Malawi's financial institutions are at odds over the true value of the Kwacha, leading to confusion in the business community.
A significant rift has emerged between Malawi's two top financial institutions, the Reserve Bank of Malawi (RBM) and the Malawi Revenue Authority (MRA), creating confusion and concern within the business sector. While the RBM presents an image of currency stability, claiming an official exchange rate, the MRA has taken a different approach by implementing a 'shadow' exchange rate that indicates a devaluation of the Kwacha by approximately 7.5%. This internal discrepancy raises doubts about the actual economic condition and exposes underlying issues in monetary policy management.
