Export Development Fund (EDF), a development finance institution wholly-owned by the Reserve Bank of Malawi has called for the need to scale up export capacity to place the economy on a more sustainable growth trajectory.
In its July 2025 Trade Digest, EDF said scaling up export capacity entails improving productivity, strengthening agro-processing and light manufacturing, enhancing trade infrastructure and logistics and widening access to trade finance.
Reads the report in part: “Without a coherent and deliberate strategy to grow and diversify exports, Malawi risks remaining trapped in a cycle of trade deficits and foreign exchange crises, thereby undermining its potential to create jobs, reduce poverty and achieve its long-term development ambitions under Malawi 2063.”
In an interview on Monday, Ministry of Trade and Industry spokesperson Patrick Botha said Malawi also intends to leverage regional integration through its participation in regional blocs such as African Continental Free Trade Area, Southern African Development Community and Common Market for Eastern and Southern Africa as opportunities to explore new markets for value-added products.
On his part, Scotland-based Malawian economist Velli Nyirongo said that “lower revenues from agricultural and mineral exports will reduce foreign exchange earnings and widen the current account deficit”.
Data contained in the report show that over the past six months, merchandise exports declined significantly after a strong start in January, when exports reached $126.7 million (about K222 billion) before reaching $73.6 million (about K129 billion) in June 2025.
In contrast, merchandise imports remained high throughout the period, peaking at $314.8 million (about K551 billion) in May.
