Malawi’s $1 Billion Deal with Egyptian Firm Elsewedy Electric
With startling negotiations from the 2021 Intra-African Trade Fair (IATF), Malawi’s presence on the unique platform connecting African buyers, sellers, and investors, has seal a historic $1 Billion deal.
The African Export-Import Bank (Afreximbank), in collaboration with the African Union Commission (AUC) and the Government of the Republic of South Africa, is hosting the seven-day 2021 Intra-African Trade Fair (IATF). It will take place from November 15 through November 21, 2021.
The country inked the US$1 billion (K816 billion) deal following negotiations between President Dr Lazarus Chakwera and Ahmed Elsewedy, President and CEO of Egyptian international electricity company Elsewedy Electric.
In a report published by the Malawi Broadcasting Corporation (MBC), on Tuesday in Durban, South Africa, Minister of Trade Sosten Gwengwe signed the MOU on behalf of the government.
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Elsewedy Electric, according to Gwengwe, will bring landmark investments to Malawi in sectors such as electricity, manufacturing, and tourism, among others, to help the country’s economy grow.
Meanwhile, Malawi has signed trade agreements with Angola, Botswana, South Africa, South Sudan, and Cote d’Viore as part of the African Continental Free Trade Area.
“So far we have recorded $371 million worth of export deals for the supply of various commodities like maize, beans and rice to these regional markets.
Specifically, we have struck an additional deal with South Sudan to supply various commodities, mostly maize, beans and rice, worth $168 million from the previous $127 million making a total of $295 million.
We also have a deal with Angola worth $50 million, Botswana $40 million, South Africa $20 million deal for the supply of rice. We have also received a serious enquiry to supply 60,000 tonnes of rice and other grains in Cote d’ Viore worth approximately $59 million.
BADEA and Reserve Bank have signed trade finance of $30 million to facilitate the above trade deals,” said the Minister.
Local SMEs attending the exhibition, according to Gwengwe, have received $4 million in inquiries.
Malawi should have a presence at such international forums, according to Dr Chakwera, because they are platforms where big transactions that might move the country into a better economic footing are negotiated.
Source: MBC Online
Arakunrin Lekan is a Managing Editor & Writer at theafricandream.net. He’s also a Graphics Designer and a Poet.