Category: Business

NBS Bank plc has entered into a three-year strategic framework agreement with the African Export-Import Bank (Afreximbank) to jointly support the preparation and financing of transformative projects across Malawi under the Joint Project Preparation Facility (JPPF).

The Agreement establishes a broad framework for collaboration between the Parties aiming to harmonize their efforts towards the promotion of trade and investment flows in Malawi. The objective of the JPPF is to fund pre-investment activities to bring the project to bankability across Malawi in sectors such as energy, transport, manufacturing, and tourism, unlocking a cumulative project investment of at least US$100 million.

Speaking during the signing ceremony in Abuja, Nigeria on Thursday, NBS Bank Plc Chief Executive Officer (CEO) Temwani Simwaka expressed optimism about the partnership.

“This agreement reflects our long-term vision to catalyse development in Malawi. By working with Afreximbank, we are enhancing our capacity to deliver high-impact projects that align with national priorities and regional development goals,” said Simwaka.

In her remarks, Afreximbank Intra-African Trade Executive Vice President Kanayo Awani said they aim to support public and private sector growth by preparing and co-financing impactful projects.

“This Framework Agreement is about empowering local institutions like NBS Bank to lead in project origination and development. It is a significant step towards accelerating Malawi’s integration into intra-African trade and unlocking economic potential,” said Awani.

In addition to project financing, Afreximbank will implement a comprehensive training and capacity-building programme for NBS Bank plc staff, including secondments to the Bank’s headquarters in Cairo, Egypt.

First Capital Bank (FCB) Chairman and Founder, Hitesh Anadkat has blown his own trumpet describing the Bank as the champion of banking revolution in the country.

Anadkat made the remarks during the Bank’s 30th anniversary customer cocktail in Blantyre on Tuesday, where he reflected on FCB’s journey and growth.

“It was not easy to penetrate the industry which had two banks at that time. We had to think deeper by introducing new innovations to distinguish us from the other banks. Today, we are glad to witness that all the banks have embraced technology and are coming up with new innovations daily. As a Bank, we are so proud of ourselves,” he said.

On the 30-year journey in the banking sector, Anadkat likened it to the story of ‘David and Goliath’ in the Bible.

“It has not been easy, especially expanding to other countries like Zimbabwe, Botswana, Mozambique. People doubted us in these countries and it was not easy to get banking licenses,” he explained.

He then commended the Government of Malawi and customers for the support over the years.

Guest of Honour at the event, Reserve Bank of Malawi (RBM) Governor, McDonald Mafuta Mwale hailed FCB for their resilience that led them to stand tall in some SADC countries.

“As Governor, I attend meetings with my colleagues from other countries, and I must say that it feels good, and I feel proud to have a local bank from my country in other countries. The journey that FCB passed through was so tough, such that most of us would have given up. Today, FCB contributes to the development of the country in various ways, starting with creation of employment, supporting the agriculture sector, SME sector and others,” he said.

Anadkat founded FCB in 1995 at the age of 32, then it was called First Merchant Bank (FMB).

The National Bank of Malawi (NBM) plc says its strong performance is rooted in the growth of customer deposits, expansion of assets, and improved liability management, despite prevailing economic pressures.

During its Investors Forum held on Tuesday in Blantyre, the Bank announced an after-tax profit of K100 billion for the year ending 2024, up from K72 billion in 2023.

Speaking at the event, Chief Operations Officer (COO) Masauko Katsala said the results reflect a resilient business model supported by customer trust and a solid operational strategy.

“Our growth in profitability came because we did very well in deposit mobilisation and saw significant growth in both assets and liabilities. This enabled us to generate strong returns from our financial operations. We are pleased to deliver a solid return on investment for our stakeholders,” said Katsala.

He acknowledged that the gains were made in a difficult economic environment, noting the Bank’s efforts to stay ahead through responsive management.

“We are operating in a very challenging environment, and as management, we are doing everything possible to navigate these conditions. We are happy that our performance has remained strong despite these challenges,” he added.

Katsala said the Bank remains optimistic about sustaining the growth trajectory, citing ongoing efforts to strengthen both its digital and physical infrastructure.

One investor at the forum, Jacquelline Kapyola, expressed satisfaction with the performance and optimism about the Bank’s ability to address past concerns.

“The performance is impressive, and we are expecting even more growth by year-end. We also hope issues like the Mo626 network glitches will be fully addressed going forward,” she said.

In a significant boost to Malawian netball, NICO Group and the Netball Association of Malawi (NAM) will launch the One NICO Top 12 National Netball Cup in Blantyre this Saturday at Blantyre Sports Arena (formerly Blantyre Youth Centre).

This exciting new tournament is part of a broader initiative to rebuild and strengthen the national team, the Queens.

NICO Group Corporate Affairs Manager, Mbumba Mlia-Ndasauka, said that the cup launch is part of a K1 billion, three-year sponsorship package unveiled by NICO Group last year, aimed at enhancing the development and performance of Malawi’s netball talents.

“The sponsorship will run from 2024 to 2027, with NICO committing K320 million in the first year, K330 million in the second year, and K350 million in the third year. The structure of the sponsorship package covers supporting of the Queens games including international engagements, the talent scouting and bringing in of club cup coded One NICO Top 12 Netball Cup, which will run from June to August,” said Mlia-Ndasauka.

“Through the tournament, we will also be able to reach Malawians on financial management. It is not just about the game, but empowering all Malawians, including the netballers, to understand money matters so they can make informed financial decision in their lives,” added Mlia-Ndasauka.

Netball Association of Malawi (NAM) shared optimism that the partnership and indeed the cup will spur healthy competition to identify new talent at club level.

“The NICO Top 12 National Netball Cup is designed to identify and nurture young talent, serving as a critical pathway for aspiring players to showcase their skills at club level. This initiative aims to strengthen the national team’s depth by creating a robust pipeline of talent,” said NAM President Vitumbiko Gubuduza

She hailed the sponsorship as a historic milestone, expressing gratitude for NICO Group’s unwavering support.

“Securing sponsorship during these challenging economic times is a big achievement,” she said, highlighting the importance of trust between sponsors and associations.

During the sponsorship handover last year, NICO’s Group Managing Director Vizenge Kumwenda, highlighted that the tournament is expected to provide a platform for girls and women to showcase their netball talents, promoting teamwork, discipline, and healthy lifestyles.

Kumwenda emphasized the company’s vision to restore netball to its ‘previous vibrant stage’ and inspire a new generation of athletes.

With the Malawi Queens ranked among the top teams in international netball, the partnership is anticipated to strengthen the growth of netball in Malawi.

The NICO Top 12 National Netball Cup promises to be an exciting and competitive tournament, showcasing the best of Malawian netball talent

Old Mutual Pension Services Company (OMPSC) has lauded the positive impact of its Mulinji Mu Peshoni Act 2023 campaign which aimed to raise awareness about changes in pension law.

Launched on April 1 and concluding on June 30, the campaign educated the public on key changes in the Act and their effects on both current and future pensioners.

In an interview, OMPSC General Manager, Tawonga Manda stated that the campaign’s core objective was to simplify the revised Act for Malawians especially those contributing to pension schemes and it has so far reached 1.5 million people through both digital and traditional media platforms.

Significant changes highlighted in the campaign include a reduction in the waiting period for accessing pension funds after employment ends, which has been shortened to 3-6 months.

Increase in the lump sum withdrawal threshold from 40% to 50%, provision for early access to pension funds for individuals within five years of retirement. Emphasis on updating the beneficiary nomination form which is now a binding legal document ensuring pension benefits are distributed according to the member’s wishes and also encouragement for members to make timely decisions about their pensions, especially in cases of employment changes, including pension transfers or benefit claims.

According to Manda, the campaign which utilised all communication channels had a massive impact by clarifying pension processes and engaging the public in meaningful dialogue.

He further noted “the response has been overwhelming. We’ve seen a notable increase in pension-related inquiries and a growing number of people taking deliberate steps to understand and manage their pension benefits. Our goal was to empower Malawians with knowledge, and we are proud to say the campaign has achieved just that.”

Old Mutual Pension Services Company is a leading Pension Administrator and a member of the Old Mutual (Malawi) Limited.

Reported By Catherine Tembo:

Minister of Finance Simplex Chithyola Banda has called upon microfinance institutions and banks to develop tailored financial products for agribusiness investments to boost the country’s economy and generate more foreign exchange.

He was speaking at the National Product Magazine (NPM) MID-Year Award Presentation and 115th Edition ceremony which took place at Bingu International Conference Centre (BICC) on 21 June, Saturday in LIlongwe.

This year’s theme was” Connecting Industries, Fueling Exports, Enhancing Malawi’s Forex Reserves through Agriculture, manufacturing and Transport”.

However the minister noted that access to affordable financing is a major challenge for potential investors, hindering their ability to increase production and profits.

Banda emphasized that quality is key to winning international recognition in the market, highlighting the need for value addition in agribusiness.

“Any investment requires financing, which is affordable to increase production and profits in the country as well as value addition, is the only way that helps to boost the country’s economy and generate more Forex,” he said.

He further explained that exporting finished products requires financing, and that focusing on quality and value addition is crucial for expanding export-based industries.

In an interview with CEO and Managing Director of National Product Magazine Arthur Steve Chinyamula said the 115th National Product Magazine focuses on promoting Malawian products for the international market.

He stressed that it’s an open secret that Malawi is struggling with Forex yet the country relies much on agriculture as the main hub of the country’s economy.

However Chinyamula noted that there is a need to promote local industries to use locally material to help to increase exports and generate more Forex.

“Our role is to make sure we provide necessary information to relevant sectors such as financing, hence farmers will be equipped and be able to do the right thing, we believe promoting locally source materials the country will produce and export more hence fixing the current challenges of forex in Malawi” Chinyamula said.

He stated that collaboration between agriculture, manufacturing, finance, and transport sectors is key to improve Malawi’s export performance.

The National Product Magazine (NPM) MID-YEAR Award Presentation featured participation from companies in Zambia, Zimbabwe, and Mozambique where 80 percent of companies were nominated about 70 percent from Malawi and 30 percent representing SADC countries.

Some of the winners in each Category are as follows, The best manufacturer of energy saving bulbs “Dek engineering, Best spirit brand in Malawi and International is Cape Stars from Cape maclear, Best lending financial institution in Malawi is Vision Fund.

Top women Furniture Sector, Lefunati Tambala while Excellence awarded in fuel services to Malawi is Petroda fuel services.

The best manufacturer of coffee in Malawi Usingini Coffee, Excellence fertiliser manufacturer in Malawi SFFRFM and The best Finance Bank in Agriculture Manufacturing NBS Bank just to mention a few.