Government has described the just ended Malawi Investment Forum (MIF) as a success with 3 deals worth US$1.1 billion offer quantified while some projects have reached preliminary understandings.
Principal Secretary for Trade and Industry, Cliff Chiunda, disclosed this on Tuesday in a press statement highlighting the outcome of the two-day investment held from June 29 – 30, 2015 at Bingu International Conference Centre (BICC) in Lilongwe.
“So far, 3 known deals have been quantified and offer over US1.1 billion of investment,” explained Chiunda, and listed some of the projects that had reached a preliminary understanding from the two-day investment forum.
“The Blantyre City Council has signed MoU with the China-Zambia and China-Tanzania Friendly Cultural Exchange Program for the combined implementation of 11 projects in Blantyre,” said Chiunda, adding, “The program will be facilitated by the Chinese Government.”
He added that an American company, Briggs International, would be signing an MoU with the Government of Malawi for the implementation of a multi-billion dollar rail system that would connect Lake Malawi down to the Port of Nsanje onto the Zambezi River to the Indian Ocean by-passing the 36-kilometer rapids on the Shire River.
The railway line, according to Chiunda, would connect Lake Malawi to the Indian Ocean without barges having to off-load their goods.
Another deal that reached preliminary understanding was Country-wide Group of Companies which had received preliminary funding consideration from three international financiers for the development of their 5-star hotels in Blantyre and Chintheche respectively, according to the PS.
He further disclosed that a local company, called Atlas Energy, had received a commitment by an international financier for US$80 million to develop a 40 megawatts solar project in Malawi.
“A coal mining company which has two mining projects in Rumphi and Nthalire are looking for joint venture partners,” explained Chiunda.
“They have met with a Japanese company who are interested to further discuss the prospect
“The foreign counterparts will supply the equipment while the local counterparts will provide the resource, if the deal goes through.”
In the area of infrastructure, the PS said China Railways No. 3 Engineering Group Company Limited had picked three projects which they intended to finance and own.
The three projects include Kamwamba Coal fired Power Station worth US$600 million; Railway construction and rehabilitation worth US$250 million, and Mangochi Airport worth US$250 million.
The MoUs for the three projects are expected to be signed between Government and the company by Thursday, July 2, 2015, according to Chiunda.
More deals are expected to be effected as cluster and business to business deliberations are on-going.
Speaking earlier at the briefing, Minister of Trade and Industry, Joseph Mwanamvekha, said the 2015 MIF was a success because a number of investors had been identified and partnerships had been ascertained.
The international investment forum focused on seven key areas namely, agriculture and agro-processing; tourism; manufacturing; energy; infrastructure; mining; and financial Services and it was aimed at attracting foreign investors to explore investment opportunities in Malawi.
Over 130 local and foreign investors turned up from 31 countries across the globe among them Japan, China, US, India, UK, South Africa, and Uganda.mana