By Adson Nthenga
Malawi Government has signed a $12.9 million (about K23 billion) financing agreement with the government of Iceland to support the delivery of basic services in Salima, Balaka and Machinga districts.
The agreement, signed on Wednesday in Lilongwe, was formalised by Minister of Finance, Economic Planning and Decentralisation, Joseph Mwanamvekha, and Minister of Local Government and Rural Development, Ben Phiri on behalf of the Malawi Government.
Under the IcelandMalawi Basic Services Programme, the funding will go towards strengthening service delivery in health, education, water and sanitation, with each of the three districts set to receive $4.3 million.
Mwanamvekha said the agreement reflects continued cooperation between the two governments in supporting development priorities and improving service delivery at local level.“The signing of this partnership agreement is not merely a procedural exercise. It is a reaffirmation of our shared commitment to inclusive development and effective service delivery,” he said.
Mwanamvekha said the resources will be directed towards key social sectors, including health, primary education, water, sanitation and hygiene, which remain central to improving living conditions in rural communities.
Phiri described the agreement as a milestone in a partnership that dates back to 2012, noting that it has continued to support local development initiatives over the years.
“This is a milestone. Remember this relationship dates as far back as 2012,” he said.
He said the Ministry of Local Government will lead implementation of the programme at district level, working closely with councils to ensure effective delivery.
“We are the implementing partner on the ground, and you can be assured that we will deliver the expected results,” he said.
Iceland Head of Mission to Malawi Davíð Bjarnason said the programme is performance-based and relies on effective planning and accountability by district councils to achieve intended results.
“Our expectations are quite clear. Together with our partners, we expect to see significant improvements in the delivery of basic services in the districts,” he said.
He said the programme has already been implemented in Mangochi and Nkhotakota, where similar interventions have been carried out.
