PEST Analysis Malawi

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PEST Analysis: Malawi

C ountry Report | 25 Jan 2024

Malawi has relatively stable governments, yet deteriorating global peace and terrorism
rankings suggests concerns over increasing violence. Economic forecasts are optimistic, with
growth expected to exceed that of regional peers over the long term, despite reliance on
agriculture and inflation concerns. A young, growing population faces high poverty and
education barriers, while technologically, advancements in internet access and mobile
technology signal potential progress.
PEST ANALYSIS
PEST analysis (political, economic, social and technological) describes a framework of macro-
environmental factors assessed as a strategic tool for environment scanning, understanding
risks and opportunities, market growth or decline, business position, and potential and
direction for operations, helping companies to become more competitive.

Chart 1 Main PEST Points in Malawi

Source: Eurom onitor International

POLITICAL ENVIRONMENT
Chart 2 Political Environment Dynamics in Malawi

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Source: Eurom onitor International from the Heritage Foundation/International Monetary Fund
(IMF)/Governm ent Finance Statistics (GFS)/Institute for Econom ics and Peace/Transparency International/W orld
Bank /Eurostat/national statistics

ECONOMIC ENVIRONMENT
Chart 3 Economic Environment Dynamics in Malawi

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Source: Eurom onitor International from Eurostat/O ECD/United Nations (UN)/International Monetary Fund
(IMF)/W orld Econom ic O utlook (W EO )/International Financial Statistics (IFS)/International Labour O rganisation
(ILO )/ UNCTAD/International Merchandise Trade Statistics/national statistics

SOCIAL ENVIRONMENT
Chart 4 Social Environment Dynamics in Malawi

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Source: Eurom onitor International from United Nations (UN)/Eurostat/O ECD/W orld Bank /International Diabetes
Federation/national statistics

TECHNOLOGICAL ENVIRONMENT
Chart 5 Technological Environment Dynamics in Malawi

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Source: Eurom onitor International from International Telecom m unications Union
(ITU)/Eurostat/O ECD/UNESCO /W orld Econom ic Forum (W EF)/national statistics

Statistical Summary
2015 2016 2017 2018 2019 2020
Inflation 21,9 21,7 11,5 9,2 9,4 8,6
(%
change)
Exchange 499,61 718,01 730,27 732,33 737,92 749,53
rate (per
US$)
Lending 44,4 44,1 38,6 32,3 27,7 24,2
rate
GDP (% 8,5 7,8 10,5 4,4 5,7 0,8
real
growth)
GDP 4.104.743,8 5.114.932,0 6.531.224,1 7.234.882,4 8.239.605,7 8.821.424,1
(national
currency
millions)
GDP (US$ 8.216,0 7.123,8 8.943,5 9.879,2 11.166,0 11.769,3
millions)
Birth rate 35,8 34,8 34,3 33,9 33,6 33,2
(per '000)
Death rate 8,0 7,5 7,1 7,0 6,6 6,7
(per '000)
No. of 3.607,8 3.730,0 3.855,7 3.985,0 4.118,1 4.254,2
households
('000)
Total 1.002,9 817,5 957,1 1.007,0 1.120,9 1.175,7
exports
(US$
millions)

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2015 2016 2017 2018 2019 2020
Total 2.271,8 1.953,4 2.316,8 2.440,9 2.729,2 2.867,8
imports
(US$
millions)
Urban 2.763,2 2.873,0 2.988,7 3.111,0 3.240,3 3.376,8
population
('000)
Population 46,0 45,7 45,3 44,8 44,3 43,7
aged 0-14
(%)
Urban 16,3 16,5 16,7 16,9 17,2 17,4
population
(%)
Population 50,7 51,2 51,7 52,2 52,8 53,5
aged 15-64
(%)
Population 3,3 3,1 3,0 3,0 2,9 2,8
aged 65
(%)
Male 48,5 48,5 48,6 48,6 48,6 48,6
population
(%)
Female 51,5 51,5 51,4 51,4 51,4 51,4
population
(%)
Life 58,2 58,9 59,4 59,7 60,4 60,0
expectancy
male
(years)
Life 64,7 65,7 66,6 67,0 68,0 67,6
expectancy
female
(years)
Infant 38,5 35,9 33,7 31,7 30,1 28,7
mortality
(deaths per
'000 live
births)
Adult 62,1 62,3 62,4 62,5 62,5 62,6
literacy
(%)
Imports and Exports
2023 Share 2023 Share
Major export destinations (%) Major import sources (%)
Exports (fob) to Africa and the 49,6 Imports (cif) from Africa and the 53,5
Middle East Middle East
Exports (fob) to Europe 37,9 Imports (cif) from Asia Pacific 27,1
Exports (fob) to Asia Pacific 8,2 Imports (cif) from Europe 17,1
Exports (fob) to North America 3,9 Imports (cif) from North America 1,2
Exports (fob) to Latin America 0,4 Imports (cif) from Latin America 0,7
Exports (fob) to Australasia 0,0 Imports (cif) from Australasia 0,4

© Euromonitor International 2024

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