The African Development Bank (AfDB) has backed Malawi’s upcoming national census and economic surveys, providing the essential data required to rebase the country’s gross domestic product (GDP).
Minister of Finance, Economic Planning and Decentralisation Joseph Mwanamvekha disclosed the development yesterday following a high-level meeting with AfDB vice-president and chief economist Kevin Chika Urama.
The meeting took place on the sidelines of the Eighth Korea-Africa Economic Cooperation (Koafec) Ministerial Conference in Seoul, South Korea.
Mwanamvekha said the national census and its related economic surveys are budgeted at approximately $55 million. He added that international development partners, including the US Census Bureau, the UK’s Office for National Statistics and the United Nations Population Fund (UNFPA) are expected to co-finance the exercise.
He said that Malawi last rebased its GDP in 2017 and urgently requires a modernised framework to accurately reflect current economic activities.
“The census and the survey to assess economic activities will feed into our work to rebase the GDP. This will give us a true picture of the actual state of our economy,” the minister said.
Urama confirmed discussing financial support for the exercise with Mwanamvekha, but declined to disclose specific figures.
“We have discussed a lot about the good work that Malawi is doing and what it intends to do. On our financial commitment, I would rather keep it confidential for now,” he said.
According to Mwanamvekha, the census, traditionally conducted every 10 years, will be complemented by comprehensive economic surveys designed to capture shifting market trends and update the structure and actual size of the economy.
He said that ideally, a country’s GDP should be rebased every five years.
The data exercise arrives at a time when Malawi faces severe fiscal and debt pressures. The country’s nominal GDP is estimated at K35 trillion while total public debt is projected at 90 percent of GDP. The International Monetary Fund (IMF) has repeatedly described Malawi’s current debt dynamics as unsustainable.
A revised GDP calculation could positively alter key economic ratios, including the critical debt-to-GDP ratio, particularly if the rebasing reveals that the actual size of the economy is larger than previously captured.
However, analysts note that while rebasing can improve statistical ratios, it does not reduce the actual nominal value of the government’s outstanding debt.
Urama said that he was encouraged by Lilongwe’s commitment to macroeconomic reforms, while acknowledging that significant challenges remain.
The Koafec ministerial conference has concluded with the adoption of a shared vision focused on artificial intelligence (AI), digital infrastructure, and human capital as the primary drivers of Africa’s economic transformation.
The final declaration includes binding commitments on technology transfer, AI data centres, renewable energy, digital literacy, smart agriculture and enhanced financing for micro, small and medium enterprises to be implemented through specific resource allocations under the Koafec Action Plan 2027/28.
