Mining
EDF IRKS ASMS BY HALTING PURCHASES OF PRECIOUS STONES
June 18, 2026 / Wahard Betha
Artisanal and small-scale miners (ASMs) have expressed concern over the suspension of gemstone and gold purchases by Export Development Fund (EDF) from local ASMs and dealers saying it has left them stranded with the precious stones due to lack of a viable market amidst government’s ban on export of raw minerals.
Mining and Trade Review has established that EDF, a subsidiary of Reserve Bank of Malawi (RBM), stopped buying gemstones earlier this year.
A gemstone dealer, Mathias Saidi in an interview that he is now failing to find a market for gemstones as his only market, EDF, is no longer buying the stones.
Saidi said the ban on raw mineral exportation did not affect his trade as EDF was still buying gold and gemstones at the time State President Arthur Peter Mutharika announced the Executive Order declaring the ban , but now they have nowhere to go with the stones as he does not have equipment for value addition.
He said: “This year, I have been sent back several times saying they do not have money to buy gemstones.”
“This is sad because EDF was offering good prices comparing to other buyers on the market.”
Saidi proposed for multi stakeholder meeting to render their grievances and map the way forward on how they can resolve the matter.
Commenting on the issue in a Facebook post, President for Federation of Artisanal and Small-scale Mining in Malawi, Percy Maleta lamented the absence of available market for ASMs saying many are holding kilograms of gold and gemstones with nowhere reliable to sell.
Maleta said: “Before ASMs start crossing boarders through unchartered routes looking for buyers, there is urgent need for intervention and alternative market support. Any serious buyers or guidance would be greatly appreciated.”
“Going forward, there is a need to open up the gold business, MMRA must start issuing gold dealership licenses to those with capacity so that they complement RBM/EDF and Malawi Mining Investment Company (MAMICO).”
EDF Manager for Precious Metals and Minerals Elyvin Khonjera was yet to respond to our questionnaire on the issue as we went to Press.
But Mining Expert John Nkhoma expressed concern over the development saying it will fuel illegal vending of the precious stones.
While concurring with Nkhoma, Coordinator for Chamber of Mines and Energy Grain Malunga said it was difficult for EDF to operate on the market for years as it has no lapidary facilities and that it cannot export unpolished gemstones under the prevailing ban.
Malunga said: “Government should set favourable conditions attracting setting up of industrial lapidary services.
“They should seek partnershipa in value addition. China and India are a good source.”
Programs Coordinator for Natural Resources Justice Network (NRJN) Joy Chabwera said the coming in of RBM through EDF was to address the challenge of lack of a viable market for small scale miners and that it has stopped buying the minerals, the sector will go back where it was.
Chabwera urged EDF to consider resuming buying of the precious stones to ensure that the ban on raw mineral exportation is effective.
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The establishment of a stable and self-sustaining ecosystem, but not necessarily the one that existed before mining began. In many cases, complete restoration may be impossible, but successful remediation, reclamation, and rehabilitation can result in the timely establishment of a functional ecosystem.
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The cleanup of the contaminated area to safe levels by removing or isolating contaminants. At mine sites, remediation often consists of isolating contaminated material in pre-existing tailings storage facilities, capping tailings and waste rock stockpiles with clean topsoil, and collecting and treating any contaminated mine water if necessary.
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