Malawi: Malawi Signs $20mn Deal With Chinese Firm to Modernise Lake Malawi Shipping

What the report says

Malawi’s government has signed a $20 million agreement with Chinese company Hongtai Investment Group to help modernize shipping on Lake Malawi. According to the report carried by Nyasa Times and distributed by AllAfrica, the memorandum of understanding was signed in Lilongwe on Monday and covers the supply of two marine vessels: a cargo ship and a passenger vessel.

The deal also includes upgrading the Monkey Bay Shipyard, along with broader work to improve lake transport infrastructure. Ministry of Transport and Public Works officials said the project is meant to support better passenger and cargo services and bring more investment into inland water transport. The company is expected to build and rehabilitate vessels, transfer skills and technology, and help improve related port facilities.

Bright Kumwembe, the ministry’s principal secretary, said the agreement is part of efforts to create more competition and improve services on the lake. He described the plan as an important step in modernizing the sector and said Lake Malawi should be developed through investment and partnerships. Hongtai’s leadership said the work could take about one and a half years.

Lake Malawi is a major route for moving people and goods in the landlocked country and is also central to tourism. The report said this is the second agreement Malawi has signed with a Chinese firm in six weeks, underscoring the government’s push to attract infrastructure investment in the transport sector.