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Infrastructure

Livelihoods and the local economy

How residents earn income through trade, services, agriculture, creative work, training, and digital labour despite restrictions on movement and formal employment.

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A busy commercial road with pedestrians, bicycles and motorcycles in Dzaleka
Trade and transport activity on a commercial road inside Dzaleka. Photo: Dzaleka Online Services archive.
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An informal local economy

Dzaleka’s economy includes retail shops, food stalls, tailoring, hairdressing, transport, repair work, mobile-money services, private education, construction trades, farming, arts, and community organisations. Business activity connects residents with nearby Malawian communities through employment, purchasing, land access, and trade.

The economy is largely informal. Malawi’s legal framework and encampment policy restrict movement and formal employment, while access to capital, documentation, electricity, stable internet, and larger markets can be limited.

Evidence about livelihoods

UNHCR’s 2017 socioeconomic assessment surveyed 802 refugee households in Dzaleka as part of a wider study of livelihoods, income, assets, food consumption, services, safety, and wellbeing. The dataset is useful historical evidence, but it should not be treated as a current census.

In August 2024, UNHCR reported that fewer than seven per cent of the camp population benefited from formal livelihood activities. At that time, programmes included crop and livestock production, insect farming, and enterprise development for refugee and host communities.

Training and enterprise support

Organisations including There Is Hope, JRS, UNHCR partners, and refugee-led groups have offered vocational training, enterprise development, agriculture, financial literacy, and digital skills. These programmes are significant but do not reach every household.

Digital work

Online work can provide access to clients beyond the camp. A 2024 UNHCR Innovation project with JRS and Konexio explored digital skills and labour platforms. Participants still faced expensive or unreliable connectivity, power interruptions, and employer concerns linked to nationality or location.

Relationship to assistance

Income and humanitarian assistance overlap. Food or cash transfers can be a household’s most reliable resource, while trade and casual work help cover needs that assistance does not meet. Funding cuts therefore affect both household consumption and the wider camp economy.

Visual record

Open-air stalls beside a road in Dzaleka
Small retail and food businesses operate across the camp. Photo: Dzaleka Online Services archive.
A mobile-money agent sitting inside a kiosk
Mobile-money agents are part of Dzaleka's everyday financial infrastructure. Photo: Dzaleka Online Services archive.

References

Sources

  1. 1
    UNHCR Malawi Fact Sheet

    UNHCR, August 2024

  2. 2
  3. 3
    Paving a way to digital livelihoods

    UNHCR Innovation, 25 April 2024

  4. 4
    Malawi Refugee Guide

    Inua Advocacy, December 2024

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Cite this entry

APA format

Dzaleka Online Services. (2026). Livelihoods and the local economy. Dzaleka Encyclopedia. Retrieved 5 September 2026, from https://services.dzaleka.com/encyclopedia/livelihoods-and-local-economy

MLA format

"Livelihoods and the local economy." Dzaleka Encyclopedia, Dzaleka Online Services, 2026, https://services.dzaleka.com/encyclopedia/livelihoods-and-local-economy. Accessed 5 September 2026.

BibTeX format

@misc{dzaleka_livelihoods_and_local_economy,
  title = {Livelihoods and the local economy},
  author = {{Dzaleka Online Services}},
  year = {2026},
  publisher = {Dzaleka Encyclopedia},
  url = {https://services.dzaleka.com/encyclopedia/livelihoods-and-local-economy}
};