The Malawi Energy Regulatory Authority (Mera) has raised fuel prices upwards effective midnight, a move that is likely to push up prices for maize in the country where there are already food shortages.
The price increase is partly in response to weakness in Malawi’s kwacha currency against the U.S. dollar – by 3.37 percent since May this year – as well as changes in the cost of importing the fuel.
Addressing the media in Lilongwe on Wednesday evening, Mera spokesperson Fitina Khonje said the Authority it had increased the pump price of petrol by 20.87 percentfrom K690. 50 to K834. 60 and diesel by 24.31 percent from K664. 80 to K826. 40 to reflect the weakened kwacha and a soaring inflation rate.
Paraffin has been increased from K441. 70 to K613. 20 representing 38.83 percent.
The kwacha has come under pressure partly from falling export revenue from the country’s main crop, tobacco and general weakness in African currencies due to falls in commodity prices.