T
he mining sector is on course to achieve its target of contributing 15 percent to the country’s gross domestic product (GDP) by 2030 despite some technical and financial constraints, it has emerged.
In its five-year strategic plan, the Ministry of Mining outlines ambitious targets such as enhancing capacity for artisanal and small-scale miners and human capital and technology development up to 2027.
The strategic plan, which feeds into the Malawi 2063 First 10-year Implementation Plan (MIP-1), is the ministry’s blueprint that acts as a framework for the sector, especially targeting short to medium-term development in the mining sector, which is part of the agriculture, tourism and mining (ATM) strategy.
Reads the plan in part: “Reconfiguration of the web-based mining cadastre system completed by 2023, mines and minerals regulatory framework [is expected to be revised] by 2024 and the assessment process of mineral tenement applications is expected to be enhanced by 2025.”
The plan indicates that certification of mineral resources is expected to be enhanced by 2027 with mineral marketing systems to be institutionalised by 2024 while human resource capacity is expected to improve by 80 percent by 2027.
In an interview on Tuesday, geologist Grain Malunga said some targets are being met, but the ministry is hit by resource constraints ranging from human, technology and finance, which are derailing progress although private sector successes are dominating.
He said: “At least three mining agreements have been signed and uranium mining is on course to start in the last quarter of 2025.
“The Mines and Minerals Regulatory Authority has been established. Mining cadastre is under revision.”
But Malunga, who is former minister of Mining, said a lot of work is outstanding, including installation of lab equipment at the Mines Department, adding that the online geological database is not functional.
In a separate interview on Tuesday, former of Ministry of Mining geologist Ignatius Kamwanje said although some targets are being met and others dragging, there are signs that the sector is on track to achieve the MIP-1 targets.
He said: “Mines and mineral regulatory framework and capacities for artisanal and small-scale miners have remained behind although training and guidance have been provided for artisanal small-scale miners.
“However, some targets have been implemented and are working while the rest are still ongoing.”
National Planning Commission (NPC), a government agency that oversees the implementation of MW2063, the country’s long-term plan, says progress registered by some medium and large-scale mining companies makes the mining sector likely to attain its MIP-1 targets.
NPC communications specialist Thom Khanje said in an interview on Tuesday that apart from the mining development agreements that were signed in July, there are several that are in advanced stages and likely to be signed.
He said: “Kayerekera alone increased mining contribution to GDP by 10 percent. So, a 15 percent target by 2030 is actually conservative, actual contribution should be higher.
“Most importantly, we should complete the establishment of the mining regulatory authority and the mining investment company.”
Before the Kayelekera Uranium Mine in Karonga was put on care and maintenance in February 2014, mining used to contribute about 10 percent to GDP, but since then, its contribution to the economy is hovering around one percent, according to the Malawi Government Annual Economic Report 2024.
