World Bank Supports Mining Ministry to Unveil Transition Minerals Roadmap

LILONGWE — The Ministry of Mining, with support from the World Bank, has unveiled Malawi’s Transition Minerals Roadmap aimed at providing an evidence-based pathway for mobilising responsible investment across the country’s transition mineral value chains.

The roadmap is also intended to strengthen domestic benefits from mining, improve infrastructure and workforce capacity, and promote environmental and social sustainability.

The roadmap was launched in Lilongwe on Thursday by Minister of Mining Thoko Tembo.

Tembo said President Arthur Peter Mutharika wants the mining sector to make a greater contribution to Malawi’s economy.

“Before we set that agenda, it is important that we have a clear direction on where we want to go and how we want to achieve that. The World Bank has assisted us with that, and now we have a clear roadmap and also how we are going to unlock funding,” Tembo said.

He said the Ministry of Mining is working with the Ministries of Energy, Transport, Finance and Natural Resources to unlock the potential of the mining sector.

Tembo said Malawi would require between US$1.3 billion and US$2.1 billion in public and private investment by 2040 to support mining governance, energy and transport infrastructure.

He said the country needs transparent regulations, a sound legal framework and clear legislation to give investors confidence and provide certainty about the operating environment.

“We also realised that the investors coming to Malawi are going to be clients for ENGENCO and ESCOM because they are going to buy electricity from our suppliers. That is why the World Bank is here to help us and ensure that we can get projects like the Mpatamanga project going so that we generate more electricity for the sector,” Tembo said.

World Bank Division Manager for Malawi, Zambia, Tanzania and Zimbabwe, Firas Raad, said the bank is committed to supporting responsible growth of Malawi’s mining sector.

Raad said the World Bank wants the sector to manage environmental and social risks while ensuring that mining revenues are used responsibly for the benefit of the wider population.

He said operationalising the roadmap would require strong foundational infrastructure, skilled human resources, appropriate policies and regulations, as well as private capital.

Raad further urged the government to adopt a whole-of-government approach to implementing the roadmap, saying its success should not be left to the Ministry of Mining alone.

He said all relevant government ministries and stakeholders need to work together to ensure that the mining sector grows responsibly, generates revenue for government and creates employment opportunities.

According to the roadmap, government mining revenues could reach US$600 million annually by 2040 under a reform scenario, compared to about US$400 million under a business-as-usual trajectory.

The roadmap has been developed under the theme “From Potential to Prosperity.”