COMESA Ready To Prop Up Malawi Investment Opportunities

Mr. Sindiso Ngwenya Secretary General for Common Market for Eastern Africa (COMESA) has assured Malawi Government to carry out an initiative that attempts to prop up the Malawi Projects Compendium in order to attract more investment in the country.

Ngwenya was speaking in Lilongwe at the Malawi Investment Forum (MIF) where Investors drawn from 31 countries were exploring investment opportunities for Malawi. He said the regional grouping will popularize Malawi investment opportunities.

He assured president Mutharika that COMESA Investment Agency based in Cairo which "has had many successful efforts" in raising investments, will be receiving in electronic form of the compendium so that those projects that do not get partners during MIF conference are promoted.

"In the next six three month Your Excellency, I will be able to come to you and say this is what I have done." He challenged

"I will also be coming to Malawi by the end of this month (July) with a team to work on the special economic zones. Because one of the reasons why special economic zones do not work is because of the way we are promoting them." He said

He said the team will work with the government in order to structure special economic zones so that they deliver

"Because as I said; you have a surplus labor, disciple labor, raw materials in the agro-processing. Out of 1.2 billion exports of Malawi, 95% of those exports are agriculture products." He then said adding value to that with a total import bill in excess of 2 billion dollars, Malawi will be able to grow the economy and reduce the trade deficit which is the major challenge now.

Ngwenya maintained "Even my colleagues from IMF would agree that unless we have that structural transformation that diversification of economy based on identifying those specific value chains in which Malawi is competitive", then Malawi can begin create wealth creation.

COMESA Plead With Investment Banks to Support SME’s: OPIC, PTA Bank Express Readiness

Common Market for Eastern Africa (COMESA) has sent an appeal to investment banks to support the struggling African Small and Medium Enterprises (SMEs) with access to finance.

Mr. Sindiso Ngwenya Secretary General for COMESA noted that success of most projects for SMEs can be realised if SMEs gets guarantee funding from finance institutions.

When addressing the Malawi Investment Forum (MIF) held in the Capital city, Lilongwe, Ngwenya said though the region is fortunate in having financial institutions that are providing funding, SME business projects are failing to get financed in commercial banks. He said SME’s can’t access to money in the commercial banks without guarantees which is a major set back.

Ngwenya therefore asked Overseers Private Investment Corporation (OPIC) Vice President and Chief Executive Officer to consider extending their financing programmes on guarantee fund for SMEs 

While appealing for OPIC to consider put guarantee fund for SMEs and work together with the regional grouping Ngwenya said  highlighted that "without guarantee funding" some of the important projects like those that may begin in Malawi "will not be able to get financing.” 

Responding to the request James Polan, Overseers Private Investment Corporation (OPIC) Vice President, Small and Medium Enterprise Finance said “We are in fact working now in East Africa Loan Guarantee Fund for SMEs whereby we will be able to provide guarantees to Malawi and other banks so that they can extend credits to SMEs without personal guarantees required.”

The OPIC vice president expressed readiness to support the investors in Africa and urged them to research their investment choices with diligence, articulate then said OPIC will be ready to help financing them.

As well, the Eastern and Southern African Trade and Development Bank (PTA Bank) President and Chief Executive Officer for PTA Bank Mr. Admassu Tadesse when speaking at the MIF, pledged strong support available investment opportunities in Malawi. 

“We would like to strengthen our partnerships not just with investees here but also our co-financing partners such as African Development Bank and African Financing Corporation. We have strong indication and capability at PTA Bank. So we have very strong appetite still for Malawi, we are open for business we are practical and we try to pride our serves on being dynamic and faster than other most multilaterals. This can also be advantages for entrepreneurs who understand the value of time and efficiency.” 

However, both OPIC and the PTA Bank emphasized the need for conducive environment for doing business.

The OPIC vice president, Mr. Polan, emphasized by urging Malawi government that “It’s absolutely essential for government to ensure regulatory processes are streamlined” to fully attract investors and make them stay. He also recommended that there is need to open to new entrance and have a predictable and transparent tax regulatory investment regime which is written and understandable.

On other note, the PTA Bank President and CEO, Tadesse hailed government of Malawi for showing resilience bouncing back from impact of floods and food crisis and resolutely deal with macro-economic challenges and creating a more predictable and more enabling business environment.

“We have seen that inflationary pressures which were difficult are now moderating. And we have seen how Kwacha has stabilized. Indeed government is on the path of fiscal consolidation and this should put downward pressure on inflation and interest rate in the medium term.”

Malawi Prepares ICT Experts in Cyber Security Threats

George Mkondiwa: Government
 is trying to fight cyber crimes 

Cyber Security issues have not spared Malawi, with the boom in mobile and computer use some Malawians have experienced hacking, online data theft and proliferation of destructive malware, these events and future serious cyber threats have forced Malawi Government to embark on training aimed at raising awareness among ICT Executives and Policy Makers on cyber security so that they know the need for urgency in making policies relating to cyber crime.

The workshop has began on Tuesday in the Capital Lilongwe following a study by Common Market for Eastern and Southern Africa (COMESA) that established that member states, including Malawi, were lagging behind in the formulation of policies and legislation that deals with cyber crime as well as lack of awareness among government policy makers and top executives on the need to urgently formulate and pass laws relating to cyber crime.

Chief Secretary to the Government Mr. George Mkondiwa when opening the training said, Malawi is trying to ready itself from future possible cyber attacks following the emerging computers and cellphones in the country and that the workshop marks the beginning to talk and make Malawians aware of threats brought by ICT and know how to prevent them.

He said Malawi government recognise the role the ICT-revolution plays to national development and is harnessing the  ICT through putting in place regulatory and legislative frameworks intended to ensure that Malawi makes the most of this revolution in its efforts to transform the country from poverty to prosperity.

"However, the Malawi Government is aware that the emergence of the ICTs has brought along with it the concern of cyber threats." Says Mkondiwa, 

"As highlighted by the International Telecommunication Union (ITU), and even if at a  relatively lower scale compared to what is happening in the developed world, Malawi is also today facing the same problems of identity and data theft, proliferation of destructive malware and denial-of service attacks which the ICT sector world over is facing. Needless to say, that these threats are a virus that can undermine the role of ICTs as a tool critical to national development and, at the same time, inhibit the growth of the ICT sector itself." 

But he said Malawi is commited to spare no effort in tackling these crimes, especially so because "ICTs are the superhighway toward transformation of education, commerce and and other sectors" among others.

"This is why the Malawi government, like a good general at the battle front,

has taken the leading role in enhancing cyber security in the country through drafting the Electronic Transaction Bill.

Among many other things, the bill provides for investment in Public Key Infrastructure (PKI), that will ensure secure exchange of data between and

among computer users. The Electronic Transaction Bill also proposes the formation of Computer Emergency Response Team (CERT) in Malawi which will be handling internet security issues. The government believes that once passed into law, and working in harmony with several other ICT- related legislation already in place, this bill will address issues related to cyber threats, thereby enabling the country to maximise the usage of ICTs."

The Malawi Government Chief Secretary then assured the meeting that the administration of Professor Arthur Peter Mutharika, will do all it can to create an environment that "provides a powerful arsenal to this war." 

"The government will continue to provide direction, undertake reforms and make necessary investments in requisite skills and infrastructure for the consolidation and further development of the ICT sector in the country."

Andrew Kumbatira 

Malawi Communications Regulatory Authority (MACRA) has partners with COMESA in training the officers.

MACRA's Director General Mr. Andrew Kumbatira said Cyber security is an area that has not been explored extensively in Malawi and there is need for awareness as the nation is experiencing increasing electronic transactions, which in turn will enhance economic activity of the country.

He said though Malawi has not yet experienced a very serious cyber threats, but with emerging cellphones and computers it is apparent that the country will in two year period experience the worst if ICT experts are not trained in how to secure Malawi cyber space.

The three day training has drawn High Level Executives and Policy Makers including Government officials responsible for ICTs, Legal Experts and the ICT/IT and Telecommunications Experts.