Presentation Outline

1. INVESTMENT PROMOTION IN MALAWI: FROM ZERO TO WORLD GOOD PRACTICEBYSuzana Tangu MjuweniInvestment Promotion ManagerMalawi Investment Promotion Agency26th October 2010

2. Presentation Outline • MIPA’s Background and Objectives • Website as an Investment Promotion Tool • Website Management • Long-Term Plans • Conclusion

3. MIPA: Background and Objectives • MIPA established in 1991 • Mandate : to promote, attract, encourage, facilitate and support investment in Malawi • Responsibilities: • Developing favorable investment image of Malawi; • Policy advice to Government. • 5 sectors of focus: manufacturing, tourism, agriculture, mining, & infrastructure development

4. MIPA: Background and Objectives • Strategy for Investment Attraction: • The 5 sectors are in line with government’s development agenda and thus have government support through public investments and incentives • MIPA’s investment promotion strategy: increasing visibility and awareness of Malawi as a country • Promotional Strategy versus MIPA’s Website: • Content: relevant and timely information; presents positive image about Malawi, focuses on the 5 priority sectors • Allocation of funds: • to collect information on the 5 priority sectors • to create and increase awareness of the website globally

5. Old versus New Website • Before 2007 MIPA concentrated on other modes of investment promotion without much emphasis on the website as a promotional tool. • The old website was very basic, unattractive and non-interactive such that it provided poor informationto its users.

6. Website: Achievements to-date • One of the top 7 COMESA websites according to the Global Investment Promotion Benchmarking (GIPB) –Eyes on COMESA • Winner of the Africa Investor Award for 2008 - Best IPA Category (praised for accurate and updated information on the website) • Website received a total of 150 enquiries through the website link from 2007 to date broken down as follows: 41 in 2007, 53 in 2008, 56 in 2009, 63 for 2010 to (October 2010) • These inquiries have been attended to and some have materialised into potential projects e.g. electricity generation project, Fruit and Vegetable Agro processing plant

7. Secret Behind MIPA’s Website Development • Wide consultation prior to the website development phase with various departments within MIPA and stakeholders, including investors • Studied websites of Best Practice IPAs globally • Adhered to the ‘Simplicity Principle’ • Adhered to the ‘Consistency in Presentation of Information’ Principle • Developed with current technology that make websites easily accessible • Investment in ICT: Computers, Servers, LAN, training of web managers

8. Focus on Website: Importance of Management Support • The role of MIPA Management in developing and maintaining the website is emphasized and encouraged through: • Coordination by Managers from respective departments in providing website information • Quality Assurance - information is verified before being posted on the website by the Corporate Affairs Manager • Capacity Building - with the ever-evolving ICT industry, IT website managers go for training courses in data and website management regularly

9. Website: Management, Content and Value-Added • Website Management: by a dedicated 2-man team in IT section in collaboration with: • Planning and Research Department • Business Information Department • Corporate affairs Departments • Other departments on an as needs basis • Content: positive country information, brief, informative, variety in packaging e.g. profiles, news, feedback link, sectoral information, etc. • Benefits of providing timely information: • prospective investors make informed decisions • correspondence costs with investors reduced

10. Putting Positive and Relevant information about your country on the website is essential to make a business case for your country One of the first pages that welcomes an investor On our website under the ‘Investing in Malawi’ tab is a 4 line brief with 8 bullets emphasizing that Malawi welcomes Private Investors and 8 reasons to invest in Malawi. Brief and to the Point!!!

11. Website as a Powerful Marketing Tool Marketing of the Website • Website advertisement - funds are allocated to promoting the website • Ease of access-through continuous monitoring of the availability of the website Marketing of the website has translated into effective and efficient outreach • Effective and efficient outreach – why does it pay off? • Investor inquiries are addressed expeditiously • It is reachable everywhere in the world • Reduced promotional & physical outreach costs • Reduced production cost of promotional tools

12. One key activity of MIPA’s • IP Department is to Broker • Local Private Investment • Projects for Partnership • with Foreign Investors. • Our website has a collection • of such local projects aiming at: • Providing local project specifications • in detail • Promoting domestic private sector • projects • Encouraging foreign participation • in Local Projects through • JVCs, Loans, and grants • This ultimately allows Malawi’s • private sector to learn from • foreign firms through • knowledge transfer and • Exposure.

13. Why is Online Inquiry Facilitation Important? • Online investor inquiry facilitation and feedback mechanism through the website • Improves efficiency: reminders are made every five minutes until an inquiry has been attended to • Improves investors confidence: inquiries go straight to investment promotion Department’s mail account where they are answered within the shortest time possible • Cost effectiveness: reduces number of physical investment promotion visits abroad and promotional materials

14. Benefits of Effective Website Management System • Offers competitive advantage: # of investment license applications has increased due to improved communication and accessibility to up-to-date business information • Reduced operational costs: phone communication replaced by built-in email system through link on website • Improved efficiency: with the introduction of online inquiry/feedback mechanism time taken to get back to the prospective investor enquiries is reduced

15. Reliability: business information is regularly updated, hence accurate • Reduced cost-of-doing business: communication cost on the part of an investor is reduced through the usage of online inquiry form • Improved Outreach: MIPA receives enquiries from countries that had never enquired before and from those without diplomatic ties with Malawi unlike in the past where enquiries were limited to a few countries

16. MIPA’s Long-Term Plans 1. Develop an IT Strategic Plan to address: • Database based dynamic site • Integrated I-Portal established for MIPA • Online investment processing e.g. Investment Certificate, Permits, and Land • ICT capacity increased • Integrated to the Management Information System 2. Information Collection and Coordination • Should be regular • Should be inclusive

17. 3. Feedback and Inquiries Management • Be monitored regularly • Follow up • Provide RELAY of information that has come through us to relevant government institutions e.g. export promotion, Chamber of Commerce 4. Website Advertisement • Through local and international media • Branding

18. Conclusion • Taking into consideration the issue of globalization and the coming in of E-commerce it is very important for IPA’s to invest in their ICT and link it properly with investment promotion

19. THANK YOU VERY MUCH FOR YOUR ATTENTIONQuestions? jrkbanda@mipamw.org