UK High Commissioner to Malawi Fiona Ritchie says Malawi’s economy will need to be less dependent on donor funding and more empowered by private investment, less focused on managing poverty and more focused on creating wealth.
In her speech during the official opening of the 2025 Malawi Confederation of Chambers of Commerce and Industry conference yesterday, she conceded that development aid to Malawi is declining and the era of abundant grants is coming to an end.
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Ritchie said: “This requires a new approach, which puts the private sector at the centre of development.”
Commenting on the business environment, the UK envoy said the macroeconomic environment in Malawi today is not easy, observing that doing business in Malawi is not for the faint-hearted.
She said: “It takes resilience, resourcefulness, and determination. It takes grit. And it often takes a deep well of patience.
“The regulatory environment can be cumbersome. Too often, business owners face overlapping regulations, shifting policies, unclear processes, and slow implementation. These are not small matters; they impact investment decisions, limit competitiveness, and constrain growth.”
Ritchie said it is time Malawi moved beyond an economy built on consumption and government procurement and build an economy based on production, exports, innovation and private capital.
Among others, she said if managed properly, mining and energy, which are key to industrialisation, have the potential to drive economic opportunities in Malawi.
Ritchie observed: “Over the past 10 years, growth in sub-Saharan Africa’s resource-rich countries has slowed down sharply, falling far below growth in non-resource rich countries. This must not be Malawi’s experience from its own natural resource boom.”
The World Bank estimates that just seven of the highest profile and well-developed projects would generate exports of at least $30 billion over the next 15 years.
On his part, MCCCI president Wisely Phiri said as businesses confront the challenges posed by economic vulnerabilities, the urgency to unlock private sector-led transformation for economic growth has never been more apparent.
He said the potential consequences of inaction, business disruptions, stalled progress, and weakened resilience, are stark reminders of the critical need for collective efforts to strengthen our economic foundation.
“It is imperative that we address the systemic vulnerabilities that put our businesses at risk and inhibit growth during times of uncertainty,” he said.
