Malawi aims to improve the environment for growth and investment. EU firmly supports this agenda for growth through various projects.
Malawi and EU signed in May 2015 the new national indicative programme up to 2020 for an amount of EUR 560m which includes EUR 250 m for Agriculture, Food Security and Nutrition, EUR 160m for Secondary, Technical and Vocational Education and EUR 120m for Governance.
In line with the European Union's Agenda for Change emphasis on concentrating funding for greater impact, bilateral cooperation between the EU and Malawi until 2020, as supported through the 11th EDF, will concentrate on a more limited number of sectors: (1) governance, (2) sustainable agriculture and (3) secondary education and vocational training, which is a new area of engagement for the EU in Malawi. European Union will be fully aligned with the national development strategy and key policy documents of Malawi.
Some of the key objectives under ongoing interventions of the European Union include:
(1) Agriculture: The EU is committed to help transform agriculture from a sector largely based on low-value and subsistence production to a competitive, sustainable and private sector driven agricultural sector that brings economic growth, improved livelihoods, and food and nutrition security. Since 2014 for instance, EU has been the main contributor to the Multi-Donor Trust Fund to support the implementation of the Agriculture Sector Wide Approach investment framework. Importantly, the EU is also working towards supporting agribusiness and developing 2.300 hectares of irrigation schemes for the enhancement of food and nutrition security in the country.
(2) The EU has also started to heavily invest in the Education sector, with a focus on (i) improving the facilities and strengthening secondary schools and vocational and technical education bodies and training institutions; (ii) improving the quality and relevance of secondary education and vocational training, including through the rehabilitation of school infrastructures and (iii) promoting equitable and gender-based access to secondary education and vocational training.
(3) On Governance, the EU will continue to focus on supporting the Government's plans to improve financial and economic management, deliver on Public Service Reform, and contribute to strengthening democratic governance, accountability and access to justice.
(4) For transport, where the EU and Malawi have a long standing partnership that has resulted in significant improvements in the road network and the transport sector in general, the EU will continue working on rural roads and other rural infrastructure in the 11th EDF. Infrastructure activities related to Malawi' regional integration can also be supported by the EU through the regional programme for Southern Africa, including through blending of grants with EIB loans.
In addition to the EDF bilateral envelope, Malawi benefits from programmes financed under other budget lines, such as: