Belgium-based EDFI Management Company (EDFI MC) has made a $5 million strategic investment in NBS Bank Plc, aiming to strengthen Malawi’s agricultural sector by enhancing productivity and livelihoods for smallholder farmers.
According to Dr Kwanele Ngwenya, CEO of NBS Bank, the investment will allow the bank to provide financing for key agricultural businesses and smallholders, particularly in the tea and macadamia value chains. “This funding will enable us to expand processing capacity and improve productivity, benefiting both farmers and the wider economy,” Dr Ngwenya stated.
The investment falls under the ACP regional window, backed by the Organization of African, Caribbean, and Pacific States (OACPS). Rodrigo Madrazo CEO of EDFI MC reaffirmed their commitment to supporting smallholder farmers, while OACPS expert Yvonne Chileshe emphasized the initiative’s role in bridging the financing gap for agricultural businesses.
This is not the first international funding for NBS Bank’s agricultural initiatives. In 2023, the bank secured a 10-year, $5 million loan from the International Fund for Agricultural Development (IFAD) to support businesses in the sector.
With this investment, NBS Bank is positioning itself as a key player in agricultural finance, potentially transforming the sector’s long-term growth and sustainability.
