The ARISE IIP initiates Magwero Industrial Park project was on Monday, June 3, 2024 unveiled by His Excellency, Dr. Lazarus McCarthy Chakwera, President of the Republic of Malawi, Mr Gagan Gupta, President-Founder of ARISE Integrated Industrial Platforms (ARISE IIP), a pan-African developer and operator of world-class industrial ecosystems, and the President of Afreximbank, Professor Benedict Okey Oramah.
Located 10km from the capital, Lilongwe, this high-level ceremony was attended by over 5,000 guests, including numerous national and international project partners as well as local communities.
This ceremony follows the framework contract signed on June 19, 2023, between the Republic of Malawi, represented by the Malawi Export Development Fund, and ARISE IIP for the development of an integrated industrial park around Lilongwe under a public-private partnership.
The agreement stipulates that the industrial park will be owned 65% by ARISE IIP and 35% by the Malawi Export Development Fund (EDF). Project financing will be provided by Afreximbank, a leading financial partner of ARISE IIP, amounting to USD 300 million.
Designed to expedite Malawi’s industrialization process through two pillars, diversification of its economy and valorization of its natural resources, the industrial park is set to host industrial units from various sectors, including:
Local processing of agricultural products such as soybeans, cotton, tomatoes, maize, peanuts, and retail food products
Manufacturing industry, featuring production units for glass, construction materials, lighting products such as LED accessories, plywood, and paper production.
Spanning 417 hectares, the industrial park enjoys a strategic location, situated 10 km from Kamuzu International Airport and 10 km from the capital’s city center, as well as being in close proximity to the Malawian railway network.
It will comprise an industrial zone, logistics warehouses, a residential area, an Internal Container Depot Terminal (ICDT), and “Plug and Play” infrastructure, offering ready-to-use hangars for small and medium-sized enterprises.
Gagan Gupta, President-Founder of ARISE IIP, expressed: “We are immensely proud of this new partnership with the Government of Malawi. More than just an economic zone, this particularly impactful project for Malawi aims to catalyze investments and local job creation. This enduring partnership taking shape today with the Republic of Malawi aims to catalyze industrialization in the country by creating industrial value chains supported by international investors.”
Prof. Benedict Okey Oramah, President and Chairman of the Board of Directors, Afreximbank, stated: “We expect the Magwero Industrial Park to generate at least 15,000 jobs for Malawians, US$600 million in annual export revenues, and about US$600 million in foreign direct investment flows. This will significantly boost the economy of Malawi and improve the quality of life of its citizens while also positioning the country as an active and dominant player in the emerging single continental market.”
According to statement by ARISE IIP Press Office, the Fund aims to ensure that Malawi’s vast export potential and business opportunities are exploited in order to generate foreign exchange for the country. Export Development Fund (EDF) is a development financial institution (DFI) whose major objective is to increase the productive potential of the country through provision of finance, equity participation, or credit guarantees, and advisory service for the set up, expansion and modernization of viable enterprises in the medium and large-scale enterprises sector.
GIK/APA