“Malawi 2063” foresees the creation of a vibrant knowledge-based digital economy through the promotion of reliable and affordable services, fostering technological adoption and digital access.

The EU, through the project “Leveraging digital finance to increase resilience of ACP countries”, is supporting the deployment of digital finance solutions to deepen financial inclusion and accelerate economic recovery from COVID-19. The programme, implemented by UNCDF, is working with the Reserve Bank of Malawi and other stakeholders to improve digital policies and regulations and create and strengthen digital finance ecosystems that support low income individuals, in particular women and youth, and MSMEs to mitigate immediate shocks of emergencies and seize economic opportunities. 

The EU is also cooperating with the Government of Malawi to promote e-governance in such areas as digitised prison records and case management systems.

Also the flagship programme Chilungamo includes an important initiative on digitalisation of the national registration and identification system. Under this initiative, implemented by UNDP, the necessary systems, infrastructure and equipment are designed and established for the National Registration and Identity system, employing biometrically secure Smart cards. It also provides an interface to other public and private sector systems that allow for appropriate data sharing within a legal framework that complies with international principles and standards for the Right to Privacy and Data Protection.

In line with the EU Human Rights and Democracy Strategy, the EU in Malawi continues its support to Malawi for it to achieve continuous improvements in the areas of democracy, human rights and the rule of law. This implies strengthening the quality of electoral processes, including for the delivery of inclusive, transparent and well-managed elections in 2025, and to address challenges related to human rights violations, gender inequality and gender-based violence, violence against children and limited access to justice for the marginalised groups.

To that end, there is need for continuous support to strengthening institutional capacities of oversight institutions (e.g. Malawi Electoral Commission, Malawi Human Rights Commission, Office of the Ombudsman), of the judiciary and of law enforcement institutions. It also requires empowering citizens’ voice, in particular from civil society, communities’ structures, and the media, in order for them to provide reliable information, keep oversight of the public sector’s action and engage in advocacy. This includes improving the access to information, to ensure that necessary checks and balances in the democratic system can function effectively.

The Global Gateway is the EU’s positive offer of cooperation to our partner countries in support of their own strategic autonomy, aligning partner countries and EU interests, by scaling up high-quality geostrategic investments and promoting sustainable financing.Covering five main themes (digital, climate and energy, transport, health and education and research), it is implemented through the Team Europe approach. 

In Malawi, the EU is working collectively on a green transition flagship initiative under the Global Gateway: Eastern Backbone Power Transmission.

Country Flagship “Eastern Backbone Power Transmission”:

The Team Europe initiative on the Eastern Backbone Power Transmission for EUR 85 Million involves collaboration between the EU and EIB. It aims at improving access to reliable and secure energy along the northern region of Malawi, while addressing climate and environmental issues. Under this initiative, the EU provides a grant while the EIB provides a loan through a concessional blended finance operation.

The key objectives are: 

• To improve the electricity quality of service, energy efficiency and facilitate new renewable energy investments;
• To strengthen technical and operational capacity of the power transmission and distribution utility ESCOM;

The deliverables include:

• An upgraded transmission power network serving the northern region, contributing to the climate resilience of the network;
• An increased capacity of grid system in the northern region, facilitating the distribution of renewable energy (hydro- and solar power from the south);
• Improved technical design and development capacities of ESCOM;
• Improved operation and maintenance capacities of ESCOM.

With upgraded transmission lines, it will be possible to serve the northern region with a more reliable and secure electricity supply that is energy efficiency and facilitates new renewable energy investments. The construction of new substations and expansion of existing substations will greatly improve the capacity of the electricity grid system enabling additional connections and meeting the current unserved industrial demand.

By building the technical and development capacities of ESCOM, they will have the acquired knowledge to develop new projects and expand the grid network further. Building their operation and maintenance capacities will ensure that they can maintain a high level of service on the transmission grid.