Malawi: $165.9 million to strengthen social protection against shocks

The World Bank approved a funding package of $165.9 million, approximately 287.8 billion kwachas, for the INSPIRE-O project in Malawi on September 17. The program aims to enhance social protection in response to climate and economic shocks and expand employment opportunities for poor and vulnerable households.

The program will cover all 25 districts and four cities in the country. It combines adaptive social safety nets, public works designed to improve climate resilience, and economic inclusion measures, with a particular focus on women and youth.

Ten of the districts most affected by drought will also benefit from financing mechanisms that can be activated in response to climate events. The goal is to enable social systems to respond more quickly when household incomes and livelihoods are impacted.

Project documents published by the World Bank describe INSPIRE-O as the successor to the Social Support for Resilient Livelihoods Project. The new initiative aims to better link social assistance to public works, economic activities, and employment opportunities for vulnerable populations.

The World Bank has entrusted the main implementation to the National Local Government Finance Committee. This body will coordinate interventions with the administrations responsible for social transfers, public works, and economic inclusion.

Abdu Muwonge, the World Bank’s country manager for Malawi, presented the funding as support for community resilience at a time when employment opportunities remain limited for a segment of the youth and when climate shocks continue to impact household incomes.

The Malawi Ministry of Finance released the disclosure documents for INSPIRE-O on May 29, followed by its environmental and social framework and stakeholder engagement plan on May 30.