This paper reviews the link between agricultural growth and poverty reduction in Malawi. The
contribution of the agriculture sector in Malawi has been fairly stable over time, accounting for
more than one-third of gross domestic product. However, the performance has been mixed in terms
of growth rates, with more growth witnessed in the 1960s and 1970s and erratic growth rates in
subsequent periods. The analysis also shows no significant link between the growth in the agricultural
sector and indicators of poverty such as malnutrition rates and poverty head count ratio. The
disappointing performance of the agriculture sector can be attributed to many factors including
declining farm productivity, rain-fed nature of cultivation and associated exogenous shocks, thin
agricultural markets, policy reversals and associated uncertainties, and declining public investments
in the agricultural sector. In order to revive the agricultural sector, the study recommends policies
towards greater commercialization, revitalization of extension services and increased investments
in marketing systems, rural infrastructure and irrigation development.