Malawi - African Development Fund Approves $8.5m Grant to Restore Cyclone-Ravaged Irrigation Schemes

23 June 2026
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African Development Bank (Abidjan)
announcement

The Board of Governors of the African Development Bank Group has approved an $8.49 million grant from the African Development Fund (ADF) to support Malawian communities hit by climate devastation and strengthen their resilience to future disasters.

The ADF is the Bank Group's concessional lending window for the continent's most vulnerable countries, and the funding will be channeled through its Climate Action Window.

The grant focuses on Phalombe and Thyolo, the districts hardest hit by Cyclone Freddy in 2023. The storm destroyed more than 50,000 hectares of farmland and damaged over 60 irrigation schemes across southern Malawi.

Three years later, the effects are still severe. Nearly three-quarters of Malawi's population lives below the international poverty line, and one in five experiences chronic food insecurity each year. In Phalombe and Thyolo, stunting affects up to 38% of children under five.

The CAWMA project, Enhancing Climate-Adapted Agricultural Productivity through Improved Water Management, is designed to address that cycle. The project runs from June 2026 to September 2031.

The project will fully rebuild and "climate-proof" three damaged irrigation schemes covering 180 hectares. Smallholder crop yields are expected to rise by 35-40%, while household incomes are projected to exceed $1,000 a year by full project maturity, helping families move out of poverty. The project will also train about 28,000 farmers in climate-smart agriculture and restore 650 hectares of degraded catchment land through nature-based solutions.

The project also puts women and young people at the forefront: at least 40% of direct beneficiaries will be women, with female-headed households prioritised throughout.

"This is about reconstruction and transformation," said Macmillan Anyanwu, the African Development Bank's Country Manager for Malawi. "We are rebuilding infrastructure that can withstand the next cyclone while equipping farmers with the skills, farm inputs and market access opportunities they need to thrive long after the project ends."

The project will be implemented by a consortium led by the Food and Agriculture Organisation of the United Nations, alongside the International Fund for Agricultural Development, the United Nations Office for Project Services, and the Government of Malawi.

"Crucially, the project promotes inclusive participation by prioritizing the empowerment of women and youth, ensuring that the benefits of resilience-building are shared across vulnerable groups," stated Neeraj Vij, African Development Bank's Regional Sector Manager for Southern Africa.

The five-year project has a total value of $14.41 million and is expected to indirectly reach over 10,000 additional households througheconomic spill over from commercial crop production and improved water and sanitation services in the three targeted irrigation schemes .

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