Malawi Energy Regulatory Authority (MERA) has announced the reduction of fuel prices effective Sunday, January 11.
In a statement MERA says petrol pump price will now be selling at K760.40 from K856.70 while diesel will be selling at K785.40 from K865.90 and paraffin will be at K678.80 from K756.10.
“The price reduction has been necessitated by a fall in global fuel prices as well as appreciation of the kwacha against major foreign currencies”.
Economists and consumer rights organisations have recently been pushing the energy regulator to reduce fuel price in accordance with the Automatic Fuel Pricing Mechanism which the country follows.
Meanwhile, Malawians are eager to see whether the government will also reduce prices of everything it raised due to appreciation of the Kwacha like passport fee which jumped from K15, 000 to K45,000.
It is expected that the cost of living will decrease as motorists will be enjoying the extra cash as they’re charged less at the pumps.
And so consumer spending will go up. If people are feeling better off, they will spend more. Retailers can hope to feel the benefit as consumers shift their money from fuel costs to spending sprees.Follow and Subscribe Nyasa TV :