All mining companies to list on MSE
Ministry of Mining has said it agreed with all mining companies to list on the Malawi Stock Exchange to increase local participation in the sector.
Principal Secretary in the ministry Joseph Mkandawire disclosed this at a recent virtual conference on mining investment with Malawians in diaspora, trying to encourage them to invest and participate in the local mining sector.
Mkandawire said his ministry discussed with all mining companies “and they all agreed that once the Mining Development Agreements (MDAs) are done, they will list on the Malawi Stock Exchange”.
The move has excited the MSE which, through chief operating officer Kalline Kondowe, said this will increase investment plaforms on the local market, which currently only has 16 counters.
“This is a welcome development for the market as it will provide an avenue for Malawians to participate and become shareholders in mining companies operating in Malawi. Listing will also enable the companies to raise patent capital that will assist them in their operations and other expansion projects,” said Kondowe.
She further said this will transform the stock market by providing alternative investments avenues for the investors who are looking at new investment opportunities in the market.
During the virtual conference that ignited more interest from the Malawians living in various countries, goverment was challenged to come up with specific investment plaforms that they can invest in to spur the growth of the sector.
Mkandawire said the conference had given the ministry some insights on how best to work with the Malawians in diaspora, who offer capital and expertise needed in the sector.
In her contribution, Minister of Mining Monica Chang’anamuno said government will ensure that there is local beneficiation of mineral resources to maximise returns to the country.
She said Africa Mining Strategy Group, to which Malawi is a member, has provided intra Africa trade in mineral resources to ensure African minerals do not leave the continent unprocessed.
On the building of refinery capacity, Mkandawire said government is working with some companies to ensure their refinery projects are accommodated at the Magwero Industrial Park, where they will benefit from special incentives under Special Economic Zone legal framework.
A number of mining ventures are at different stages with two— Kangankunde Rare Earth Mining Project by Lindian Resources and Kanyika Niobium Mining Project by Globe Metals—already secured mining licences after agreeing on the terms with government.
Meanwhile, the mining sector, which slumped in 2021 by negative 3.6 percent has been on a steady growth at the rate of 2.6 in 2022 and is expected to grow by 4.2 percent this year and 6.8 percent in 2025.
According to Chang’anamuno, government has also registered the long-awaited mining company that will spearhead local investment in the sector and has also concluded the establishment of the mining regulatory authority, which will take over the issuing of licences and regulatory functions of the sector.
