Fuel prices to rise as Malawi Kwacha falls

Prices of commodities in local markets are going up and cash-strapped Malawi should brace for more torrid times as fuel prices are expected to follow suit.

Panick buying as MERA is exoected to raise fuel prices

Panick buying as MERA is exoected to raise fuel prices

The price rise is expected to be discussed at a  special committee  from Ministry of Finance, Reserve Bank of Malawi (RBM) Malawi Energy Regulatory Authority (MERA)   which converges every Tuesday of the first week of every month to determine the prices of fuel.

The new prices are to come in for the  current ones which see Petrol selling at MK796.20 per litre; diesel is at K805.50 per litre and paraffin is selling at K719.30 per litre and  are scheduled to be announced in the 48 hours.

The meeting is expected to drive fuel prices up, which in turn will have a domino effect on the pricing of various commodities.

Efforts to get a comment from Mera  on the impending fuel price hike were futile as questions sent to the authority remained unanswered .

Analysts warn that cash-poor Malawians will be left  worse off given that any fuel price increase drives up the cost of other commodities.

An economic expert Dr Thomas Munthali said Malawians should brace for “tough times ahead “ with fears that the rise will have a detrimental impact on the current economic situation as the local currency, the kwacha, has continued to show signs of ceding to major international currencies, notably the United States dollar.

“There are no signs that the Kwacha will start to appreciate any sooner and because of that prices of goods and services will continue to go up,” stated Munthali.

Reserve Bank of Malawi (RBM) Governor Charles Chuka downplayed the whingeing on weakening of kwacha against other major foreign currencies.

“There is no news that the kwacha is depreciating, because we were expecting it anyway. The country still has not managed to diversify its sources of forex,” Chuka was quoted by Business News recently.

“If exporters get the right price for their dollars, they can invest more in exports. If we continue to worry about consumers like you and me and traders, then we are missing the point,” he added.

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58 thoughts on “Fuel prices to rise as Malawi Kwacha falls”

  1. Ambolozio says:

    Wina afune asafune wam’misewu, baxi.

  2. eish says:

    APM should just die already then we won’t be having these problems!!!

  3. Man Kho says:

    wea my malawi going to, we r indeed in last days.

  4. Chisinsi DM says:

    Mr President zinayamba pang’ono pang’ono chonchi and you know what to your brother. You better think twice

  5. opportunist says:

    When other countries like South Africa are reducing fuel our country is thinking going the opposite .After it will be ordinary person that feel the pitch.

  6. Kanganya says:

    This is what Malawians wanted. Mulira kuti Pyooo! How on earth could you put DPP back in government. These hyenas were meant to get the worst votes, but sleepy malawians brought them back just after two years. Apa bolanso Amayi ngakhale zimawavuta

  7. patriot says:

    Malawians are treated like second class people by their own leaders because of their docility and cowardly attitude. The only thing Malawians know how to do and they do exceedingly well is to complain while their heads are buried in our armpits, period.

    Try this kind of treatment on South Africans or as we have just witnessed, the Burkinabes and you will see what gave the nkhanga a board head.

    Each successive government will always level the blame on the one before when things do not work out and the story, if it is not about cashgate, is always that of “the country being a consuming and not a producing one”. Malawians already know this and are looking for someone who will change that to “we are doing this and that to turn the country around from being a net consumer to a net producer”. The west went through exactly the same challenges long ago. The difference between them and us is that they chose/decided to learn from those challenges and took positive steps to address them. Thats why they are where they are today.

    I have been previlleged to have been around long enough to have seen the first “Hundai” motor vehicles. They were the laughing stock of motor vehicles in those days. Look at the “Hundai” now. There are many more examples of progressive thinking than I would be able to fit in this comment. For Malawians, though, the important thing is what goes into his/her pocket toady, period. Tomorrow will take care for itself. For as long as this is the thinking, we can forget about seeing any meaningful change for the better in anything in the country.

    Unfortunately, the Malawian himself is to blame for the way things are done in this country.

  8. Mgolomba says:

    Haha, when others see disaster, the optimist sees an opportunity. The fall in the kwacha is a gud thing, but th@ is if u are an exporter,,, the problem is Malawi is an importing nation,,, and the fastest growing consumer… I expect th@ by the rule of Darwinism this fall is good for the economy because it drives the importing firms to extinction while the exporting and diversifying firms survive which is good 4 the economy in the long run…

  9. Ntadza says:

    What did you expect? Having DPP for the second time in Government was suicide!

  10. syamboza says:

    dpp ndi mbuzi mbuzi tu usless prffesors upolofesa atolela manyowa ku america nde mungathe kuyendetsa dziko. tangompatsani mwana chilimayo muone mmene amatakasila ntchito mukhalila kukwatila ndi milakho basi. nduna 168 zachilomwe mmalo mokatchera tiyi uko ife tizdimwa zilipepelepepele .

    masiteni aja anali bho kwambiri. mafuta mukukwezawa mmbale wako anafera pamwamba uja dzimkamukanikaso. koma masiteni two minutes mafuta mbee. usova uwalipile ma civil servant onse opo bii national wide strike is looming

  11. mpopoma says:

    This ApM gov’t is useless .

  12. SOTHINI says:

    PA MALAWI APO, MALAWI WOYEE. SHOULD I GO TO NEIGHBOURING COUNTRIES WHERE LIFE IS SO CHEAP. CHEAP TU, LIKE FREE WATER IN THE NAME OF RAINS.
    KWENU TU DZUKULU UTU, (THE GRAND CHILDREN, WHO IS TO TAKE CARE OF), AYAYAYAYA.

  13. James says:

    my dear brothers and sisters.lets learn to sppriciate for what the goverment is doing.to say the trueth this crisis begin with the previous goverment .mind you nkhuyu zodya mwana zipota akalu. Stay blessed my lovely brothers and sister.

  14. man deu says:

    Atsogoleli pls ganizani bwino mukutipha

  15. James says:

    this is un fare..to say the truth this goverment is insulting as the children who dont know what is happening in this cluel country..only God will judge them….

  16. 2019 DPP WOOOOOOOOOOOOOOOOOOOOOOO ========= SO WHAT.

  17. silent cashgater says:

    there are billions of kwachas in cashgate accounts. osakatenga zimenezo bwanji? olo sell off their houses, lodges, range rovers, villas, girlfriends shops, hotels……..

  18. vindere says:

    You people think! As long as people from the North do not support or side with the govt., the economy will continue to spiral downwards and this country will become a waste land. Refer to the past,when Bingu became President, he was fully supported by Northerners and the economy grew but later he became pompous and shunned them and what happened, they despised him too and alas! the economy was paralyzed. JB took over and was 100% supported by them and the economy started growing again and this time at a faster rate. Now you see what i’m saying? They hold all the aces.

    1. l says:

      sod off. who do you think you are. you tribalistic dog.

  19. chemtwiche says:

    Idont know wht to say and how to say and where to say and which to say and whom to say and when to say I just see alass alass alass don’t we had and hav leaders?Zaphyelera kowomolera komweko

  20. Neymar says:

    Do u rily think this pitala has any vision for this country……we sold this country to the dogs again, and i rily dont know what is wrong with these self made professors.

  21. Theba says:

    This is rather ironic, when fuel was at $100 to $110 a barrel, there prices were lower. Today at 04/11 a barrel is is $83.3 down to close $25 and you want to raise the prices. Something Fishy here.

  22. Tengupenya says:

    What is the trading rate at the commercial banks? Internationally, the Kwacha is at K453 to USD1. Parallel market yayambiranso?

  23. Jabulosi says:

    Crude Oil prices have collapsed by more than 30% and the Kwacha has depreciated by 20%, any justification to raise fuel prices???? If anything they have to remain the same!!!!!

  24. chakhalira says:

    If Zawadi Chilunga only talked about the rise of fuel, I was not going to comment, but because of the last part of the very worrisome quotations of what the Reserve Bank Governor Charles Chuka said, I am forced to comment.

    Before I proceed, let me ask these two questions: Has the Reserve Banks’ duty to the Government of Being Bank and adviser to the Government stopped or phased out? Again has the duty of being Bank to the Commercial banks also stopped or phased out? In one paper the RBM Governor talked about the Government to watch out on Domestic borrowing, is this the only advice the RBM can give to Government? Then he has the pride to say ” The country still has NOT managed to diversify its sources of Forex”. So whose responsibility is this? Which government is he talking about? Is it not the same government as RBM Governor he is supposed to advise how to diversify the resources? And then he continues to say ” If we continue to worry about Consumers like you and me and traders then we are missing the point” Mr. Chuka please be human at times even if you do not want to because of luxuries you swim in. There is the whole cause of worry in this regard because the poor Malawians greatly suffer in these circumstances. You (RBM) and the Government please wear human faces and feel with them then you will appreciate why there is worry and why the community (Malawians) are worried. You mean you can not see this? Or you have no idea of how to do it?
    May God Give us Leaders to Feel with us!
    Think before you speak Bwana Chuka.

    1. Gomezga says:

      Unfortunately you have also missed a point. You really need to understand what Mr Charles Chuka is saying. This country should stop worrying about consumers and trader because they just consume and not produce. Since we cannot produce we have nothing to sell rather we have more to buy. As a country we need more producer who can manage to produce for local consumption and export the surplus. If we can do that we will earn the extra dollars eventually the country have enough foreign reserves. If that is achieved the appetite for forex will be moderated by plenty dollars on the market.

      Mr Chuka has just summarised his point but I tried to expound it. Government should start supporting producers so that they produced high quality products and at a cheaper cost to effectively compete with other producers outside the country through that way we will be able to penetrate foreign markets. Producing and Selling among ourselves does not bring any economic growth as a country, we are simply operating in a circle.

      We are saying Tobacco is highest forex earner for our country because tobacco is sold to foreign company who buy it in dollars. if we can do the same for other products we will have foreign currency inflow year round and not have seasonal income

  25. PUTEN says:

    EVEN DURING MOSES MAN OF GOD TIME ,PPLE OPPOSE FOR THE SEEK OF OPPOSING

    EVEN DURING JESUS TIME MANY OPPOSE

    UP TO 2014 YOU WILL OPPOSE AND WRITE NEGATIVE STORIES AGAINST THE MIGHT DPP.

    1. bonya says:

      Bringing in Jesus’ analogy or example as it were in this calamity and situation arising from pure lack of leadership abilities and capabilities is but pure blasphemy.

  26. PUTEN says:

    EVEN DURING MOSES MAN OF GOD TIME ,PPLE OPPOSE FOR THE SEEK OF OPPOSING

    EVEN DURING JESUS TIME MANY OPPOSE

    UP TO 2014 YOU WILL OPPOSE AND WRITE NEGATIVE STORIES AGAINST THE MIGHT DPP

    1. News says:

      Zoona Puten koma achedwa asiyeni! always kutsutsa especially nyasatimes they post negative stories kuti anthu anyoze dpp. Who doesnt know that zinthu zikwera due to kwacha fall and no donors support?

      1. curious says:

        Let Zodiac replay campaign messages for DPP. It promised reduction in commodity prices yet they knew there was no donor support.

      2. Mutharika says:

        @ news

        You are too STUPID. We have no business with a government that is failing to manage us. Once again you are too stupid. You think this funny. The pain is too much and in your chicken wisdom you want to romanticize this pain. Stupid

  27. papa says:

    Am bitter because i’ve just bought my VX.

  28. ambele says:

    Zinthu zikwera zedi Boma ndiye layamba kale pasipoti, Driving licence zakwera
    koma akuti malata apeleka aulere ZITHEKA? potha 5 years I can see July 20
    chifukwa zifika posauzana mavuto > Dziko laipa

  29. fisi Gammar says:

    Imeneyo ndiye DPP KUPHA ,KUZUZA LERO ALI MASO SUUUUUUUUUU BASI ZIFUKWA ZOGAWANA ZAKWANA

  30. yuona says:

    Tabwereranso kwa Pharaoh. Shaaaa!!!!

  31. Anonymous says:

    This is indeed another thing but all of this it will passby it just show me the end of the world

  32. kagonanitu says:

    Charo chithu tikuchitemwa yayi chifukwa cha sanje izo zikwambira munyumba pawubale kutinkhana sono charu nacho chikwenda mwenemumo. Yehova watovwire muvyakuchitika ivi.

  33. VYOTO says:

    THERE IS NEED FOR FRESH PRESIDENTIAL ELECTIONS AS PETER MUTHALIKA HAS PERFORMED BADLY SO FAR.

  34. M'doko says:

    Kodi dpp ndi apm amafuna kuzuza amalawi basi?

  35. musovenge says:

    my mother malawi boma sitimasintha ngati malaya lets wait and c 3months coming

  36. chilungamo says:

    Malawians must refuse to accept any fuel hike for the following reason. There is no Board at MERA as the previous one’s Mandate is over. So it will be unconstitutional to raise the fuel price without a Board!

  37. dumerangi says:

    koma tikwela kapena tiyenda?

  38. Che Sinjinji says:

    Malawians, in life you reap what you sow . What were you thinking about when you voted for APM? You think someone who failed to solve the small matter of the University Impasse can manage a whole country? Can you not see that this country is now like a captain – less ship heading into unknown waters?

    1. Mukutu says:

      @ Che sinjinji

      Tell them

  39. Mederico mapopa manda says:

    Tiyeni nazo, ndizomwe tinasankha. Pa 20may.Dont worry

  40. Wawa says:

    The answer is simple. Lets drop our tools to ground government business. If nothin happens in 21 days, lets burn parliament then march and burn MERA offices, demanding a turn back, failing which burn it. Then we can ask APM and Claus to step down.

  41. Malindima says:

    Provided fuel is available and not scarce! Unfortunately no one can control this commodity only OPEC does based on activities happening in the Middle East affecting Supply & Demand.

    1. Malunza says:

      liar, just accept Peter and his Lomwe government has failed

    2. Ma says:

      Comment 3 Malindima please dont show your idiocity here. The rise of price in MALAWI has nothing to do with OPEC at the moment,,,,you are completely in the dark. I am here in Middle East in energy sector, PRICES OF FUEL AT GLOBAL MARKET HAVE COMPLETELY GONE DOWN from $135 to $90 and is expected to go down further to between $88 – $90. Now if Malawi price raise dependent on OPEC activities, you expect Malawi prices of fuel to go down to follow global trend,,,,Hello Malawi economists!!!! So you are the people that the country calls economists who only talk class work and you have NO idea what’s going on around the globe, you dont even have idea how Middle East looks like but as long as you mention it you feel good, please hide such idiocity in your books. There is too much supply in MiddleEast at the moment, hence prices have gone down…..AND YOU in Malawi? PRICES GOING UP.

      There is one more idiot in the name of RBM governor called Chuka, this embicile knows completely nothing on the economy. There is no news on kwacha depreciating????? This is what you call Central Bank Boss? If it is in US,UK etc the Central bank boss would be holding news conferences/meetings with government agencies to try and look into this serious problem and how they can regulate bank interests to help common man BUT this imbecile says from his bedroom ” Mmmmm no news depreciation of kwacha” and then he gets paid full salary for this stupidity,,,my Foot!!! This country sucks bigtime. No wonder he was authorising cash gate cheques without even questioning anything and once he started doing that the commercial banks followed suit. I thought the central bank would regulate these transactions by commercial banks? What is this guy doing in office 8 hours every day? I mean what exactly keeps him busy 8 hours 30 days in a month? This country has been sold to so called Professors and Dr. who have grown moods in their head and are completely out of tune with current global trend of economic and social events. What is killing Malawi is these so called Dr. X and Professor Y. They have papers BUT NO KNOWLEDGE.

    3. achimpeni says:

      This is nothing to do with OPEC but it is our internal problem due to shortage of forex in our reserves. In fact note that world crude oil prices are falling now. Hence could NOT be the cause of price rise here in Malawi.

      The major problem is that we don’t have enough forex to cover our imports on imported goods including oil.

    4. mboma says:

      koma alomwe dont make me laugh, ku defender mediocrity pamenepo amwene???????????????? tell me which regime was in power when malawinas were sleeping in filling station?????????????? alomwe sazatheka ndithu!!!!

  42. Ine says:

    I thought we diversified by investing K24bn and K92bn in Cashgate products?

  43. The Truthful One from the West says:

    It is becoming painfully obvious that the Peter Muthari.ka DPP Government is failing to properly manage the economy. During the campaign DPP promised Malawians the moon but it is obvious life for poor Malawians is becoming hard. Passport and traffic fees have been raised dramatically and fuel prices are to follow soon. I can see the suffering of Malawians coming back as it did before April 2012. DPP knew that donors cannot come back with it ruling.

    1. Newspaper says:

      You are out of point dear. You must understand that the donors are not willing to support us with aid due to the cashgate saga as such we are using our limited resources for now. So we shud expect tough time indeed and we havent started yet. Dont blame APM no, its how things are at present. We will suffer but after sometime we will be ok since will be using our own budget. Osathamangila kutsutsa musanamvetse bwino i thot you have been following the cash gate saga how money was swindled bra bra bra!!!

      1. JESPAS says:

        You mr. newspaper, why are you lying here. Has cashgate started now? Cashgate was discovered in September, 2013 and immediately donors stopped their aide. Infact, the 2013/2014 budget had no donor support. How come during that period, the kwacha was stable and even appreciating?

        1. Gomezga says:

          Tell this idiot Mr Jespas.

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