GA ventures to create over 730 jobs
The Growth Accelerator (GA), a UNDP SMEs matching grant and technical assistance programme, is poised to create over 730 jobs in the next 12 months, following the contracting of 16 ventures under cohort 6 of the initiative.
Of the total jobs to be created, 125 are envisaged to be fulltime jobs, 605 seasonal and some 1,000 smallholder farmers having ready markets for their various locally produced commodities such as sunflower, rice, to be supplied to SMEs producing various products, including cooking oil.
At the same time, significant number of innovative products and services are going to be scaled up and sold in the local and regional markets, thereby increasing revenue streams for the supported ventures.
“We are now done contracting the 16 ventures and we are confident that these companies are poised for growth which is the essence of the GA facility,” says Tambulani Chunga, GA Project Manager.
According to Chunga, most of the ventures are expected to start work using the matching grant, which requires applicants to put in 30 percent of the total budget, by mid-July, 2023.
Over 50 percent of the jobs to be created, will employ women and/or youths across the regions of the country.
Says Chunga: “The impact is beyond the SMEs being supported with direct injection of capital into their businesses, these modest investments are expected to contribute to the economic development of the country.”
With average Malawian household of five members, the 125 fulltime jobs are expected to impact 625 people through improvement in livelihood at household level.
Combined, the companies will generate revenue of above K1.1 billion at the close of 12 months from over K860 million investment supported by KfW through UNDP.
Once the investments reach full potential, annual revenues are expected to be more than double, reaching above K3.2 Billion combined annual sales, according to Chunga.