Key Projects of Malawi
Regional Communications Infrastructure Project
A collaboration between the Government of Malawi and the World Bank, the Regional Communications Infrastructure Project (RCIP) will improve the availability, affordability and quality of communication services in the country in addition to improving Malawi’s connectivity to other countries. In June 2009 the World Bank Board of Executive Directors confirmed an International Development Association credit of US$20 million for the project under the Regional Communications Infrastructure Program. Improving the currently underdeveloped communications infrastructure sector is considered a priority to alleviate the high cost of doing business in the country thanks to high international call and broadband connectivity costs. It will create more competition and bring in cost reduction measures to remove cost bottlenecks.
Malawi Agricultural Partnership/Prorustica
Prorustica is an NGO dedicated to setting up PPPs in Africa. The Malawi Agricultural Partnership was initiated in 2007 as an agricultural development initiative between Prorustica, Norwegian-based chemical company Yara International and other local partners to create a value chain project for Malawi’s successful fertiliser subsidy programme. The cotton and rice production partnership seeks to relieve problems in the fertiliser supply chain, providing supportive infrastructure and other enabling mechanisms on a local level. Prorustica worked closely with the African Institute of Corporate Citizenship, a nongovernmental organisation whose main directive is to advance the role of business in development, throughout the project.
Malawi has publicised its interest in pursuing public-private partnerships in the area of public services to accelerate economic growth, improve quality of life and reduce drastic poverty. In May 2011, the Malawi Public Private Partnership Commission, formerly the Privatization Commission of Malawi, established a dedicated PPP policy. Key sectors identified for PPP investment in the country are energy, telecommunications, transport, tourism, public utilities, health and education.
Foreign direct investment has seen some increase in recent years with investment injected into uranium and bauxite mining, and other investment opportunities arising in tourism, agro-processing and the manufacture of clothing and fertilisers. The government has sought to bring a climate of openness to business via efforts such as establishing a commercial court and working to stabilise the interest rate. Malawi has used PPPs to make considerable progress on its eight Millennium Development Goals.