Malawi - SADC Sub-Regional Transport and Trade Facilitation Project

Over recent years Malawi and Mozambique have been exposed to several shocks including economic, climate and health that have inhibited growth and slowed the countries’ paths to prosperity. Integration of the countries’ economies among several other factors is seen as a promising path towards accelerating their development trajectory. In this respect, efficient transport systems are seen as catalytic and key to the success of this process. As such, this proposed project is conceived as an important investment meant to contribute to the countries’ development agendas. The SADC Sub Regional Transport and Trade Facilitation project comprises reconstruction of Kaphatenga-Nkhotakota-Dwangwa road (135 km) in Malawi and Mueda Nambungale road (64.4 km) in Mozambique meant to improve connectivity on the entire 1,604 km link from Malawi to Mozambique as well as reinforce social cohesion. In Malawi, ADF and OPEC financing will cover 75 km and Government will finance 60 km. The project is part of the PIDA Priority Action Plan (PAP II) 2021- 2030 and is also aligned to 2006 SADC Protocol on transport, communication and meteorology, and SADC regional infrastructure development master plan 2012-2027. The project primarily contributes to climate adaptation results. As such, 30% of the total approved amount is attributed as climate finance, of which 19 million USD is dedicated to adaptation.