Tourism contributes 7.7% to Malawi’s GDP, and sub-optimal capacity utilization of tourism facilities and services indicates that there is opportunity for growth. One of the keys to unlocking Malawi’s potential in tourism and other sectors like mining and forestry is investment in passenger transport infrastructure. Due to the fact that it is landlocked, transport costs in Malawi are among the highest in the region. Furthermore, road infrastructure is poor and below internationally accepted standards. The implication of the analysis is that ensuring paved roads can provide significant benefits to the Malawian economy. The intervention will increase international tourism receipts by 30%.
A Cost-Benefit Analysis of Upgrading Road Infrastructure for Tourism in Malawi