The United States African Development Foundation (USADF) and Malawi Government Wednesday extended their partnership with up to $7.5 million (about K12.75 billion) co-funding commitment over the next five years to boost agriculture in the country.
Finance Minister Simplex Chithyola Banda signed the partnership renewal on behalf of the Malawi Government while USADF President and Chief Executive Officer Travis Adkins signed on behalf of USADF.
The extended partnership has seen the two partners committing a combined $1.5 million a year to promote the development of Malawian smallholder agricultural producers, cooperatives, farmer groups, small-scale agribusinesses, and small and medium-size enterprises.
The commitment involves individual contributions of up to $750,000 per year from both USADF and Malawi for a five-year period.
Adkins said through this co-funding partnership, USADF aligns its country strategy with the development goals of the Government of Malawi aiming to advance broad-scale, sustainable economic growth and enhance the living standards of marginalised populations in the country through grant investments in Malawi’s agricultural sector.
He observed that since 2008, the partnership has collectively awarded $5 million in grant funding, supporting 35 small-scale Malawian agribusinesses, farmer groups, cooperatives, and small and medium-size enterprises.
“This renewed partnership with the Government of Malawi reaffirms our commitment to enhancing food security, building climate resilience and increasing revenue generation.
“By investing in smallholder farmers, agribusinesses, cooperative groups, SMEs, and other contributors to the agricultural sector, the cornerstone of Malawi’s economic growth, we not only foster job creation and improved livelihoods but also actively contribute to Malawi’s overall economic development,” he said.
On his part, Chithyola Banda said the joint financing with USADF directly contributes to the development of the agriculture sector by supporting farmer groups and cooperatives, promoting agricultural diversification, value addition and commercialisation.
He observed that since the programme mainly targets vulnerable communities across the country, it complements social protection programmes being implemented in Malawi to alleviate the suffering of vulnerable populations.
“On behalf of the government and the people of Malawi, I would like to express our gratitude for the cordial relations we have with the USADF and all development partners.
“We are aware that there are several donors that support the agriculture sector and development of agri-business. We welcome your support. The government stands ready to work with all partners on this journey,” Chithyola Banda said.
US Embassy Deputy Chief of Mission Amy Diaz said progress under this partnership will further strengthen Malawi’s ability to drive economic growth and help local SMEs and entrepreneurs recover from global economic challenges and build back better.
“This partnership furthers US government and international community efforts to cement Malawi’s progress by fostering sustainable, participatory, grassroots development; host country ownership; inclusive economic growth; and equal access to development resources.
“The United States envisions a productive and prosperous Malawi that can partner the United States on a wide array of mutual goals, including expanding economic opportunities,” Diaz said.
