Malawi Sign Numerous Deals During MIF… Full Report Ready By Friday- Mwanamvekha

The Malawi Government describes its first ever Malawi Investment Forum (MIF) a 'success' having signed so many deals with foreign investors.

Minister of Industry and Trade, Joseph Mwanamvekha whose ministry has been coordinating to host the forum has since described the forum as huge success and promised ready to release full detailed and comprehensive report on the deals made in the Forum by Friday this week.

"Deals have been done, some of them (Investors) have just indicated their interest" said Mwanamvekha before the Communiqué was read out.

Mwanamvekha who was accompanied by three other ministers at Bingu International Conference Centre to deliver the Communiqué said close to US$ 1.5 million deals have been realized. He also said other deals will be made in the near future and at the time of issuing the Communiqué more discussions with investors were taking place and that some more will be happening in week's time.

He said other projects that investors have expressed interest require feasibility studies.

The Trade Minister boasts "From our perspective and from comments received, this forum was success because we managed to market Malawi"

He said investors managed to identify the opportunities and most of them were interested in Energy and mining sector, Infrastructure and Agriculture sectors.

Minister of Transport and Public Works, Francis Kasaila said he was impressed with number of interested investors in the transport sector including; Japanese Investment Institution Hitoch Corporation which is interested in number of projects; Elactra from Uganda interested Airport City in Lumbadzi, rail rehabilitation, marine and power projects among other number of investments and the company has promised to be back for more discussions in two weeks time.

"But the most important thing in the infrastructure sector is that we have been able to expose our local investors to financing institutions and in this regard the meetings we had with Economic Bank of Africa is one of them which has given the opportunities to local investors that they can send proposals and get financing and they have made it clear that they are ready to finance projects that are past with feasibility studies and we have number of projects that have gone past that." Said Kasaila

Taking his turn, Minister of Agriculture, Irrigation and Water Development, Allan Chiyembekeza said there is a investor interested in production of ethanol as well as production of glucose and starch from maize and that they are looking for huge quantities for maize.

The minister said discussions are underway and that once the deal is on, Malawian farmer will benefit much as the company is looking for quantities in excess of 350 thousand metric tonnes per year used to produce ethanol.

He said another company is interested in producing fertilizer and that another company from Zimbabwe, is interested to invest in chicken farming especially dealing with youth.

Unfortunately he said there was no investor interested in irrigation agriculture, "With the climate change problems we are facing in this country, I think we will be moving towards the intensification of irrigation agriculture." he then invited those with resources and interest to come forth and invest in this area.

Minister of Natural Resources, Energy and Mining, Bright Msaka said in Energy sector numerous investors have expressed interest as well. He said "I can say here and without hesitation that if we were to consolidate anything that we have received we will be fully satisfied to our energy need"

He indicated that some investors have expressed interest in providing financing in energy sector while others are interested in providing technical services in the sector.

Msaka confidently said "We created enough curiosity" by people interested in mining industry to come and explore more

"For many years Malawi has not been known as the mining nation, but we are the mining nation in view of amount of deposits that we have." Said Msaka who further assured the gathering and asked to spread the word that "there is enough minerals in Malawi to last us many years to come"

Malawi Investment Forum Begin Bearing Fruits MoreDeals Signed With Investors

The Malawi Investment Forum (MIF) ends with excitement to the Government as the outcome apparently begins to bear fruits following serious deals made with a lot of interest from numerous investors.

The Communiqué read at the end of the two day conference indicates that so far “three known deals have been quantified and offer over US $1.1 billion of investment” and that investors are coming up with serious investments promises to the country. 

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.”

Africa’s Richest Man Fails to Attend MIF For Security Issuess

Aliko Dangote the Africa’s riches man has failed to show up at the Malawi Investment Forum (MIF) after enjoying the most publicity of his presence at the occasion.

It is feared that the Nigerian business man, Dangote has failed to show up for the forum due to security issues.

However the Malawi Investment Trade Centre (MITC) Chief Executive Officer Clement Kumbemba was not immediate for commenting on what happened.

Government might have been told or sensed of his absence at the event if remarks made by the Minister of Trade and Industry on Saturday evening at a press conference we are to go by. 

Hon Joseph Mwanamvekha said with doubt that Dangote will come. He stammer as he speak, “We are trying to contact him to…aaahh…but therrr… we don’t know when he is coming. Understand, for security reasons aaahh…, He could come between tonight and tomorrow morning. But in terms of accommodation it has been arranged. There were questions where am told he is doing Ramadan but the arrangements are being made to accommodate that. So, lets wait and see until may be tomorrow (Sunday) evening or even on the day, after all am told he can fly in, he has his own plane. May be they have their own arrangement”

Roger Martin; 2015 MIF event planner

When asked on Monday afternoon to confirm if Aliko Dangote will come after it was observed that he was not present during the opening session, the MIF event, Roger Martin Director for the Developing Markets Associates hired by MITC having successfully run similar event held two years ago in London also mentioned of security issues.

“He is not here and we are not quite sure why” he said, but “It is something to do with I believe security issues, he wanted to come but he is unable to, it is nothing to do with us here with Malawi or anything else because even as late as last night (Sunday) he was hoping he could come. So it’s just one of those things”

Mr. Martin further assumed that since Aliko Dangote a beacon for African entrepreneurs is an extraordinary busy man, it does mean his time is very limited and “it may well be busy schedules in the end, could not allow him to come”

“But I know that he wanted to” he added

However, speaking of the event, Roger said attendance has been extraordinary and positive given that it was a first time and it was organized at a “good quite speed” therefore having all expected delegates present both domestic and international communities that is also sending strong message that Malawi is open for business. He added that the event was extremely well done.

Malawi Opposition Leader Hails Mutharika For Inviting Investors Forum

Hon Dr. Lazarus Chakwera

As the Malawi Government decision to invite both global and local investors continue be well-liked among foreign dignitaries, from Malawi, Leader of Opposition in Parliament and President for the Malawi Congress Party (MCP) Dr. Lazarus Chakwera, describes Malawi Investment Forum (MIF) “a way to go.”

Though Chakwera noted with concern that such an idea “should have been ready yesterday”, but acclaimed the move saying that MIF is Malawi’s road to prosperity.

“This is way overdue.” He observed then said, “This is as it should be, because we cannot thrive as a nation if we do not really have big time investment and big time trading. Because we have added value to the production that we have in the country, so this is a way that things have to work”

The Malawi Opposition Leader emphasized that “This is what we must do in order to encourage that there be production and creation of wealth in order for the country to truly develop.”

Hon. Chakwera however, hints that “We just need to pull up our socks as a nation and do what is required” by pulling out resources together in terms of how Malawi can truly market herself “than just talk about it.” On this he reminded that Malawi need to trade carefully when wooing foreign investors taking into account that “we are living in the global village” where such investors “no matter how you can talk to them” they will read about Malawi and they will know what happens in this country and they will know about what other investors have experienced.

Hon Dr. Lazarus Chakawera

The MCP president attended the opening ceremony for the first ever Malawi Investment Forum which  the Malawi President, Professor Peter Mutharika officially opened on Monday 30th June 2015 at Peermont Hotel's Bingu International Conference Centre.

The conference has drawn companies from across the globe, with intent to invest in Malawi.

Government of Malawi is showcasing its opportunity areas in the seven sectors of Mining, Agriculture and Agro-processing, Energy, manufacturing, Infrastructure, Tourism and Financial Services.

SADC Encourages Women Empowerment at MIF

Women empowerment has been highlighted as one of the most important step that all prospective investors in Africa needs to undertake, says Southern Africa Development community (SADC) at the Malawi for Malawi Investment Forum (MIF).

The MIF that begins on 29t June and ends 30th June 2015 has drawn number of companies across the globe with interest to invest in Malawi in wide range of investment opportunities.

SADC Executive Secretary, H.E Stergomena Lawrence Tax while expressing optimism that the success of MIF will spread across the region, said private investors gathered in Malawi should not marginalise women as they set up investment projects in the country but must offer them opportunities by place them into various decision making positions because they are capable.

“They (women) can and I can assure you that they can deliver” she said “And am saying this from an experience point of view” added Stergomena who said she is one of the privileged women who is in higher position as first woman Executive Secretary for regional grouping SADC because back home government had offered her opportunity to work as civil servant for a long time in leadership positions.

“I’m saying it from experience. Please give women a chances and they can deliver. They are real talented” she assured

The SADC executive secretary hailed Malawi government for putting together investors from across the globe to explore investment opportunities that are available in the country and described the MIF ‘Milestone forum’ which will enable partnerships and economic development for Malawi and SADC region.

She noted that the forum comes at a right time as twenty six (26) countries from SADC, the Common Market for Eastern and Southern Africa (COMESA) and together with from Eastern African Community (EAC) have just signed Tripartite Free Trade Agreement (FTA). She said the  establishment  of  a  Tripartite    will bolster  intra-regional  trade  by  creating  a  wider  market  ,  increase  investment flows,  enhance  competitiveness  and    encourage  regional  infrastructure development as well as pioneer the integration of the African continent.