Reserve Bank of Malawi imposes strict foreign currency controls

The Reserve Bank of Malawi (RBM) has implemented strict new controls on the possession and movement of foreign currency due to a deepening foreign exchange crisis. Data from July 2026 indicates that Malawi's foreign exchange reserves fell to $600.6 million, providing only 2.4 months of import cover, which is below the internationally recommended three-month minimum.

Under the new regulations published in the Malawi Government Gazette, individuals are prohibited from physically possessing more than $1,000 or its equivalent in other foreign currencies without explicit permission from the central bank. Additionally, anyone attempting to take or send more than $1,000 in foreign currency out of the country must provide evidence that the funds were obtained from an authorized dealer or obtain RBM permission.

The central bank has also placed limits on the amount of local Malawi kwacha that can be moved across borders. Cross-border traders are permitted to carry the equivalent of up to $5,000 in kwacha, while ordinary travelers are restricted to the equivalent of $100 without prior authorization.