Malawi

Quick Stats

Population

22 Million (2024)

GDP

$11 Million (2024)

TMA Start Year

2020

Main Corridors

Nacala & Beira

Top Trade Sectors

Raw Tobacco (47%), Tea (8.25%), Dried Legumes (8%)

Data Source:

Population and GDP size- World Bank Data – https://data.worldbank.org/indicator
Trade- OEC- https://oec.world/en/profile/country/

Context

Tucked between Mozambique, Zambia and Tanzania, Malawi is shaped as much by its borders as by its defining natural feature, Lake Malawi, which stretches across nearly a fifth of the country. The lake is a vital ecological and economic lifeline. With a population now exceeding 22 million (as of March 2025), Malawi has is a youthful nation, with the majority under 30 years of age, representing a dynamic force with the potential to drive long-term growth ‘Young nation’ can be interpreted as a ‘new nation’. Hence the edit.

The economy, however, faces tough realities. Agriculture is the mainstay, employing over 80% of the population according to the World Bank. But this dependence on a narrow range of exports leaves the country vulnerable, especially to climate-related shocks. Growth in 2023 stood at 1.9%, while inflation surged to 28.1% by the end of 2024, driven by currency pressures and constrained supply (as reported by Reuters).

The financial sector remains tight, with interest rates among the highest in the region. For example, the policy interest rate hit 26% in February 2025, making access to credit a real challenge for both businesses and households. Even so, Malawi’s strategic location and young population create strong foundations for economic renewal. The government has laid out a clear path with a suite of national strategies, from the Malawi Growth and Development Strategy III to the National Export Strategy II and the Transport Master Plan. Each put trade, infrastructure, and market access at the heart of transformation. The implementation of this vision serves as the foundation for TMA’s strategy for Malawi, covering 2023 to 2030.

TMA Strategy

Since 2020

Since 2020, TMA’s Malawi Country Programme, which was established with catalytic funding from the UK, has focused on three priorities: improving trade infrastructure, reducing barriers to trade, and supporting businesses to compete more effectively in regional and international markets. These efforts are closely aligned with Malawi’s own development ambitions as set out in the Malawi Growth and Development Strategy III, the National Export Strategy II, and the National Transport Master Plan, all of which recognise trade as a driver of economic transformation.

Over the past three years, this partnership has delivered tangible results. At the height of the COVID-19 pandemic, TMA supported the Malawi Revenue Authority to introduce the ‘Blue Lane’ customs initiative, which slashed clearance times for relief goods from three days to just three hours (Source: STEF Independent Evaluation Report) ensuring vital supplies reached communities without delay.

Investments have also focused on longer-term trade infrastructure. TMA funded feasibility studies for the Lilongwe Dry Port at Area 55, which in 2023 was approved by the Government to progress to the transaction advisory phase, an important step in attracting private sector investment into Malawi’s logistics sector. A new electronic data exchange system linking Malawi’s and Tanzania’s customs platforms now allows real-time access to trade declarations and risk profiles. Additionally, TMA partnered with the Malawi Bureau of Standards to enable the agency secure international accreditation under the Southern African Development Community Accreditation Service, enabling the country to conduct recognised testing for macadamia and mango exports. Previously, such tests had to be done abroad, adding cost and delay for exporters. Today, Malawian produce can meet international quality requirements faster and more affordably

2023 - 2030

Building on this foundation, TMA’s new phase in South Sudan focuses on deepening trade corridor efficiency, strengthening standards and digital systems, and enabling private sector-led growth.

Physical
Infrastructure

Advancing
digital
systems

Improving the trade and investment environment

Enhancing the quality and value of traded goods

Working with the Malawi Bureau of Standards, TMA will support the development of over 30 crop-specific export standards, including for groundnuts, macadamia nuts, and mangoes, thereby supporting an export sector valued at approximately $25 million. The initiative will also modernise laboratory facilities and secure ISO/IEC 17025 accreditation. As a result, Malawi will be able to issue globally accepted test reports and certificates, reducing dependence on foreign testing and boosting confidence in Malawian produce. Efforts to modernise trade administration are also accelerating. In 2025, for example, the Malawi Confederation of Chambers of Commerce and Industry (MCCCI), with support from TMA, launched a Single Digital Portal. The platform allows traders to apply online for key trade documents, such as Certificates of Origin, eliminating the need for in-person visits. Previously, businesses bore indirect costs of up to $87 per certificate. The portal is now being integrated with the National Registration Bureau and the Malawi Revenue Authority to streamline processes further and enhance the overall business experience.

Supported the Reform of the Burundi Revenue Authority (OBR)

Merging customs and tax services into a single more efficient institution. This contributed to a boost in domestic revenue rising from under 300 billion BIF in 2009 to over 550 billion BIF by 2013 giving the government fiscal space to invest in national priorities.

Construction of the Kobero–Kabanga One Stop Border Post

By simplifying border procedures, it helped reduce cargo transit times across the corridor by 70%. In the wake of the 2015 political crisis, TMA refocused its approach, placing greater attention on supporting women traders and those often excluded from cross border trade.

Partnership with the United Nations Conference on Trade and Development

This led to the digitalisation of OBR's systems, including the roll out of ASYCUDA platform and the Electronic Single Window (eSW), an automated system for processing exports and imports. As a result there has been an 80% reduction in time taken to process import permits.

Featured Projects

Malawi Confederation of Chambers of Commerce and Industry (MCCCI) processes, such as certificate of origin (CoO) applications, membership management, and advocacy, currently require physical visits, with CoO issuance taking up to 30 hours. For small businesses, indirect costs range from $29 to $87 per application, according to MCCCI. A new digital platform is being developed to automate these processes. Once complete, it will reduce processing time by 30–50% and cut indirect costs by at least half. The upgrade will enhance transparency, streamline market access, and improve ease of doing business for Malawian traders, particularly small and medium-sized enterprises.

Progress Towards Impact

Lilongwe Dry Port Project

TMA funded and guided pre-feasibility and full feasibility studies for a dry port at Lilongwe Area 55.
Results:
1. In September 2023, the Government of Malawi cleared the project to enter the transaction-advisory phase, moving the dry-port development from concept to bankable opportunity for private sector investment.

Safe Trade Emergency Facility

Reduced clearance time, from 3 days to 3 hours in 2020, of COVID-19 relief items through the Malawi Blue Lane intervention – a customs clearance initiative designed to expedite trade processes for compliant traders.

Electronic Data Exchange for Customs Project

Malawi Revenue Authority and Tanzania Revenue Authority adopted an Electronic Data Exchange System linking their customs systems TANCIS for TRA and ASYCUDA World for MRA, providing custom officers realtime access to one another’s declarations and risk profiles.
Results:
1. In just five months (June - October 2023), Malawi and Tanzania trade jumped 35%, reaching over $580 million.

Malawi Bureau of Standards (MBS)

TMA supported MBS to achieve international accreditation under the Southern African Development Community Accreditation Service (SADCAS) - a multi- economy accreditation body responsible for overseeing conformity in calibration, testing, medical laboratories, certification, and inspection bodies within SADC Member States. MBS now carries out internationally recognised chemical and microbiological testing for macadamia and mango value chains - previously only possible through foreign laboratories - thereby reducing costs and turnaround times for exporters.