Malawi Finalizes Mining Deal with Lotus, Expects $100M Annual Revenue
The government's multifaceted approach, combining mining investments, healthcare procurement strategies, and agricultural development, underscores its efforts to boost economic stability.
LILONGWE, Malawi — The Malawi government has concluded a mining development agreement with Australian company Lotus to resume uranium mining at Kayelekera in Karonga district, officials announced Wednesday, writes Mayamiko Phiri.
Secretary to the Treasury Betchani Tchereni said the deal is expected to generate nearly $100 million in annual revenue for the country.
"This is enough resources in terms of foreign exchange which will go a long way to ease our balance of payment challenges," Tchereni said.
The government views the development as crucial for economic growth, especially as other mining projects are set to launch.
In related developments, Tchereni revealed that the government has reached an agreement with pharmaceutical companies to supply medicine in Malawi kwacha at reasonable prices.
This move aims to ensure adequate medical supplies in hospitals while conserving foreign exchange.
Additionally, Tchereni highlighted a 100 billion kwacha (approximately $96 million) budget allocation to the Ministry of Agriculture for irrigation farming initiatives.
The program focuses on empowering commercial farmers through loans, resources, and technical expertise.
"This is one of the initiatives the government is taking to strengthen the economy and eradicate hunger," Tchereni said.
The government's multifaceted approach, combining mining investments, healthcare procurement strategies, and agricultural development, underscores its efforts to boost economic stability and address key national challenges.