Delegates at the Malawi Mining Investment Forum in Lilongwe have called for reforms to attract investment into the mining and energy sectors.
The reforms include proposals for the government to raise capital through the Malawi Stock Exchange and address persistent power shortages undermining investor confidence.
In a panel discussion titled ‘Trade connectivity, exploring mineral value chains, trade routes, trade agreements’, Malawi Investment and Trade Centre director general Kruger Phiri acknowledged that securing investment for the country’s emerging mining sector remains a major challenge.
He said: “Mining requires substantial investment.
“It also demands patience to endure long investment cycles and a considerable appetite for risk.”
Under the Mines and Minerals Act of 2019, artisanal mining permits require no minimum investment, targeting Malawian citizens and cooperatives.
Small-scale mining licences typically require commitments ranging between $50 000 (about K85 million) and $500 000 (about K875 million), depending on the mineral type and location.
Large-scale licences, meanwhile, demand greater financial capability, with minimum investments often starting at $1 million and even higher for minerals such as uranium, rare earths, and niobium.
Junior exploration companies have been active in underexplored regions, operating on budgets between $100 000 (about K175 million) and $500 000.
Beyond financing hurdles, delegates also highlighted energy insecurity as a critical obstacle to mining and industrial growth.
“The persistent lack of reliable electricity not only raises production costs but also deters long-term investment planning,” one delegate said.
During a plenary session following the panel discussion, Minority Shareholders Association of Malawi general secretary Frank Harawa urged government to divest its holdings in State-owned enterprises and reinvest proceeds into the energy sector to address structural constraints.
“Why should the government hold 100 percent of shares in Umodzi Park?” he asked. “Why not sell half of those shares to the general public through a listing on the Malawi Stock Exchange (MSE) and reinvest the rest to boost the local power supply?”
Delegates argued that broader citizen participation through stock market listings could unlock domestic capital for national development while reducing the fiscal burden on the government.
The proposals presented at the forum underscore the critical need for integrated reforms in the mining and energy sectors to drive sustainable growth.
