Micro, small and medium enterprises play a crucial role in the economic development of any country and
Malawi is not an exception. However, one of the major problems bedeviling the growth and survival of MSMEs is
limited access to finance. The extent of the problem is of so much concern in Malawi where market interest rates
are always exorbitantly high. As one of the ways of mitigating the problem, this paper analyses some of the
financing mechanisms Malawi can adopt and institutionalize in order to boost the SME sub-sector. These
mechanisms include credit guarantee schemes, equity guarantee schemes, and import and export credit facilities.
However, the paper recommends that these facilities suit the medium category of the MSMEs as the micro and
small categories will still find it hard to access. This recommendation is informed by practices and experiences
from jurisdictions that have advocated for and adopted such mechanisms