Cheques to be phased out in Malawi as parliament passes new bill in sweeping financial sector overhaul

Malawi’s parliament has passed a new law paving the way for cheques to be phased out of the country’s banking system, in the latest of a string of financial reforms rushed through in recent weeks.

The Payment Systems Amendment Bill was passed to bring the law into line with plans to scrap cheque usage entirely, Finance Minister Joseph Mwanamvekha confirmed.

He said the legislation was a necessary follow-on from the Bills of Exchange (Amendment) Bill, 2026, which set in motion the wider payment system reforms that will ultimately see cheques consigned to history in Malawi.

The move brings Malawi in line with a growing number of countries that have moved away from cheques in favour of faster, more secure digital payment methods – though no firm timeline has yet been given for when cheques will disappear from use entirely.

The bill forms part of a sweeping legislative push this month that has seen a flurry of financial sector laws pass through parliament in quick succession.

Alongside the Payment Systems Amendment Bill, MPs have also approved the Deposit Insurance Corporation (Amendment) Bill, the Banking (Amendment) Bill, the Financial Services (Amendment) Bill, the Securities (Amendment) Bill, the Microfinance (Amendment) Bill, the Financial Cooperatives (Amendment) Bill, and the Bills of Exchange (Amendment) Bill itself.

Taken together, the raft of new legislation signals a major shake-up of Malawi’s financial regulatory landscape, with officials keen to modernise a banking sector increasingly reliant on mobile money and electronic transactions rather than traditional paper-based payments.

It remains to be seen how quickly the reforms will be rolled out in practice, and what support will be offered to businesses and individuals who still rely on cheques as their main method of payment.