Abstract:
This study explores the political economy of mining in Malawi, focusing on governance structures, community participation, and labour issues within the sector. Despite the government’s strategic emphasis on mining, alongside agriculture and tourism, as a driver for economic transformation, significant challenges persist in realising the sector's potential for socio-economic development. The research gap lies in the insufficient understanding of the dynamics between political power, mining governance, and the role of community and labour in shaping the industry’s outcomes. The study aims to analyse the interplay between politics and mining, specifically examining how governance, community participation, and labour issues affect the mining sector’s development in Malawi. The main objective of the study is to assess the political economy of mining governance, evaluate community participation, and explore labour market dynamics within the industry. Using a sample of 157 mining stakeholders, a mixed-methods approach was employed, utilising both qualitative and quantitative data collection techniques. The study used both quantitative and qualitative data analysis methods. Quantitative data was analysed using SPSS version 27, employing descriptive statistics (frequencies and percentages) to summarise community perceptions, and one-way ANOVA to examine differences in perceived power among actors in Malawi's mining sector. Qualitative data from interviews, focus groups, and observations was analysed thematically using NVivo 14, with transcripts coded to identify recurring themes aligned with the research objectives. The findings indicate that while the government holds substantial decision-making power, international non-governmental organisations and private mining companies exert greater influence in the sector. Additionally, the study reveals a lack of adequate governance structures to ensure meaningful community participation, despite mining communities bearing the negative externalities of mining operations. Furthermore, there is a significant skills gap within the labour market, with no coherent strategy to develop the necessary workforce to support the growing mining sector. In conclusion, the study argues that the current political framework merely channels taxes, grants, and aid, without fostering sustainable sector development. The study recommends that the government take a more proactive role in the sector by operationalising the mining company and Authority to address the power imbalances that hinder economic growth. Additionally, to enhance Malawi’s global competitiveness, it is crucial to focus on developing the labour and skills sector. The study’s findings are valuable for government agencies, private sector stakeholders, and mining researchers aiming to improve the sector’s governance and socio-economic impact.