarking on a connection campaign to provide solar home systems to nearly 1 million people.

Last Updated: Oct 06, 2023

The World Bank in Malawi continues to strengthen partnerships with other Development Partners in implementing high impact and large-scale projects. The ongoing Shire Valley Transformation Programme in partnership with the African Development Bank; and The Social Support for Resilient Livelihoods Project (SSRLP)- Malawi's flagship safety net programme, financed by a multi-donor Trust Fund which includes USAID, Republic of Iceland, UKAID, Ireland and European Union, are some of the projects that demonstrate World Bank collaboration and partnerships at country level.

Last Updated: Sep 25, 2023

# data[].attributes.attachment_link.description
The World Bank Group supports Malawi's efforts to reduce poverty and promote economic growth by working with the government, development partners, and civil society.

# data[].attributes.body
Malawi has been affected by climate change in the last three decades with erratic rainfall for a lot of time

# data[].attributes.attachment_link.title
Back-to-back climate disasters leave millions of Malawians in deepening need

# data[].attributes.attachment_link.description
Back-to-back climate disasters leave millions of Malawians in deepening need - The New Humanitarian puts quality, independent journalism at the service of the millions of people affected by humanitarian crises around the world

# data[].attributes.body
The principal source of economy in Malawi is agriculture which the majority of population employees agriculture but is affected by climate changes.

# data[].attributes.attachment_link.readable_text
Located in Southern Africa, Malawi is landlocked, sharing its borders with Mozambique, Zambia, and Tanzania. The country's estimated population is 20.41 million (2022) with an annual growth rate of 2.6%.

Malawi remains one of the poorest countries in the world despite making significant economic and structural reforms to sustain economic growth. The economy is heavily dependent on agriculture, which employs over 80% of the population, and it is vulnerable to external shocks, particularly climatic shocks.

In January 2021, the government launched the Malawi 2063 Vision that aims to transform Malawi into a wealthy, self-reliant, industrialized upper-middle-income country, through a focus on agriculture commercialization, industrialization, and urbanization. The first 10-year implementation plan anchors the World Bank's Country Partnership Framework (CPF) FY21- FY25.
Political Context
Malawi has enjoyed sustained peace and stable governments since independence in 1964. One-party rule ended in 1993. Since then, multi-party presidential and parliamentary elections have been held every five years.

Malawi's sixth tripartite elections were conducted in May 2019. The presidential results were nullified in February 2020 by the Constitutional Court. Fresh presidential elections were held on June 23, 2020, in which Lazarus Chakwera of the Malawi Congress Party and Saulos Chilima of the UTM Party were elected as president and vice president respectively after getting 58.6% of the votes. They won against Peter Mutharika of the Democratic Progressive Party and United Democratic Front coalition which received 39.4% of the votes. President Lazarus Chakwera and Vice President Saulos Chilima lead a coalition of nine political parties known as the Tonse Alliance. The next general election is scheduled September 2025.
Economic Overview
Malawi's economy continues to be significantly weakened by frequent exogenous shocks coupled with macro-fiscal imbalances. Growth is projected to increase in 2023 to 1.6% as electricity supply improves, compared to 0.9% in 2022. However, severe, and persistent shortages of foreign exchange continue to subdue growth. The country is expected to secure a staff-level agreement with the IMF and return to an Extended Credit Facility by the end of 2023.

The economy is expected to grow at 2.8% in 2024, supported by further anticipated macroeconomic reforms. However, such growth remains insufficient to substantially mitigate the prevailing high levels of poverty.

Following Tropical Cyclone Freddy, agriculture output has grown only marginally since last year. Inflation has remained high at 28.4% in July 2023. Food prices are increasing rapidly, reaching 39.3% year-on-year in July 2023 mainly driven by supply constraints. To contain inflationary pressures, the policy rate was increased to 24%, from 14%. With interest rates rising, the fiscal burden of debt service has increased. While foreign exchange reserves have exhibited a modest improvement, they remained low at 0.7 months of import cover in July 2023. Recurrent climate shocks pose a considerable risk for exacerbating food supply shortages in Malawi. Coupled with persistent inflation, rising domestic prices, and an anticipated decline in per capita income, the percentage of individuals subsisting on less than $2.15 per day (2017 PPP) is projected to increase from 71% to 72% in 2023.

The implementation of fiscal consolidation reforms has resulted in a modest decrease in expected deficits, from 11.9% of GDP in 2022 to 10.4% expected in 2023. However, public debt is still in distress and unsustainable, estimated to reach 80.3% of GDP in 2023. Amidst rising interest rates and continued borrowing, interest expenditure is expected to consume 24% of the current budget.
Development Challenges
Low agricultural productivity and limited commercialization has resulted in stagnant growth in incomes for the majority of Malawians. Structural challenges faced by the sector include market distortions such as price controls, trade restrictions, poorly targeted subsidies, and low access to inputs, which constrain investment and export-led growth. These effects are magnified by increasingly frequent and destructive tropical cyclones, including Cyclone Freddy in February 2023, which resulted in estimated losses and damages of more than $500 million.

External imbalances impede more rapid economic growth. Exports as a share of GDP have been declining over decades, driven by weak demand for tobacco and an overvalued exchange rate, which has resulted in low foreign exchange reserves and a rising spread between the official and parallel rates. The imbalance has made foreign exchange scarce, in turn constraining productive imports, including machinery and fuel for production.

Weak public financial management systems have caused the government to miss its fiscal targets, resulting in unexpected and high deficits. High and rising domestic interest rates mean that debt servicing costs continue to erode fiscal space.

Last Updated: Oct 06, 2023

The World Bank Group Malawi Country Partnership Framework (CPF) FY21-25 focuses on three areas: bolstering foundations for growth and accountability, promoting private sector-led jobs, and strengthening human capital development, with digital development and women's empowerment as cross-cutting themes. The CPF is anchored in the Malawi 2063 vision. A Performance and Learning Review of the CPF is expected in the third quarter of FY24.

As of September 2023, the World Bank's portfolio in Malawi consists of 19 IDA lending operations with a total of $2.34 billion of which seven (worth $607.77 million), are regional projects. These are complemented by $133.92 million in trust funds (both Bank and Recipient Executed).

The portfolio includes financing for programs in agriculture and food security, urban resilience and land, social protection and jobs, governance, basic service delivery (including health, education, and water and sanitation), and support in the energy, transportation, digital development, trade logistics, finance, and competitiveness sectors.
International Finance Corporation (IFC)
IFC's engagement in Malawi focuses on investment and advisory activities that help diversify the economy, develop energy infrastructure, and improve access to finance.

Under the infrastructure and natural resources program, IFC is providing public-private partnership advisory services to the water, transport, and energy sectors. IFC supports private sector involvement in hydro and other renewable energy power projects identified as a priority in Malawi's Integrated Resource Plan.

IFC is supporting value addition enterprises in the agribusiness sub-sector, diversification of Malawi's exports, and increasing agricultural productivity through support of irrigation projects and working with the government to improve the environment for private sector investments in this sector.

In the financial sector, IFC provides advisory support with the aim of increasing access to finance for small and medium enterprises (SMEs), and to help improve the collateral registry and credit reference systems.

Last Updated: Oct 06, 2023

The Equity with Quality and Learning at Secondary Project (EQUALS) aims to improve the quality of science and mathematics instruction in Community Day Secondary Schools (CDSSs) and increase access to secondary education in selected remote areas. Since March 2019, the project has made significant progress including:

90% of the targeted secondary schools have reached the desired student-textbook ratio of 1:1 in the four selected science and mathematics subjects.

140 unqualified teachers have been enrolled to the University Certificate for Education (UCE) program including training of nearly 4,500 secondary school teachers on remediation to address COVID-19 school closure effects.

A Digitized Inspection Tool, construction monitoring tool, and an online registration and payment platform for end of cycle examination have been developed as ICT tools to improve education quality and system management.

The Digital Malawi Program Phase I: Malawi Digital Foundations Project ($72.4 million)  (DIGMAP), aims to increase access to affordable, high-quality internet services for government, businesses, and citizens. Since its implementation in 2018, achievements include:

10 tech hubs have been established across the country providing training in digital skills, basic ICT literacy and entrepreneurship, to over 10,000 youth, of whom over 50% are female. The tech hubs competitively awarded sub-grants of $2,500 to young entrepreneurs.

Over 50 young tech enthusiasts have been matched with internship programs in various organizations.

Internet for Academia - Over 66,000 students from 66 higher learning institutions in Malawi are now able to access cheaper and reliable internet connectivity though Malawi Research and Education Network, MAREN. Around 40% of the students are females.

Over 30 Free Public Wi-Fi spots are now available in public locations including post offices, hospitals, schools, libraries, marketplaces, and airports, providing access to free internet, and for business continuity.

Malawi Energy Access Project (MEAP). The 2019 $100 million project was designed to fast track electrification efforts and provide electricity access to approximately 1.6 million people, constituting 8% of the population. Since the start of its implementation results include:

Over 180,000 individuals now have access to electricity, bringing long-awaited relief to customers who have been waiting for over five years.

Electricity Supply Corporation of Malawi, ESCOM, the implementing agency has embraced transparency and accountability by publishing all quarterly connection targets on its customer engagement platforms.

The Ngwee Ngwee Fund, meaning "bright" in Chichewa, an integral part of the MEAP, established to provide working capital and grants, fostering the growth of the private sector-led off-grid solar segment of the market, has forged partnerships with five leading solar companies, embarking on a connection campaign to provide solar home systems to nearly 1 million people.

Last Updated: Oct 06, 2023

The World Bank in Malawi continues to strengthen partnerships with other Development Partners in implementing high impact and large-scale projects. The ongoing Shire Valley Transformation Programme in partnership with the African Development Bank; and The Social Support for Resilient Livelihoods Project (SSRLP)- Malawi's flagship safety net programme, financed by a multi-donor Trust Fund which includes USAID, Republic of Iceland, UKAID, Ireland and European Union, are some of the projects that demonstrate World Bank collaboration and partnerships at country level.

Last Updated: Sep 25, 2023

# data[].attributes.attachment_link.description
The World Bank Group supports Malawi's efforts to reduce poverty and promote economic growth by working with the government, development partners, and civil society.

# data[].attributes.body
Malawi, has experienced droughts during 1978/79, 1981/82, 1991/92 and 1993/94 crop growing seasons, also climate change a lot increasingly exacerbates drought and a lot of rainfall

https://www.trocaire.org/sites/default/files/resources/policy/malawi-climate-change-case-study.pdf

https://www.usaid.gov/climate/country-profiles/malawi#:~:text=The%20vast%20majority%20of%20Malawians,Malawi's%20goal%20of%20self%2Dreliance.

Information than in: www.usaid.gov

www.trocaire.org

By: Mariana Ramires and Maria Alejandra Rojas

# data[].attributes.body
the principal source of economy in Malawi is based on agriculture that accounts the majority of economy of Malawi

source:

https://www.trade.gov/country-commercial-guides/malawi-agricultural-sector#:~:text=Overview,%2C%20food%20security%2C%20and%20nutrition.

# data[].attributes.attachment_link.provider_name
International Trade Administration | Trade.gov

# data[].attributes.attachment_link.readable_text
Overview

Agriculture accounts for more than one-quarter of Malawi's gross domestic product. The sector supports direct and indirect employment, economic growth, export earnings, poverty reduction, food security, and nutrition. Turning the country's agriculture sector into an engine of growth has been a long-term development goal for Malawi for many years. Maize is the major food crop and is the focus of Malawi's policy agenda, but tobacco has been and continues to be the dominant cash crop. Tobacco is responsible for more than 40 percent of the country's annual export earnings, with additional cash crops including dried legumes, sugar, tea, cotton, and nuts. The government acknowledges that agricultural diversification is needed to grow the economy and provide increased food security. Opportunities exist for cost-effective U.S. goods or technical knowledge that can be adapted for local agricultural conditions to boost crop quality, quantity, and diversification.

Leading Sub-Sectors

Leading sub-sectors in the agriculture industry in Malawi include tobacco, crop farming, livestock production, horticulture, fisheries and aquaculture, irrigation, and agro-processing. Malawi's desire to move away from reliance on rain-fed agriculture is opening opportunities for irrigation farming.

Opportunities

Potential investment opportunities in agriculture include livestock production (for dairy and beef), aquaculture, horticulture, agro-processing, sugar, soybean, cow peas, pork production, honey production, integrated cotton development, cassava production, and mushroom growing. These agricultural products can be processed and exported under trading arrangements encompassing SADC, COMESA, and the Generalized System of Preferences (GSP) SCHEME of the EU's Everything but Arms (EBA) Initiative, the African Growth and Opportunity Act (AGOA), China General Tariff Preferential Treatment, the India Preferential Trade Arrangement, the Japan Preferential Trade Arrangement, and the Africa-wide market via the AfCFTA.

Irrigation: Malawi relies primarily on rain-fed agriculture. Opportunities exist to expand and support irrigation and bolster horticultural products such as vegetables, flowers, fruits, and rice that can be grown using surface, gravity, pump, river diversion, drip, or sprinkler irrigation systems.

Technology: Opportunities to provide agricultural products, equipment, processing machinery, and packaging exist in most agricultural subsectors. Innovative agricultural technologies to improve yield and efficiency, and improve resiliency from extreme weather and climate change are needed. Integrating private sector and smallholder farmers into sustainable agricultural practices and innovations will have the best chance of success and contribute to value addition and trade initiatives. Opportunities in agro-processing, including cotton ginning and spinning, textile and garment manufacturing, fruit processing, fisheries and aquaculture, beef and dairy processing, leather processing, fisheries, horticulture, medicinal cannabis and industrial hemp, legumes, oil seed production, and production of sugar cane products also exist. There are also opportunities in innovative technologies including use of modern ICT in data collection and transmission.

Fertilizer: Opportunities exist for U.S. companies to export fertilizer into Malawi or to set up local fertilizer production plants. Malawi currently imports over 90 percent of its fertilizer, approximately 430,000 metric tons per year.

Resources

# data[].attributes.attachment_link.description
This is a best prospect industry sector for this country. Includes a market overview and trade data.

# data[].attributes.body
In Malawi, the principal source of income is the agriculture, which provides employ for more than the 80% of population.

According to the ADBG (2023) "Despite the reopening of the economy after almost two years of COVID-19 containment measures, GDP growth fell to 0.8% in 2022 from 2.2% in 2021. Russia’s invasion of Ukraine, global logistical challenges, and climate shocks dampened growth. The largest contributor to 2022 GDP growth was agriculture (22.1%), followed by wholesale and retail trade (12.6%) and real estate and construction (6.5%)." This is important for us to understand how such a dispriviliged country depends on the sector they have a principal lack of.

# data[].attributes.body
Q2. Malawi is a very vulnerable country when it comes to climate change, because it causes, flooding, dry spells, extreme rainfalls, seasonal droughts. These things affects very important things in the country such as agriculture

https://climateknowledgeportal.worldbank.org/country/malawi/vulnerability#:~:text=Malawi%20is%20particularly%20prone%20to,riverine%20floods%2C%20and%20flash%20floods.

# data[].attributes.body
Q1. The main economy in Malawi is agriculture, which employes de 80% of its population being the strongest source of economy of the country, the agriculture is also affected by climate changes.

https://www.worldbank.org/en/country/malawi/overview#:~:text=Malawi%20remains%20one%20of%20the,external%20shocks%2C%20particularly%20climatic%20shocks.

# data[].attributes.attachment_link.readable_text
Malawi is particularly prone to adverse climate hazards that include dry spells, seasonal droughts, intense rainfall, riverine floods, and flash floods. Droughts and floods, the most severe of these hazards, have increased in frequency, intensity, and magnitude over the past twenty years, with dire consequences on food and water security, water quality, energy resources, and sustainable livelihoods of the most rural communities. From 1979 to 2008, 2,596 people perished due to natural disasters, and nearly another 21.7 million people were adversely affected. Floods and droughts are the leading cause of chronic food security, which is endemic in many parts of the country.
This section provides a summary of key natural hazards and their associated socioeconomic impacts in a given country. And it allows quick evaluation of most vulnerable areas through the spatial comparison of natural hazard data with development data, thereby identifying exposed livelihoods and natural systems.

# data[].attributes.attachment_link.title
World Bank Climate Change Knowledge Portal

# data[].attributes.attachment_link.description
The Climate Change Knowledge Portal (CCKP) provides global data on historical and future climate, vulnerabilities, and impacts.

# data[].attributes.body
The principal source of economy in Malawi is the agriculture, employ over 80% of the population. But we need to know that is one of the poorest countries.

Information taken in: www.worldbank.org

By: Mariana Ramírez and María Alejandra Rojas

# data[].attributes.attachment_link.readable_text
Located in Southern Africa, Malawi is landlocked, sharing its borders with Mozambique, Zambia, and Tanzania. The country's estimated population is 20.41 million (2022) with an annual growth rate of 2.6%.

Malawi remains one of the poorest countries in the world despite making significant economic and structural reforms to sustain economic growth. The economy is heavily dependent on agriculture, which employs over 80% of the population, and it is vulnerable to external shocks, particularly climatic shocks.

In January 2021, the government launched the Malawi 2063 Vision that aims to transform Malawi into a wealthy, self-reliant, industrialized upper-middle-income country, through a focus on agriculture commercialization, industrialization, and urbanization. The first 10-year implementation plan anchors the World Bank's Country Partnership Framework (CPF) FY21- FY25.
Political Context
Malawi has enjoyed sustained peace and stable governments since independence in 1964. One-party rule ended in 1993. Since then, multi-party presidential and parliamentary elections have been held every five years.

Malawi's sixth tripartite elections were conducted in May 2019. The presidential results were nullified in February 2020 by the Constitutional Court. Fresh presidential elections were held on June 23, 2020, in which Lazarus Chakwera of the Malawi Congress Party and Saulos Chilima of the UTM Party were elected as president and vice president respectively after getting 58.6% of the votes. They won against Peter Mutharika of the Democratic Progressive Party and United Democratic Front coalition which received 39.4% of the votes. President Lazarus Chakwera and Vice President Saulos Chilima lead a coalition of nine political parties known as the Tonse Alliance. The next general election is scheduled September 2025.
Economic Overview
Malawi's economy continues to be significantly weakened by frequent exogenous shocks coupled with macro-fiscal imbalances. Growth is projected to increase in 2023 to 1.6% as electricity supply improves, compared to 0.9% in 2022. However, severe, and persistent shortages of foreign exchange continue to subdue growth. The country is expected to secure a staff-level agreement with the IMF and return to an Extended Credit Facility by the end of 2023.

The economy is expected to grow at 2.8% in 2024, supported by further anticipated macroeconomic reforms. However, such growth remains insufficient to substantially mitigate the prevailing high levels of poverty.

Following Tropical Cyclone Freddy, agriculture output has grown only marginally since last year. Inflation has remained high at 28.4% in July 2023. Food prices are increasing rapidly, reaching 39.3% year-on-year in July 2023 mainly driven by supply constraints. To contain inflationary pressures, the policy rate was increased to 24%, from 14%. With interest rates rising, the fiscal burden of debt service has increased. While foreign exchange reserves have exhibited a modest improvement, they remained low at 0.7 months of import cover in July 2023. Recurrent climate shocks pose a considerable risk for exacerbating food supply shortages in Malawi. Coupled with persistent inflation, rising domestic prices, and an anticipated decline in per capita income, the percentage of individuals subsisting on less than $2.15 per day (2017 PPP) is projected to increase from 71% to 72% in 2023.

The implementation of fiscal consolidation reforms has resulted in a modest decrease in expected deficits, from 11.9% of GDP in 2022 to 10.4% expected in 2023. However, public debt is still in distress and unsustainable, estimated to reach 80.3% of GDP in 2023. Amidst rising interest rates and continued borrowing, interest expenditure is expected to consume 24% of the current budget.
Development Challenges
Low agricultural productivity and limited commercialization has resulted in stagnant growth in incomes for the majority of Malawians. Structural challenges faced by the sector include market distortions such as price controls, trade restrictions, poorly targeted subsidies, and low access to inputs, which constrain investment and export-led growth. These effects are magnified by increasingly frequent and destructive tropical cyclones, including Cyclone Freddy in February 2023, which resulted in estimated losses and damages of more than $500 million.

External imbalances impede more rapid economic growth. Exports as a share of GDP have been declining over decades, driven by weak demand for tobacco and an overvalued exchange rate, which has resulted in low foreign exchange reserves and a rising spread between the official and parallel rates. The imbalance has made foreign exchange scarce, in turn constraining productive imports, including machinery and fuel for production.

Weak public financial management systems have caused the government to miss its fiscal targets, resulting in unexpected and high deficits. High and rising domestic interest rates mean that debt servicing costs continue to erode fiscal space.

Last Updated: Oct 06, 2023

The World Bank Group Malawi Country Partnership Framework (CPF) FY21-25 focuses on three areas: bolstering foundations for growth and accountability, promoting private sector-led jobs, and strengthening human capital development, with digital development and women's empowerment as cross-cutting themes. The CPF is anchored in the Malawi 2063 vision. A Performance and Learning Review of the CPF is expected in the third quarter of FY24.

As of September 2023, the World Bank's portfolio in Malawi consists of 19 IDA lending operations with a total of $2.34 billion of which seven (worth $607.77 million), are regional projects. These are complemented by $133.92 million in trust funds (both Bank and Recipient Executed).

The portfolio includes financing for programs in agriculture and food security, urban resilience and land, social protection and jobs, governance, basic service delivery (including health, education, and water and sanitation), and support in the energy, transportation, digital development, trade logistics, finance, and competitiveness sectors.
International Finance Corporation (IFC)
IFC's engagement in Malawi focuses on investment and advisory activities that help diversify the economy, develop energy infrastructure, and improve access to finance.

Under the infrastructure and natural resources program, IFC is providing public-private partnership advisory services to the water, transport, and energy sectors. IFC supports private sector involvement in hydro and other renewable energy power projects identified as a priority in Malawi's Integrated Resource Plan.

IFC is supporting value addition enterprises in the agribusiness sub-sector, diversification of Malawi's exports, and increasing agricultural productivity through support of irrigation projects and working with the government to improve the environment for private sector investments in this sector.

In the financial sector, IFC provides advisory support with the aim of increasing access to finance for small and medium enterprises (SMEs), and to help improve the collateral registry and credit reference systems.

Last Updated: Oct 06, 2023

The Equity with Quality and Learning at Secondary Project (EQUALS) aims to improve the quality of science and mathematics instruction in Community Day Secondary Schools (CDSSs) and increase access to secondary education in selected remote areas. Since March 2019, the project has made significant progress including:

90% of the targeted secondary schools have reached the desired student-textbook ratio of 1:1 in the four selected science and mathematics subjects.

140 unqualified teachers have been enrolled to the University Certificate for Education (UCE) program including training of nearly 4,500 secondary school teachers on remediation to address COVID-19 school closure effects.

A Digitized Inspection Tool, construction monitoring tool, and an online registration and payment platform for end of cycle examination have been developed as ICT tools to improve education quality and system management.

The Digital Malawi Program Phase I: Malawi Digital Foundations Project ($72.4 million)  (DIGMAP), aims to increase access to affordable, high-quality internet services for government, businesses, and citizens. Since its implementation in 2018, achievements include:

10 tech hubs have been established across the country providing training in digital skills, basic ICT literacy and entrepreneurship, to over 10,000 youth, of whom over 50% are female. The tech hubs competitively awarded sub-grants of $2,500 to young entrepreneurs.

Over 50 young tech enthusiasts have been matched with internship programs in various organizations.

Internet for Academia - Over 66,000 students from 66 higher learning institutions in Malawi are now able to access cheaper and reliable internet connectivity though Malawi Research and Education Network, MAREN. Around 40% of the students are females.

Over 30 Free Public Wi-Fi spots are now available in public locations including post offices, hospitals, schools, libraries, marketplaces, and airports, providing access to free internet, and for business continuity.

Malawi Energy Access Project (MEAP). The 2019 $100 million project was designed to fast track electrification efforts and provide electricity access to approximately 1.6 million people, constituting 8% of the population. Since the start of its implementation results include:

Over 180,000 individuals now have access to electricity, bringing long-awaited relief to customers who have been waiting for over five years.

Electricity Supply Corporation of Malawi, ESCOM, the implementing agency has embraced transparency and accountability by publishing all quarterly connection targets on its customer engagement platforms.

The Ngwee Ngwee Fund, meaning "bright" in Chichewa, an integral part of the MEAP, established to provide working capital and grants, fostering the growth of the private sector-led off-grid solar segment of the market, has forged partnerships with five leading solar companies, embarking on a connection campaign to provide solar home systems to nearly 1 million people.

Last Updated: Oct 06, 2023

The World Bank in Malawi continues to strengthen partnerships with other Development Partners in implementing high impact and large-scale projects. The ongoing Shire Valley Transformation Programme in partnership with the African Development Bank; and The Social Support for Resilient Livelihoods Project (SSRLP)- Malawi's flagship safety net programme, financed by a multi-donor Trust Fund which includes USAID, Republic of Iceland, UKAID, Ireland and European Union, are some of the projects that demonstrate World Bank collaboration and partnerships at country level.

Last Updated: Sep 25, 2023

# data[].attributes.attachment_link.description
The World Bank Group supports Malawi's efforts to reduce poverty and promote economic growth by working with the government, development partners, and civil society.