Malawi suspends issuance of mining licenses, bans export of raw minerals

The Malawi government has suspended the issuance of new mining licenses as parts of efforts to overhaul activities in the mining sector.

The country has also initiated a nationwide audit of the sector, while also banning the export of raw minerals pending a legal review.

President Peter Mutharika announced the measures during his State of the Nation Address, arguing the move is aimed at enhancing transparency and ensuring Malawi fully benefits from its mineral resources.

“Mr. Speaker, mining is key to Malawi’s economic growth. However, the sector faces numerous challenges, including inadequate mineral exploration, weak legal and regulatory frameworks, and limited capacity to negotiate Mining Development Agreements.

“To address these challenges, the Government has suspended the issuance of all types of licences, initiated an audit of the licence registry, and banned the export of raw minerals pending a review of the legal and regulatory framework.”

“Mr. Speaker, Sir, in addition, I have directed the Minister of Finance and the Minister responsible for Mining to enhance Malawi’s capacity to negotiate Mining Development Agreements,” he said.

Plans are also underway to strengthen the Malawi Mining Investment Company and establish a Sovereign Wealth Fund to ensure Malawians benefit from mineral proceeds.

 According to the government, the reforms are part of broader efforts to promote value addition and accountability in the mining sector.