The Reserve Bank of Malawi has announced its initiative to buy gold from local miners, through instant payments will be credited through the Export Development Fund in partnership with key government ministries, departments and agencies.

While the initiative will provide a market for small-scale and industrial mining ventures, Malawi is losing K25 million per day to illegal mining happening at various sites in the country, according to The Parliamentary Committee on Natural Resources and Climate Change chairperson Welani Chilenga, illegal mining is growing due to government’s delay implementing the Mines and Minerals Act of 2019 which has punitive measures. Last year, several stakeholders including Inspector General of Police George Kainja, the civil society and government representatives participated in a meeting aimed at tackling illegal mining.

Speaking to The Daily Times newspaper, RBM spokesperson Onelie Nkuna said the initiative will provide a ready market for the small scale miner.