By Suleman Chitera
The Governor of the Reserve Bank of Malawi (RBM) and Registrar of Financial Institutions, Dr. George Partridge, has challenged commercial banks to take a more decisive role in stimulating Malawi’s productive sectors, urging a shift away from overreliance on government securities toward financing that directly drives economic growth.
Dr. Partridge made the remarks on 19 February 2026 during his inaugural engagement with chief executive officers of commercial banks under the Bankers Association of Malawi (BAM).
Safeguarding Stability Amid Economic Pressures
Addressing the banking leadership, the Governor reaffirmed RBM’s core mandate of safeguarding financial system stability while promoting a market-led economy capable of withstanding the difficult economic environment the country is currently navigating.
He underscored that macroeconomic resilience and sustainable growth will depend heavily on the banking sector’s willingness to extend credit to productive areas of the economy rather than concentrating investment in low-risk government instruments.
Call for Diversified Lending
Dr. Partridge urged banks to channel more financing into strategic sectors such as:
- Agriculture
- Manufacturing
- Tourism
- Mining
- Innovation and emerging enterprises
He challenged financial institutions to design credit products tailored to the needs of the private sector and to take calculated, well-managed risks that enable businesses to expand, create jobs, and contribute to export growth.
The Governor emphasized that broad-based economic recovery cannot be achieved without stronger credit flows to enterprises that generate value addition and foreign exchange.
BAM Pledges Support for Economic Recovery
Speaking on behalf of the banking industry, BAM President Mr. Philip Madinga assured RBM of the association’s commitment to supporting national efforts aimed at economic recovery and growth.
Mr. Madinga referenced previous engagements between BAM and RBM leadership, including investment symposiums focused on mobilizing funding for strategic sectors. He reiterated the importance of maintaining momentum toward private sector-led growth.
He welcomed improvements in regulatory responsiveness and expressed readiness to review regulations that foster innovation and facilitate credit expansion. However, he stressed the importance of clear and timely communication regarding policy reforms to minimize market uncertainty and enable banks to strategically position themselves to support credit growth.
Infrastructure Financing Opportunities
Mr. Madinga also expressed optimism about emerging opportunities for banks to finance infrastructure projects, particularly in light of recent policy decisions aimed at strengthening revenue mobilization. He indicated that structured collaboration between regulators and industry players could unlock significant capital for national development priorities.
Strengthening Collaboration
Both RBM and BAM committed to deepening engagement and strengthening collaboration to advance progress within the financial sector and the broader economy.
The meeting signals a renewed push for alignment between monetary authorities and commercial banks, with a shared recognition that sustainable economic recovery will require robust private sector financing, regulatory clarity, and disciplined financial sector governance.
