Malawi Unveils New Mining Licensing Framework to Attract Diaspora Investment
The new framework introduces seven types of mineral titles, catering to both small-scale operations and medium to large-scale ventures.
LILONGWE, Malawi— Malawi's Ministry of Mining on Saturday presented a comprehensive overview of its new licensing system under the Mines and Minerals Act of 2023, aiming to entice investment from citizens living abroad, writes Winston Mwale.
At the Malawi Mining Investment Forum (MMIF) - Diaspora Interface, Hillary Bandawe from the Ministry of Mining outlined the country's approach to mineral rights and licensing.
Bandawe, during the online event, explained that all mineral property is owned by the Republic, with licenses issued by the state providing rights over the mineral property, covering activities from exploration to processing.
The new framework introduces seven types of mineral titles, catering to both small-scale operations and medium to large-scale ventures.
These range from non-exclusive prospecting licenses to large-scale mining licenses, with a separate category for reserved minerals.
Bandawe emphasized the importance of regulation, noting that these licenses are essential for ensuring compliance with fiscal, environmental, and safety regulations.
The presentation also covered two types of permits: artisanal mining permits for local construction materials, and export permits for mineral exportation.
A key feature of the new system is the Malawi Mining Cadastre Portal, described by Bandawe as a central licensing database and management system.
This online platform allows investors to view active licenses, submit applications, and access geographic data.
Addressing fiscal concerns, Bandawe outlined two main instruments: royalties paid to the government based on mineral value, and an annual ground rent based on license coverage area.
Bandawe concluded by stating that the system is designed to be transparent and accessible, inviting the diaspora to explore these opportunities and contribute to Malawi's mining sector development.
The forum marks a significant step in Malawi's efforts to harness its mineral resources and engage its global citizen base in economic development.