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Economy of Malawi

Malawi is considered to be a developing nation. The developmental stage of a nation is determined by a number of factors including, but not limited to, economic prosperity, life expectancy, income equality, and quality of life. As a developing nation, Malawi may not be able to offer consistent social services to its citizens. These social services may include things like public education, reliable healthcare, and law enforcement. Citizens of developing nations may have lower life expectancies than citizens of developed nations. Each year, Malawi exports around $1.43 billion and imports roughly $2.42 billion. 6% of population in the country are unemployed. The total number of unemployed people in Malawi is 1,149,884. In Malawi, 50.7% of the population lives below the poverty line. The percentage of citizens living below the poverty line in Malawi is very high when compared with other nations. This situation is indicative of a variety of alarming economic and political factors. It is not advisable to make any investments in countries with this level of poverty. Government expenditure on education is 5.2% of GDP. The Gini Index of the country is 39. Malawi is experiencing good equality. The majority of citizens in Malawi fall within a narrow range of income, although some cases may show significant differences. Malawi has a Human Development Index (HDI) of 0.414. Malawi has a lower medium HDI score. This indicates that the majority of citizens will struggle to attain a desirable life due to flawed economic and social systems. The Global Peace Index (GPI) for Malawi is 1.814. Due to strong law enforcement presence and high social responsibility, Malawi is very safe by international standards. The strength of legal rights index for Malawi is 5. Overall, it is considered to be rather inadequate - bancrupcy and collateral laws are able to protect the rights of borrowers and lenders to some degree; credit information may be sufficient, but hardly available, or, the oppoiste case, available but not sufficient.

Currency

The currency of Malawi is Malawian kwacha. The plural form of the word Malawian kwacha is kwachas. The symbol used for this currency is MK, and it is abbreviated as MWK. The Malawian kwacha is divided into Tambata; there are 100 in one kwacha.

Credit rating

Credit rating is the extent to which international investors trust a country in paying debts and upholding the country's obligations in terms of crediting. There is no information on the credit rating of Malawi.

Central bank

In Malawi, the institution that manages the state's currency, money supply, and interest rates is called Reserve Bank of Malawi. The average deposit interest rate offered by local banks in Malawi is 13.2%.

Public debt

Malawi has a government debt of 29.% of the country's Gross Domestic Product (GDP), as assessed in 2013.

Tax information

The corporate tax in Malawi is set at 30%. Personal income tax ranges from 0% to 21%, depending on your specific situation and income level. VAT in Malawi is 16.5%.

Finances

The total Gross Domestic Product (GDP) assessed as Purchasing Power Parity (PPP) in Malawi is $19580 billion. The Gross Domestic Product (GDP) assessed as Purchasing Power Parity (PPP) per capita in Malawi was last recorded at $1 million. PPP in Malawi is considered to be below average when compared to other countries. Below average PPP indicates that citizens in this country find it difficult to purchase local goods. Local goods can include food, shelter, clothing, health care, personal care, essential furnishings, transportation and communication, laundry, and various types of insurance. Countries with below average PPP are dangerous locations for investments. The total Gross Domestic Product (GDP) in Malawi is 5,146 billion. Based on this statistic, Malawi is considered to have a medium economy. Countries with medium economies support an average number of industries and opportunities for investment. It should not be too difficult to find worthwhile investment opportunities in medium economies. The Gross Domestic Product (GDP) per capita in Malawi was last recorded at $0 million. The average citizen in Malawi has very low wealth. Countries with very low wealth per capita often have lower life expectancies and dramatically lower quality of living among citizens. It can be very difficult to find highly skilled workers in countries with very low wealth, as it is difficult for citizens to obtain the requisite education needed for specialized industries. However, labor can be found for very low rates when compared with countries with higher wealth per capita. GDP Annual Growth Rate in Malawi averaged 5.7% in 2014. According to this percentage, Malawi is currently experiencing significant growth. Countries that are experiencing significant growth offer the best chance for a substantial return on investment, as GDP growth rate is the most important indicator of economic health. As GDP grows, business, jobs, and personal income grow as well. To read more about financial information click on finances of Malawi.

Industry

Major industries in the country are tobacco, tea, sugar, sawmill products, cement, consumer goods. The total labor force of Malawi is 8,030,200 people, wherein 6% of population in the country are unemployed. The total number of unemployed people in Malawi is 1,149,884. The Industrial Production growth rate of Malawi is 17.3%.To read more about industrial information within Malawi click on industry of Malawi.

Agriculture

There are 19456 km2 of arable land in Malawi, and it comprises 16% of the country's total territory. There are 20566 km2 of cultivated land in Malawi. The country's major agricultural crops and products are tobacco, sugarcane, cotton, tea, corn, potatoes, cassava, sorghum, pulses, groundnuts, Macadamia nuts, cattle, goats.To read more about agriculture click on agriculture of Malawi.