Key Business Points

• Malawi’s tourism revenue surged to K1 trillion in 2025, driven by domestic travel growth and K80 billion in new investments
• The sector aims to reach the 10% GDP contribution target through key infrastructure projects, including the Salima Integrated Tourism Lakeshore resort
• K500 million has been allocated for architectural designs, advancing the K43 million-dollar project that will include a 100-room hotel and conference center

Tourism in Malawi continues on an upward trajectory, bringing significant economic opportunities to the country. The sector generated K1 trillion in revenue in 2025, marking substantial growth from K865 billion the previous year. This expansion has been primarily fueled by increased domestic travel spending, which jumped from K323.8 billion in 2020 to K776.6 billion in 2024, and substantial investments totaling K80 billion during the year under review.

According to the 2025 Annual Report, the sector’s progress reflects its position as one of the top priority industries with great potential to support higher economic growth. The Malawi National Investment Masterplan outlines various projects expected to leverage both domestic and international investment, positioning tourism as a strategic pillar for sustainable development in the country.

A significant development is the K43 million dollar Salima Integrated Tourism Lakeshore resort project at Maganga. The project aims to transform Senga Bay into a premier lakeside destination featuring a 100-room hotel, 1,000-seat conference center, golf course, and casino. The Treasury has allocated K500 million specifically for architectural designs, with 17 hectares of land already secured, including a 70-meter beachfront.

Tourism Department spokesperson Joseph Nkosi expressed optimism about the project’s progress, noting that the fiscal commitment has reignited excitement among stakeholders. "Our priority is to ensure the site is fully investor-ready," Nkosi explained. "We are currently focused on completing the necessary preparations to facilitate these potential investments."

The project is being developed under the Public Private Partnership framework. The PPP Commission, led by Patrick Kabambe, reports that investors are waiting for the feasibility study to be completed. "We have already developed terms of reference for the feasibility study and submitted them to the government for approval," Kabambe said.

While tourism expenditure has shown remarkable resilience, the sector continues working toward its 10% GDP contribution target. Several infrastructure projects remain in the pipeline, with the current fiscal commitment to the Salima project signaling renewed momentum for this long-awaited development. The investment presents significant opportunities for local entrepreneurs and businesses to participate in value chains created by the expanding tourism sector.

For Malawi’s business community, this growth trajectory suggests expanded opportunities in hospitality services, construction, transportation, and retail sectors. The emphasis on domestic tourism spending also indicates potential for local businesses to tap into a growing market that is increasingly confident about exploring Malawi’s attractions. The development of world-class facilities like the Salima resort positions Malawi to attract more international visitors, creating a multiplier effect throughout the economy.

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