Iceland commits K23bn to boost services in 3 districts
The Government of Iceland has pledged a $12.9 million (about K23 billion) grant to support education, health and sanitation programmes in Balaka, Machinga and Salima districts.
Unveiling the funding in Lilongwe yesterday, Iceland head of mission David Bjarnason said the performance-based programme builds on ongoing interventions in Mangochi and Nkhotakota.

agreement. | George Lumwira
He said the initiative will be implemented by district councils in collaboration with the Iceland Embassy and the Ministry of Local Government and Rural Development in line with Malawi’s Decentralisation Policy and district development plans.
“Across par t icipat ing districts, the programme will deliver integrated investments to ensure facilities are not only constructed, but fully functional and able to serve communities effectively,” said Bjarnason.
In his remarks, Minister of Finance, Economic Planning and Decentralisation Joseph Mwanamvekha commended Iceland for scaling up a programme that began in 2012 in Mangochi and Nkhotakota, saying it complements government’s decentralisation and service delivery agenda.
Mini s ter of Loc a l Government and Rural Development Ben Phiri said government will ensure proper use of the funds, adding that strong performance could pave the way for expansion to more districts.
Each of the three districts will receive $4.3 million (about K7.5 billion) under the Strengthening Basic Services at District Level Programme.
The first two phases improved access to essential services, particularly in rural areas.
The current phase, running from July 1 2025 to June 30 2028, aims to consolidate these gains.



