Conglomerate Nico Group has called for a review of Malawi’s mining regulatory framework to unlock more domestic capital for the sector.
Speaking during a stakeholders’ engagement in Blantyre City on Monday, Nico Group Managing Director Vizenge Kumwenda said while mining had the potential to become Malawi’s “next big thing”, the country needed a regulatory environment that maximised benefits for Malawians while attracting long-term investment.
The firm is already investing in the sector, after financing Lindian Resources Limited with an $11.5 million working-capital facility through its subsidiary, NBS Bank.
Kumwenda said reforms requiring foreign investors to partner with local firms and providing investment incentives would encourage more local participation in the sector.
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“We need a regulatory framework that will ensure that the country benefits from mining. Regulation is key,” Kumwenda said.
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According to Kumwenda, the mining industry requires investments worth billions of United States dollars, which are beyond the capacity of the local market alone, making foreign capital indispensable.
However, he said the investment climate must be attractive enough to draw international investors while ensuring meaningful participation by local businesses.
Beyond policy reforms, Kumwenda cited inadequate electricity supply as one of the biggest challenges facing mining investment.
“Mining needs a lot of power.
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“Therefore, we need to ensure that the power sector is generating enough electricity. The current power rationing needs to come to an end because reliable power will make investment in mining much easier,” he said.
Kumwenda cited the Mpatamanga Hydropower Project as one of the strategic investments that were expected to significantly increase the country’s electricity generation capacity, saying both government and the private sector should work together to accelerate such projects.
Mining policy expert Paul Mvula said partnerships between foreign and local investors would enable more Malawians to have ownership of mining resources, thereby maximising their benefits.
“When we, Malawians, also have our fair share in such companies, it will help us to track the profits and, as such, we will be able to know how much a particular company is making and we will be able to also know how much that is translating into [transformation for] our economy,” Mvula said.
He added that the development would encourage local investors.
In its new five-year strategy starting January 2027, Nico Holdings plc is targeting investments in mining, agriculture exports, industrialisation and tourism, having already met most of its objectives for the current strategic plan,
The company reported a total profit of K346 billion, representing a 149 percent increase from K139 billion recorded in 2024, and revenue grew to K918.5 billion in its financial results for the year ended December 31, 2025.
