Malawi expands formal gold trading network with four new centres

The Export Development Fund (EDF) is expanding Malawi’s formal gold-trading network by establishing four new trading centres in Karonga, Mzimba (Jenda), Mangochi, and Blantyre. This expansion is being facilitated through a partnership with FDH Bank, which will host the new centres at its existing branches in Karonga, Jenda, and Mangochi, while the Blantyre operations will be located at Reserve Bank of Malawi premises.

The initiative aims to bring official gold-buying services closer to mining communities, reducing the need for traders to travel long distances and minimizing reliance on informal black markets. By formalizing the trade, the government seeks to increase oversight of production and movement, address losses from smuggling, and improve the country’s ability to generate foreign exchange.

Since the establishment of the formal gold market in 2021, Malawi has purchased 1.63 tonnes of gold through official channels. The EDF, which acts as the implementing agency for the Reserve Bank of Malawi’s Gold Purchase Programme, expects the new locations to increase the volume of gold entering the formal economy.