The Malawi Government Annual Economic Report for 2020 has indicated that Malawi’s exports went up 16% last year, up to $1.187 billion (about K890 billion) from $1.021 billion (K766 billion) in 2018.

According to the Ministry of Finance, the increase in exports has been attributed to a rise in sugar exports in the second quarter of 2019, as well as an increase in other agricultural export commodities in the third quarter. The improved exports have slightly lowered the trade deficit that the country’s export sector was suffering; figures in the report show that trade balance improved to a deficit of $399.9 million from $407.1 million in the previous quarter.

Last year, the Reserve Bank of Malawi (RBM) said that Malawi still registers a negative trade balance as imports are surpassing exports due to dwindling agricultural export commodities. According to the 2019 Financial and Economic review report for the fourth quarter, the trade balance deficit widened to $446.5 million (about K 330 billion) from a deficit of $399.9 million ( about K285.9 billion) in the previous quarter. Last year, the annual Economic Report said that Malawi’s trade balance would worsen by 16.4%. The projection was justified by stating that all values of traditional export products are anticipated to go down in 2019.