Malawi's Export Development Fund (EDF) has struck a partnership with FDH Bank to open four new Gold Trading Centres in Karonga, Mzimba (Jenda), Mangochi and Blantyre, as the state-backed fund seeks to draw a greater share of the country's gold trade into formal channels.

The tie-up extends EDF's purchasing network beyond its existing outposts in Lilongwe and Liwonde, bringing formal buying capacity closer to producers and traders in regions where gold mining activity has historically outpaced formal trading infrastructure.

Under the arrangement, FDH Bank will host centres within its branches in Karonga, Mzimba and Mangochi, giving EDF access to established banking infrastructure without the cost of building its own. The Blantyre centre will instead be housed at the Reserve Bank of Malawi's premises.

The expansion comes as EDF looks to scale up volumes moving through the formal market.

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Acting managing director Inglis Nyamilandu said the fund was constrained by having only two buying points to date, despite gold traders operating across the country.

"By taking our services closer to where the gold is being mined, we expect to reach more traders and increase the volumes of gold we purchase," he said, adding that the FDH partnership allows EDF to "leverage their branch network" rather than build out its own, with further district-level expansion planned.

For FDH Bank, the deal marks a deeper push into Malawi's mining sector.

Managing director Noel Mkulichi said the bank saw an opportunity to put its existing branch footprint to use in support of the country's mineral value chain, framing the partnership as consistent with its broader institutional strategy in the sector.

The formal gold market itself is a relatively young piece of state infrastructure, established by government in 2021 to bring structure to a trade that had largely operated outside official channels.

The Gold Purchase Programme remains owned by the Reserve Bank of Malawi, with EDF acting as implementing agent.

Since the market's inception, EDF has purchased just over 1.63 tonnes of gold -- 1,630,368.68 grams -- as of September 2026, a figure that underscores both the scale of gold flowing through informal networks and the runway still available to formalise it.