Mining & Trade News

Mining companies have expressed concern over regular power outages in the country that have been exacerbated by the damage of power stations on the Shire River due to flooding as a result of very heavy rains mainly in the Southern Region caused by Tropical Cyclone Freddy.

Coordinator for Malawi Chamber of Mines and Energy Grain Malunga says the power outages are resulting in low production of mining companies including those in cement and coal production, which are being forced to use stand by power from diesel generators.

Malunga advised Government to develop hydropower in other rivers such as Bua and Rukuru and implement energy mix including developing coal fired power stations.

“There is need to establish a Development Finance Institution with sizeable lines of credit to, among others, finance development of coal fired power stations by the private sector as Malawi has low capital base,” he said.

Concurring with Malunga, Chairman for Cement Products Aslam Gaffar also expressed concern over the power outages saying the situation is forcing them to use diesel power generators to run their plants, which is a very expensive option.

“The government has to substantially invest in power generation in order for the industry to grow, employ more people and invest more in corporate social responsibility to uplift the livelihoods of rural communities,” he said.

MD for Rukuru Coal Mine Bruno Klose also lamented the power outages saying they are affecting the mine’s operations.

“The power outages affect us as we use our stand by power but our operations do not stop because we are always prepared as we experience electricity supply interruptions regularly. Only this time is the longest period we have had no power so far. No mine in Malawi can run efficiently without independent power system.

He also agreed with Malunga and Gaffar on the need for Malawi to invest in more power generation projects and diversify energy sources.

“Thermal power generation has been touted by several quarters for some time. It is a possibility to investigate. Is it the best solution for Malawi? There is still sizeable hydropower potential and unlike thermal stations which are for base load, at least some of the hydropower projects like Mpatamanga are being designed to peak load which is what our country needs,” he said.

Asked if his company is interested in investing in a coal fired power plant, Klose said there are no such plans at the moment as his company as focused at only supplying the growing local industry with quality coal from Malawi as currently half of coal consumed by the local industry is produced locally.

Malawi has been experiencing prolonged power outages following the damages caused by the cyclone which forced Electricity Generation Company (EGENCO) to stop generating power at some power stations including Nkula and Tedzani.

The heavy rains also resulted in the destruction of other power transmission equipment including power lines which forced the Electricity Supply Corporation (Escom) to cut off supply to affected areas.

In an effort to address the electricity access challenges, the Malawi’s Ministry of Energy has launched the Ngwee Ngwee Ngwee Fund with the target to add 5% national rural electricity access rate by 2024.

The US$20-million Fund is being bankrolled by the World Bank through the Malawi Electricity Access Project (MEAP) to enable eligible solar off-grid companies to import and distribute over 200,000 solar home systems to rural households across Malawi.

During the official launch in Lilongwe, Minister of Energy Ibrahim Matola said the project aims at increasing access to electricity through grid densification of Electricity Supply Corporation of Malawi (ESCOM) component, and Off-grid Market Development, which is Ministry of Energy component.

Matola said: “With this project’s component, Malawians, especially those living in rural and remote areas that are far from the national grid, will enjoy the benefits of electricity.”

“This project is, therefore, complimenting Government’s efforts to reach more people in rural areas with access to electricity where the Malawi Rural Electrification Programme (MAREP) which is now in Phase 9, is yet to reach.”

“This Ngwee Ngwee Ngwee Fund we are launching today is a complete package of interventions to unleash the potential off-grid solar market to cover 70% of electrified households in Malawi as aspired for in the National Energy Policy of 2018.”

“By assisting the off-grid solar companies, this Fund is fulfilling another aspiration in the National Energy Policy, to establish a vibrant, reliable, incentivized and sustainable private sector-driven Renewable Energy Technology industry.”

“Not only will this project benefit off-grid solar companies but, financial institutions will also benefit a lot from this initiative through the Technical Assistance Window which will provide training and capacity-building.”

The technical assistance includes: promotion and awareness building; quality assurance activities including the adoption and enforcement of Verasol quality assurance framework, efficient financial management and monitoring of collection efficiency; training of trainers, consumers and technicians to facilitate the efficient installation and maintenance of solar home systems.

Currently, the electrification rate is at 18% with 11.4% coming from the National grid and 6.6% from Off-grid solar solutions.

The fund will provide loans to eligible off-grid solar companies as working capital to expand their operations and speed up procurement and importation of the off-grid solar home systems.

He also said the project will also offer Result Based Grants to provide end-user with subsidies to close the affordability gap of rural customers that cannot afford solar home systems at the current commercial prices.

Matola also said the Fund will create a Market Catalyst Fund (MCF) of USD 500,000 to support small-scale off-grid market-based transformative solutions to scale-up the renewable energy transition, particularly by engaging the local off-grid solar companies in Malawi.

He said: “The idea is to make these local off-grid solar companies grow to the extent of being able to access capital on the market for the expansion of their businesses.”

“I, therefore, call upon the private sector companies to take advantage of this Fund and use it to expand their businesses in the off-grid solar market.”

“The terms of the loans have been made very competitive, as such, I do not expect any off-grid solar company to default on the loans they acquire from this Fund.”

“It is also my expectation that participating solar off-grid companies will operate within the principles of MEAP, the laws of Malawi and the World Bank’s operating framework.”

Matola further applauded World Bank for extending the loan and grant to the Government of Malawi, to implement the important project saying the Fund has come at an opportune time when the country needs massive investments in the energy sector to increase access to modern, clean, reliable and affordable energy.

He said the project will play a great role in fulfilling the Malawi Government goal of ensuring universal access to electricity by 2030, by providing the much needed financing to the Malawi off-grid solar market.

In his remarks, World Bank Country Manager for Malawi Hugh Ridelllauded solar off-grid power saying on-grid electricity is sometimes hard to reach rural, remote and the poor; and the fund will make Malawi to reach the United Nation’s Social Development Goal 7 (SDG7) which ensures access to affordable, reliable, sustainable and modern energy for all.

Ridellalso said the World Bank together with partners are working with Malawi Government in developing standards and policies in the next two years that will ensure the availability of a market where consumers are protected from low-quality products and benefit from lower prices driven by market competition.

“The World Bank acknowledges that expanding access to sustainable energy while protecting natural resources is essential to achieve climate and development goals. Expanding energy access is a catalyst to achieving sustainable and resilient economy with people firmly at the centre,” said Ridell.

Apart from the Ngwee Ngwee Ngwee Fund, World Bank is financing other energy projects including: The Mpatamanga Hydropower Project; technical assistance for ESCOM’s financial turnaround and; the Malawi-Mozambique Interconnector project.

The Malawi Confederation of Chambers of Commerce and Industry (MCCCI) says there is need for the Malawi Government to prioritise overcoming the country’s energy challenges when formulating the 2023/2024 budget.  

MCCCI CEO Chancellor Kaferapanjira said during the Ministry of Finance and Economic Affairs’ pre-budget consultation meeting for the 2023/2024 fiscal year at Mount Soche Hotel in Blantyre that electricity supply challenges are decelerating the growth of the country’s manufacturing industry.

Kaferapanjira said addressing the energy challenges will bring out vibrancy, responsiveness and dynamism in the private sector as aspired in MW2063 so that the private sector can accelerate attainment of inclusive growth, wealth, and job creation for all Malawians.

He said: “The year 2022 posed a real challenge to businesses owing to economic shocks that defined it, which included shortages of foreign exchange and fuel, inadequate electricity supply, and high levels of inflation. The impacts of these shocks on businesses continue to be felt today.”

“Therefore we emphasize that government agencies especially Electricity Generation Company (EGENCO) should work with seriousness on electricity, yet private sector has also a role to play by investing in electricity production through alternative technologies for instance solar energy.”

Kaferapanjira bemoaned that EGENCO has taken a long time working on bringing back on stream the 129 Megawatts that was lost at Kapichira Power Station due to Cyclone Anna last year.

He said: “One point I am raising is that the foreign exchange shortage hampering fuel importation is also caused partly by EGENCO because industries now consume about 52 million litres of fuel per month. Such a high consumption is attributed significantly to inadequate supply of electricity to these manufacturers.”

“If EGENCO had played its role prudently, the demand for fuel by industries would have dwindled hence easing stress on fuel importation and consumption for other sectors as well as saving forex that could have been channeled to other vital sectors.”

“Government should move with urgency to stabilize electricity supply and increase electricity generation using both hydro and other alternative sources of energy to support the industrialization drive.”

In his remarks, Minister of Finance and Economic Affairs Sosten Gwengwe pledged that Government will ensure that the budget is in all practical sense aligned to the Malawi 2063 and its first 10-year implementation plan targeting the quick wins especially in the economic sectors that can generate wealth, create jobs, while at the same time entrenching food security and providing the nation with enough resources to retire its debt and enabling Government to sufficiently support social sectors.

“Government has set out the macroeconomic framework for the 2023/24 Budget that looks at the macroeconomic targets such as fiscal and monetary measures and the debt sustainability targets to be achieved by the end of the fiscal year,” he said.

Malawi’s economy is projected to grow by 2.6% up in 2023 from 1.7% in 2022 despite several economy bottlenecks the country is encountering including electricity supply disruptions, shortage of forex and fuel which continue to suffocate business operations.

A local non-governmental organisation Community Energy Malawi (CEM) says it has planned to construct over 100 mini grids in Malawi’s rural areas that have no access to power from the national grid.

The mini-grids which will utilise either micro solar or hydro technologies will be cabled to economic enablers such as irrigation and agro-processing projects, entrepreneurship activities, clinics, schools and households.

The project is targeting to connect at least 2,000 customers and benefit 10,000 people directly per mini-grid site.

CEM’s Country Director Edgar Kapiza Bayani told Mining and Trade Review that the organisation intends to electrify over 100 rural communities that have no access to sustainable energy.

CEM already operates the 80kW Sitolo Solar Mini-grid in Mchinji which has 735 customers connected with potential to grow to 1,200 customers, benefiting over 6,000 people.

Bayani explained: “The success, impact and experience in operating the 80kW Sitolo mini-grid and our activities in Malawi communities since 2011 have in turn generated demand for similar services across the country.”

“The 100 mini-grids project is envisaged to catalyse creation of 126,000 jobs, enhance performance of existing small to medium scale businesses, catalyse 1,000 new enterprises as well as enhance social services in education, health and general well-being for 1-million men, women, boys and girls. By powering schools, clinics and police units/posts and providing street lights around villages, the project will also support social capital development.”

He also expressed optimism that the project will fast-track economic growth of rural areas and ensure community resilience as it is grounded in climate justice concepts to utilise renewable energy technologies in decentralized energy systems that are resilient and robust, and reduce carbon foot print.

“It will ultimately advance environmental protection by reducing the use of kerosene for lighting and charcoal for cooking,” he said.

Bayani said the project is backed by diverse energy policies in the country such as the Malawi Renewable Energy Strategy which observes that mini-grids have the potential to connect 27% of Malawians in remote off-grid areas.

He said: This vision is also espoused in the Malawi National Energy Policy (2018) and the Malawi Least Cost Geospatial Electrification Plan which posits that minigrids are a cost effective means to electrify communities that are more than 10km from grid.”

“The project will favourably complement government’s goal of increasing access to electricity for Malawians. As Government works on increasing grid access, we are working with off-grid communities and catalyzing small scale factories as is the case at Sitolo where there is a sunflower oil processing facility. The mini-grids will be deployed in accordance with the Mini-grid Regulatory Framework.”

Meanwhile, CEM is working with another NGO Challenges WorldWide in conducting a prefeasibility study for the project and it is also finalizing plans to expand Sitolo Mini-grid to accommodate a new village as well as growing demand to cater for facilities like a third maize mill and other productive loads.

“We secured support from The Pebble Trust of Scotland and some Scottish Friends which is enabling us to visit the communities that expressed interest in mini-grid projects. So far we have visited Mchinji, Ntchisi, Salima, Nkhotakota and part of Lilongwe where about 25 villages have shown potential. We are on course to visit isolated villages that cannot be easily accessed in the rainy season in northern and southern regions before mid-November.”

The organization has also secured preliminary investment deals from different equity, grant making and loan financiers from mainly United States and Scotland, who are anticipating a full investment plan and finalization of other details. 

“A financial institution Green Max Capital is also working with us in a deal that will see the United States Trade and Development Agency financing some of the activities. We are working on setting up a Special Purpose Vehicle called CEM Minigrids Ltd to accommodate equity investors and also operate on business lines”

CEM has executed several leading initiatives in Malawi’s remote areas impacting thousands in 17 districts.

Other than the 80kW Sitolo Solar Minigrid, CEM has also implemented projects such as solar powered irrigation and cold storage; resilient solar systems in hospitals; sun ovens for rural bakeries; and policy advocacy.

Recently, CEM has been shortlisted for the ASHDEN 2022 International Award in the Energy Access Skills category.

Malawi’s Minister of Energy Ibrahim Matola has cautioned Independent Power Producers (IPP) over “unrealistic delays in implementing various power generation projects despite being given a consent to execute the projects.”

Matola made the caution at the launch of the Malawi Power Industry Compendium, which exhibits potential power generation projects in Malawi, by Power Market Limited (PML).

The Minister said there are some power purchase agreements signed as early as 2019 whose respective projects are yet to start.

Matola said: “I wish to express my sadness with the delays that some IPPs are making once given a go ahead to develop a power project. It does not make sense to hold on to agreements at the expense of the country that desperately needs electricity.”

“Therefore, am asking PML to review all these idle Power Purchase Agreements and find a way of making the holders accountable and responsible. Otherwise, it will be good for the investors to relinquish the agreements so that other potential investors are allowed to develop the sites.”

Commenting on the Compendium, Matola emphasized that the compendium has been developed at the right time when the country is in immense power crisis which is weighing on the development of key growth sectors for Malawi’s economy.

He explained that the compendium will provide the much needed information on key projects to be pursued and the incentives that government is providing to the investors.

Matola said: “There has been a continued imbalance between electricity demand and supply due to low generation capacity. Similarly, the independent power producers have not satisfactorily been able to come online as anticipated.”

 “The successful implementation of the projects in the Compendium will assist in achieving energy self-sufficiency for sustainable development. I am aware of the directive that was given by the President to deliver 1,000 megawatts by 2025. I have confidence that together, we will achieve this target and even more.”

Meanwhile, government has reviewed the Independent Power Producers Framework in a quest to align it to the recent developments and to ensure speedy implementation of energy generation projects.

Energy expert and Civil Society Organizations (CSOs) working in the extractives sector have advised mining companies to consider utilization of off grid power sources to avoid interruptions on production as the country is still struggling with power shortages.

The remarks come as the Malawi Government is negotiating Mine Development Agreements with three companies intending to launch large scale mining operations namely: ASX-listed Lotus Resources for Kayelekera Uranium Mine in Karonga district; Canada and UK listed Mkango Resources to mine rare earths at Songwe Hill in Phalombe district and ASX-listed Globe Metals & Mining to open a niobium and tantalum mine at Kanyika in Mzimba district.  

Currently, the country’s generation capacity stands at 355MW including a cross border import of 6.5MW against 2022 projected demand of 618MW.

Mining and energy expert Grain Malunga said despite that the Electricity Generation Company and Independent Power Producers (IPPs) have a number of energy generation projects in pipeline, the mining companies should consider setting up their own power plants in case the Government fails to meet the projected demand by the time the companies venture into actual mining.,

Malunga said: “Though it might be cost effective but with the electricity challenges we are experiencing, the mining companies need to have a back-up for them to excel in the industry.”

“Some of the companies will require over 10MW which might not be possible for the Government to supply if the energy situation remains unchanged.”

While concurring with Malunga, Natural Resources Justice Network (NRJN) Programs Coordinator Joy Chabwera bemoaned that currently the Government is not providing a conducive environment for mining investors in as far as energy is concerned.

Chabwera said: “When the company is coming to Malawi it considers three things; one the value of the mineral, two an enabling environment and three revenue management.

“And when we look at these aspects it is where government has to come in to provide an enabling environment for the investors including provision of needed energy.”

“If we are going to have about five large scale mines, the dream of raising Gross Domestic Product (GDP) to 20% will be realized. It is the duty of the government to provide necessary energy to the investors.”

He said though there are alternative sources of energy like coming up with their own power plants, that will come with higher costs to weigh on the feasibility of the project.

ASX-listed Paladin Resources operated the Kayelekera Mine using power it generated using diesel generators before it put the project on Care and Maintenance.

Meanwhile, Lotus indicates in a statement that apart from relying on connection to the national grid, the Company has looked into a number of options for power supply including: generating power from excess heat generated in the onsite acid plant (estimated at 2MW); renewable options, including solar and hydro; and replacement of the existing diesel gensets with a Build-Own-Operate (BOO) contract arrangement

It explains that discussions are ongoing with the Electricity Supply Corporation of Malawi (ESCOM) and a local electric power consultant has been contracted to undertake an assessment of availability and capital and operating costs for connecting to the grid either at the nearby town of Karonga (~50km from Kayelekera) or other potential substations in close proximity to Kayelekera.

It also says a consultant Metso Outotec is preparing the study for recovering energy through a steam turbine from the acid plant and solar providers have been requested to send proposals for various solar options.

The Company has conducted a detailed power assessment as part of the Definite Feasibility Study (DFS) that has considered both the cost implications and the carbon emissions for the Project.

Though the country is struggling to deal with power shortages that are hitting many sectors of Malawi’s economy, there is uncertainty over the construction of the proposed 300MW Kam’mwamba Coal-fired Power Plant at Zalewa in Neno District amidst the global campaign against use of fossil fuels.

Various Civil Society Organizations (CSOs) are advocating for a ban on utilization of coal saying it is a dirty source of energy which is damaging to the environment through air pollution from the power plants.

Mining and Trade Review has established that in light of the global campaign to promote renewable energy sources, many financiers are reluctant to finance the 300MW coal-fired power plant project which is being implemented by Electricity Generation Company (EGENCO).

A feasibility study on the power plant which started in August 2019 was completed by September 2021 with two main components of updating previous techno-economic feasibility study and Environmental and Social Impact Assessment (ESIA) and; local coal resource exploration.

Following completion of the study, EGENCO embarked on seeking financing for the project but is yet to secure funds for the plant whose construction was projected to run from 2022 to 2024.

Public Relations Officer for EGENCO Moses Gwaza could not respond to both emails and calls to comment on the development.

But in a an interview, Coordinator for Chamber of Mines and Energy Grain Malunga tipped the Government to use local resources to fund the project if financial institutions will continue shunning it.

Malunga said: “Government should mobilize local resources to invest in Kam’mwamba Coal Fired Plant project and these resources can be in form pension or insurance funds.

“For your information German has re-commissioned their coal fired plants. It is not about academics, it is about economic development and livelihood sustainability. Thermal power plants need technology innovation and this is possible.”

“Coal will always play a role in steering industrialization and energy generation. Let us be careful against use of climate change initiatives as a means of decarbonizing Africa when it is meant to slow African industrialization.”

Malunga also expressed concern that CSOs and African governments are easily influenced by campaigns that can injure them because they rely on foreign finance and, therefore, stressed the need to start creating wealth using local resources.

In her remarks, Public Relations Officer in the Ministry of Energy Upile Kamoto, however, sounded optimistic that funds will be secured for implementation of the project saying not all financial institutions are reluctant to fund the project.

Kamoto said: “As a country and as stipulated in the National Energy Policy 2018, we need to diversify our sources of energy for power production for efficient and reliable power supply and coal is on the list for achieving this goal.”

“As such the ministry will explore all available options for financing the Kam’mwamba coal fired power plant including local financing.”

Kam’mwamba Coal-Fired power plant project pre-feasibility study was financed by a loan from Export and Import (Exim) Bank of China to the tune of US$667-million project with Lilongwe required to source US$104-million as commitment fee.

The plant which is set to use coal from Moatize in Mozambique to be hauled using rail transport is projected to have a life span of 30 years.

Once fully operational, the plant would help Malawi to diversify from using hydro power which has proved to be unreliable due to problems emanating from climate change.

The project is will be implemented under the Engineering, Procurement and Construction (EPC) model, which is a particular form of contracting arrangement used in big projects where the contractor is responsible for all the activities from design, procurement, construction to commissioning and handover of the project to the end user or owner.

Kam’mwamba project is in line with EGENCO’s diversification objectives where by the company seeks to improve its power generation mix from being 95% hydro based to 76% hydro based in 5 years.

The Malawi government and its development partners have signed a binding Relationship Agreement that will see the completion of 350MW Mpatamanga Hydropower project.

The power project to be constructed at Mpatamanga gouge on Shire River is expected to have two power plants – a 309MW Peaking Plant at the Main Dam and a 41MW Base Power Plant at the Regulating Dam.  

The development partners that include; World Bank’s International Finance Corporation (IFC), Scatec ASA’s Hydropower Joint Venture, and Électricité de France (EDF) have signed the Relationship Agreement, under Malawi’s Public-Private Partnership (PPP) scheme.

The PPP model will see finalization of procurement and selection processes undertaken by government for a private partner and will officially award the role of project sponsor and lead developer to the Scatec and EDF Consortium.

Once completed, the project is expected to reduce energy deficit in the country as the 309MW Peaking Plant with its 261 million cubic metres water reservoir is designed to provide much needed energy during peak demand hours of the day and overall grid stability with its ability to ramp up/down production to suit actual demand.

Speaking at the agreement signing ceremony held at Sunbird Capital Hotel in Lilongwe, Minister of Energy Ibrahim Matola explained that government is committed in the development and implementation of the flagship Project which doubles the installed hydropower capacity in Malawi.

Matola said; “The 350MW Mapatamanga Peaking Hydropower Project will improve the power supply security, provide opportunities for increased renewable energy generation capacity in the country and contribute to the controlling of the flow of the Shire River downstream the power plant. The government is indebted to its partners in achieving this milestone which is a major step in the development of this Project.”

Eastern Africa Regional Director for IFC Jumoke Jagun-Dokunmu asserted the finance corporation’s commitment in helping government to increase access to affordable clean energy across the country.

He said: “IFC supports the Government of Malawi’s goal to accelerate access to affordable clean energy. The Mpatamanga Peaking Hydropower Plant has the potential to grow Malawi’s electricity infrastructure and connect thousands of rural and remote households while also spurring green, inclusive, and resilient growth in the country.”

Scatec CEO Terje Pilskog also said; “This is a significant development in the realization of the Mpatamanga Project. We are excited to build on our hydro portfolio in Africa – and are proud to have finalized development plans alongside our partners. The country of Malawi will receive a significant investment into its power sector, which in turn will stand to benefit a major portion of the nation’s population. We look forward to reaching further development milestones for this project – and contributing to Africa’s renewable energy journey,”

In the project, Malawi government has 30% shareholding, the IFC 15% while Scatec and EDF have joint majority shareholding of 55%.

The World Bank also supported the development of the project through a Project Preparatory Advance facility while United States Agency for International Development (USAID) is supporting the development of the project through the Southern Africa Energy Program (SAEP), a Power Africa initiative with a goal to add at least 30,000 MW of new electricity generation capacity and 60 million connections by 2030.

Malawi’s largest publicly-listed conglomerate Press Corporation Limited (PCL) says it is advancing a scoping study for the construction of a 50MW solar power production plant.

PCL has announced this in a summary of unaudited financial results for the six months period ended June 30, 22.

In the report signed by PCL Chairman Randson Mwadiwa, the conglomerate says in the first half of the year 2022, business has been challenged by numerous risks including electricity blackouts, scarcity of foreign exchange, the pressure on inflation and; Covid- 19 pandemic.

Mwadiwa, however, says despite the challenges the Group is ensuring steadfast delivery of its strategy.

The Press Corporation Plc’s strategy emphasizes on the growth and sustainability of the companies in which it holds stakes. The strategy further embraces new sectors earmarked for future investments like tourism and energy.

Mwadiwa says: “The Group will continue implementing turnaround strategies in companies whose performance is unsatisfactory.”

“Further investment opportunities are also being explored in various sectors to further diversify the Group and its portfolio mix market presence.”

Despite the challenges, the Group has registered profit after tax for the period of MK15.98 billion, representing a 24 percent growth above prior year profit of K12.87 billion.

Mwadiwa says the growth in profitability was driven by an 11 percent growth in revenue, improved gross profit margin growth by 4 percent and successful implementation of cost containment measures.

He also says the disposal of Peoples Trading Centre (PTC) has contributed to the improved results as losses associated with this investment are no longer part of the Group results.

Meanwhile, in a separate summary for unaudited results for the same period, NICO Holdings Limited, a financial service Group, says despite facing similar challenges, it has registered profit after tax and other comprehensive income of MK12.7 billion representing 76% above the MK7.2 billion recorded for the same period in 2021.

The statement signed by NICO Chairman Gaffar Hassam and Managing Director Vizenge Kumwenda explains that other compressive income for the period was MK913 million higher than the MK12 million loss reported in 2021 due to translation gains in the current period on consolidation of NICO Zambia.

The statement reads: “The general insurance business in Malawi registered premium of Mk12.6 billion in the six months to 30 June 2022. The lack of premium growth was due to reduction in insurance covers and policy extensions by some clients in the first half of the year.”

“The Business registered profit after tax of MK236.7 million, a turnaround from the MK922.2 million loss recorded in the same period in 2021,” reads the statement.