The development aid was announced by German Minister of Economic Cooperation and Development, Gerd Müller, during a corporation audience with President Peter Mutharika at Kamuzu Palace in Lilongwe.
“We are committing 58 million euro as part of our economic cooperation with Malawi,” said Müller.
He said German also want to strengthen political cooperation with Malawi.
Müller said the “prerequisite for development is good governance, peace and stability, as well as fighting corruption.”
He said German is pleased that Malawi is “working hard” to fight corruption and maintain peace.
“This is why we commit ourselves to supporting our identified key areas of support to Malawi which include agriculture, health, education and the G20 Compact with Africa for Malawi to become a member,” Müller said.
He said Malawi has the “great potential” to develop and that German want to support the rural population through agricultural enhancement programmes with the creation of the Agricultural Innovation Centre to increase value addition and fair trade with Europe and the rest of the world.
The new grant will be channeled though German development agencies, including the German Society for International Cooperation (GIZ) and KfW, a German Development Bank which has been handling German aid in Malawi.
President Mutharika commended the support the German Government has been rendering to Malawi.
He also asked German to help Malawi address its “energy challenges” as he beckons investors from Germany to invest in the country “specifically to solve energy challenges which have been compounded by the adverse impact of climate change.”