The African Development Bank (AfDB) has awarded Malawi a $23 million (approximately K43 billion) grant to support the rehabilitation of Nkula B and Kapichira hydropower plants, in a move aimed at improving the country’s electricity supply.
The grant agreement was signed at Capitol Hill in Lilongwe, where AfDB Malawi Country Manager MacMillan Anyanwu said the funding will help enhance power generation capacity and promote sustainability in the energy sector.
He noted that only about a quarter of Malawi’s population is currently connected to the national electricity grid.
Minister of Finance, Economic Planning and Decentralisation, Joseph Mwanamvekha, welcomed the development, emphasizing the critical role of reliable electricity in driving economic growth.
Mwanamvekha highlighted that stable power supply is essential for key sectors such as mining, which is considered a major enabler of Malawi’s economic transformation.
He further disclosed that the total cost required for the rehabilitation of Nkula B and Kapichira hydropower plants stands at $118 million, with the government actively seeking additional support from development partners to close the financing gap.
The project is expected to significantly improve electricity generation and contribute to increased access to power across the country.
