The European Union (EU) has said it is working with the Malawi Government to devise ways to ease the country’s growing socio-economic pressure and boost foreign exchange generation through targeted initiatives.
EU Ambassador Daniel Aristi Gaztelumendi, speaking in an interview in Mzuzu yesterday after the signing of a memorandum of understanding (MoU) between the EU Delegation to Malawi and Mzuzu University (Mzuni) on eco-tourism, said they are implementing an €8 million (about K16.8 billion) ecotourism programme called Taza standing for Tikope Alendo ndi Zachilengdwe m’Malawi.
He said the programme seeks to promote Malawi as a tourist destination, support small and medium enterprises (SMEs) and strengthen skills in the tourism sector.
“One of the strands of activities is developing the private sector in order for it to generate forex. Ecotourism is part of that. We want to attract international tourists and international forex through tourism,” said Gaztelumendi.
Malawi is grappling with foreign exchange availability as the country earns about $1 billion from exports against a $3 billion import bill, leaving a $2 billion deficit.
The development has worsened post the Covid pandemic, leading to scarcity of essentials such as medical drugs and supplies, fertiliser, fuel and raw materials for subdued industries.
The EU’s bilateral development cooperation envelope for Malawi stands at €497 million (about K1 trillion) while the wider Team Europe portfolio, which includes EU institutions, member States and the European Investment Bank, is valued at about €1.5 billion (about K3 trillion).
Taza was launched earlier this year and is expected to improve collaboration among government, academia, development partners and local communities.
Gaztelumendi said Mzuni’s involvement was important in preparing students with the skills required to develop the ecotourism industry.
He said the EU was also supporting agriculture and investing in electricity generation and transmission infrastructure to strengthen the economy and increase foreign exchange earnings
Said Gaztelumendi: “We are supporting the agricultural sector very much, which is another way of generating forex. We are supporting the electricity generation and transmission sector Mpatamanga hydropower station.
“We also funded the interconnector between Malawi and Mozambique, which means that electricity generated through Maatamanga can then be exported to Mozambique and to the whole of the Sadc [Southern Africa Development Community] power pool and generate forex as well.”
Mzuni Vice-Chancellor Professor Wales Singini said through the MoU, the university will establish a research centre for ecotourism, making it a champion in this area.
He said they will also build the capacity of SMEs and university staff in eco-tourism.
“We believe the project is going to develop solutions, some packages that will be able to support tourism attraction. So we believe that moving forward we should be able to take the industry to the level that is expected,” said Singini.
Ministry of Industrialisation, Business, Trade and Tourism Principal Secretary for tourism Jean Mnyenyembe said a situation analysis for National Ecotourism Strategy revealed that the country’s ecotourism is underutilised.
“There is relatively low numbers of international visitors due to limited meaningful local participation in ecotourism initiatives, marketing, accessibility, among others,” she said.
The EU resumed direct budget support to Malawi in 2024 and has repeatedly urged Malawi to accelerate agreed reforms, including use of the Integrated Financial Information Management System—the government’s electronic payment platform—to ensure further disbursements, restore macroeconomic stability and achieve collective goals.
