Introduction
Malawi stands at a pivotal moment in its development journey, having recognised that Information and Communication Technology (ICT) is a critical enabler of economic growth and social progress. As the nation pursues the ambitious goals of Malawi Vision 2063, ICT has been identified as a primary catalyst for inclusive wealth creation. However, a comprehensive review of Malawi’s ICT landscape reveals a complex picture where significant achievements in mobile money, policy development, and growing digital exports coexist with persistent challenges in infrastructure, affordability, digital skills, and implementation capacity.
The Current State of ICT in Malawi
Malawi has made notable progress in developing its digital economy. According to the United Nations Development Programme’s Digital Readiness Assessment (2025), the country is positioned within the “Opportunistic” stage of digital readiness, with an overall score of 1.96 out of 4.0, reflecting growing awareness and emerging investments in digital solutions while highlighting the need for systemic coordination and accelerated reforms.
Notable achievements include mobile network expansion, with 74.9% of the population covered by 4G networks and 89.1% having access to 2G networks, while TNM has become the first operator to pilot 5G services in Blantyre and Lilongwe. Digital payments have become a cornerstone of financial inclusion, with over 10.1 million Malawians registered as mobile money subscribers and more than 60% using these services routinely, while ICT services exports grew from approximately US$70 million in 2020 to US$154 million in 2023, demonstrating a functioning and competitive digital export sector. The government has also established several key policy frameworks, including the National Digitalization Policy (2023–2028), the Data Protection Act (2024), and the Electronic Transactions and Cyber Security Act.
Persistent Challenges
Despite these achievements, significant challenges continue to hinder digital transformation. Internet penetration stands at just 27.7%, well below regional averages, while access to electricity is limited to only 23% of the population. Mobile network operators have called for an additional 500 cellphone towers to effectively cover all users across the country. The “usage gap” phenomenon means that while mobile networks cover a much larger portion of the country, only 15% of the population actively uses mobile internet. High data costs and device expenses remain significant barriers, with the cost of 300 MB of data nearly 6% of monthly GDP per capita, and only 36.3% of the population owning smartphones.
A significant digital skills gap exists, with only 62% of the population literate and low digital skills levels limiting effective engagement with digital technologies. Many organisations struggle to find qualified ICT professionals, and educational institutions must align curricula with the demands of the digital economy. Implementation challenges have plagued major initiatives, with the passport system transition proving a technical nightmare that exposed the country’s digital infrastructure weaknesses, while technical paralysis at the Department of e-Government meant that the Enterprise Service Bus failed to operationalise, keeping government services trapped in silos. Cybersecurity risks are also growing, with 85.5% of respondents having experienced fraudulent calls or SMS messages, and 85.3% of individuals not reporting incidents they encounter.
Opportunities and the Path Forward
The government has unveiled a three-year digital plan to build a connected, secure, and inclusive digital nation, targeting increased connected schools from 2,000 to 4,000, achieving an 80% national connectivity rate, expanding broadband access and accelerating digital public services, strengthening cybersecurity and data governance, and equipping young people with skills to innovate, create jobs, and compete globally. The target is to achieve 80% internet access by 2030 through key initiatives including the World Bank-financed Digital Malawi Acceleration Project, construction of a national data centre in Lilongwe, and expanded rural connectivity through fibre and satellite technologies.
The Digital Readiness Assessment provides several evidence-based recommendations, including establishing a centralised Digital Transformation authority to coordinate national efforts, empowering the Department of E-Government with greater authority and resources, strengthening regulatory enforcement and developing future-facing policies including a National AI and Data Strategy, improving public sector coordination and interoperability, investing in rural broadband infrastructure and reducing internet costs, developing a National Digital Skills Framework focused on inclusion and workforce alignment, implementing user feedback systems to refine e-government platforms, and leveraging AI-enabled digital tools for climate resilience including AI-powered early warning systems for floods.
Conclusion
Malawi’s ICT sector presents a story of contrasts: significant achievements in mobile money, policy development, and growing digital exports sit alongside persistent challenges in infrastructure, affordability, digital skills, and implementation capacity. The year 2025 demonstrated that Malawi possesses the policy frameworks and technical ambition for digital transformation, but what remains missing is the political will to enforce accountability and the fiscal discipline to prioritise implementation over announcements. As Malawi moves forward, the question is no longer whether the country can digitalise but whether its leaders will finally match their rhetoric with results. The digital economy already demonstrates its potential to generate foreign exchange, create jobs, and improve service delivery, and with strategic investment, supportive policy frameworks, and a commitment to implementation excellence, Malawi can position itself as a competitive participant in the global digital economy and achieve the ambitious goals of Vision 2063.
This review draws on data from the Malawi Digital Readiness Assessment 2025, published by the United Nations Development Programme in partnership with the Ministry of Information and Digitalization, the MACRA 2024 State of ICT Report, the U.S. International Trade Administration’s Malawi Digital Economy Guide, and reports from The Times Group, Malawi24, and Nyasa Times.
