Malawi’s Attorney General, Thabo Chakaka Nyirenda, has taken a strong stance against corruption, urging governments and investors to prioritize transparency and accountability in international investment agreements.
Speaking at the Sovereign and States Disputes and Enforcement Summit 2025 in London, Nyirenda emphasized the need for investors to comply with domestic laws and regulations, including those related to environmental and social impact assessments, human rights, corruption, and corporate governance.
“The days of corrupt practices and illicit financial flows must come to an end,” Nyirenda said. “Investors must be held accountable for their actions, and governments must prioritize transparency and accountability in their investment agreements.”
Nyirenda also highlighted the importance of the African Continental Free Trade Area (AfCFTA) Protocol on Investment, which imposes obligations on state parties to promote and enforce laws and policies protecting investment-related human rights, labor rights, and the environment.
He noted that corruption and illicit financial flows in Africa cost the continent billions of dollars each year.
In addition, Nyirenda stressed the need for transparency in third-party funding, suggesting that those who provide funding for litigation should not only share in the benefits of a successful outcome but also bear the burden of a litigation loss.
“Include the aspect of third-party funding that not only should they share the benefit of a successful litigation but also the burden of a litigation loss, namely, they should be liable to cost awards,” he said.
He also emphasized the role of arbitration tribunals in detecting fraud, corruption, and financial crime. “Arbitration tribunals should not just be watchdogs but also bloodhounds. They should not just be neutral bystanders but also detectives of fraud, corruption and financial crime in general.”
Nyirenda cited several cases to illustrate the importance of transparency and accountability in investment agreements, including Indiana Resources Ltd v Republic of Tanzania, ECo Development and ECoEnergy v Republic of Tanzania, World Duty Free Ltd v Republic of Kenya, and Federal Republic of Nigeria v Process & Industrial Developments Ltd.
“Malawi is committed to fighting corruption and promoting transparency and accountability in all its investment agreements,” Nyirenda said. “We urge all governments and investors to join us in this fight, and to prioritize the interests of our citizens and the environment.”
