Norway is set to pull the plug on its embassy in Malawi, shutting it down for good by the end of July 2027 as part of a dramatic overhaul of its foreign service.

The bombshell decision was announced by Norwegian Foreign Affairs Minister Espen Barth Eide, who blamed mounting global instability and what he chillingly described as the most serious security policy situation the world has faced since the Second World War.

The closure will bring the curtain down on 27 years of diplomatic presence in the country. The embassy, first established in 2000, has been a cornerstone of Norway's development partnership with Malawi, pumping in roughly NOK500 million -- around K93 billion -- in assistance every year in recent times.

That support has poured into critical sectors including health, education, agriculture and good governance, making Norway one of Malawi's most significant development partners.

But officials were quick to insist the move does not spell the end of the relationship entirely. International Development Minister Åsmund Aukrust moved to reassure Malawians that development cooperation will continue, despite the embassy's closure.

He said funding funnelled through multilateral organisations will keep flowing, while Norway will now weigh up the future of its cooperation with civil society groups, Norwegian institutions and other partners on the ground in Malawi.