A UN Capital Development Fund (UNCDF) loan to Malawian agribusiness Ziweto Enterprises Limited, triggered a 30% jump in annual turnover, an uptick in job creation and investment in new sustainable revenue streams. And in December 2024, Ziweto became the first Malawian company to list its holdings entity, Ziweto Holdings Limited, on the Stock Exchange of Mauritius.

In Malawi, livestock are more than just assets—they serve as a store of value, a form of financial security, and a symbol of social status. Families often turn to livestock in times of need, and when they have extra income, they reinvest it into animals like cattle, goats, pigs, and poultry. Recognizing this deep connection, Ziweto has built a business model centred on its mission of “raising the value of livestock for better human lives.”

Founded in 2014 by Victor Chambayika Mhango, Ziweto Enterprises sells veterinary products, livestock feed, vaccines, and equipment through a growing network of Ziweto Agrovet Shops across the country. However, like many import-reliant businesses, Ziweto faced challenges accessing foreign currency to replenish stock from international suppliers. A concessional loan from UNCDF proved to be a game changer.

(1) Ziweto Facility. (2) Ziweto employees and livestock. Photo: Ziweto

Unlocking potential with capital

“The loan that we got from UN Capital Development Fund actually came at the right time for our company,” said Founder & Chief Executive Officer of Ziweto, Mr Mhango, who grew up in a farming family that paid his university fees by selling some of their livestock.

“Because of the loan from UNCDF, we were able to pay all four of our suppliers, they managed to send us more products and that helped us to increase our revenues by over 30% from the previous financial year,” he added.

Enabling innovation

The company strategically reinvested this growth in import substitution and local value addition by expanding its feed mill operations and building a new poultry hatchery. The hatchery, expected to be operational by the end of 2025, is set to increase access to quality day-old chicks for small- and large-scale poultry farmers nationwide.

The investments necessitated more staff. Ziweto now employs over 50 full and part-time staff, 95% of whom are under 35 years old – a demographic that typically struggles to find regular formal employment. Across Malawi, Ziweto has 21 outlets operating under one brand “Ziweto Agrovet Shops”.

A Malawian first listing on the Stock Exchange of Mauritius

In December 2024, Ziweto Holdings Limited, the Mauritius-incorporated parent company of Ziweto Enterprises, was successfully listed on the Stock Exchange of Mauritius (SEM), raising nearly $600,000 in its first round. The listing was structured to attract both domestic and international investment, with a target to raise $1 million in total. The capital is being used to expand the Agrovet network to 30 shops, scale feed production capacity, and invest in hatchery operations to produce chicks.

Working in partnership with other UN entities

Beyond financial capital, Ziweto has received technical assistance from the UN Development Programme (UNDP) under the Malawi Innovation Challenge Fund, supporting improvements in governance, financial systems, and strategic planning. These reforms have positioned the company for long-term sustainability and investor confidence.

UNCDF, the only UN entity that can issue loans

UNCDF has a mandate to unlock capital in the world’s underserved markets, with a focus on the economic needs of Least Development Countries, such as Malawi, and is the only UN entity that can issue loans.

Ziweto received a $250,000 loan from UNCDF in February 2024, which it repaid in full without any default, in local currency with UNCDF absorbing any currency fluctuations as part of the concessional terms of the loan.

“My advice to other entrepreneurs is that if they get a similar opportunity like what we got from UNCDF, I will highly recommend them to take it!” said Mr Mhango.

“This was very friendly and well-structured for a business like ours,” said Mr Mhango, “I would like to see this UNCDF approach expanded, as I think it would unlock more opportunities, strengthen businesses and enable them to grow for more widescale and positive social impact.”

Ziweto’s success illustrates how blended finance, when paired with strategic entrepreneurship and technical support, can unlock exponential growth for agribusinesses and deliver lasting impact for rural communities.