RBM in push for ATM+ M Funding

RBM Drives Financial Inclusion with ATM+ M Funding Revolution for Malawi’s Business Growth

Post was last updated: July 24, 2025

Key Business Points

  • The Reserve Bank of Malawi (RBM) is pushing to increase private sector credit to boost the agriculture, tourism, mining, and manufacturing (ATM+M) strategy, aiming to match regional counterparts.
  • Low bank intermediation in Malawi is a challenge, with banks currently lending only 40% of their money, below the regional average of 65%.
  • The RBM and Bankers Association of Malawi are working together to improve access to finance for key sectors, with a proposed 30% markup of private sector credit to ATM+M projects.

The Reserve Bank of Malawi (RBM) Governor MacDonald Mafuta Mwale has emphasized the need to increase private sector credit to key sectors such as agriculture, tourism, mining, and manufacturing (ATM+M). Speaking at the RBM Investor Symposium in Blantyre, Mwale noted that the central bank has been in discussions with banks to increase funding to these sectors, which are crucial for economic growth. The RBM aims to improve bank intermediation, which is currently low in Malawi, with banks lending only 40% of their money, compared to the regional average of 65%.

According to RBM data, the public sector’s indebtedness to the banking system increased by K431.8 billion to K6.9 trillion in May 2025, while private sector credit increased by K157 billion to K1.7 trillion. The community, social, and personal services sector holds the largest share of outstanding private sector credit at 39.6%, followed by agriculture, forestry, fishing, and hunting sector at 22.5%, and manufacturing sector at 19.1%. Bankers Association of Malawi president Phillip Madinga emphasized the need for macroeconomic stability to enable banks to thrive and for Malawians to flourish.

Madinga also highlighted the importance of sector structuring and access to finance for key sectors, noting that banks disbursed over K100 billion in productive sector credit in 2024, with K44 billion going to agriculture and K6.1 billion to manufacturing. Secretary to the Treasury Betchani Tchereni proposed a 30% markup of private sector credit to ATM+M projects, which could be taken to Parliament to become law. The symposium is being held as the RBM celebrates 60 years of its existence, and the discussions are focused on finding ways to kuwongolera mtengo (boost the economy) and kuletsa mfundo (increase funding) to key sectors. With the right policies and support, Malawi’s business community can look forward to tsogolo liti lililonse (a bright future) with increased access to finance and investment opportunities.

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Vanessa Banda
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