Malawi: Malawi Govt Says Kwacha Devaluation Not Part of IMF Negotiations

What the report says

Malawi’s government has rejected reports that it is negotiating a devaluation of the kwacha with the International Monetary Fund as part of talks on a new Extended Credit Facility programme. In a statement dated 8 October 2026, Information and Communications Technology Minister Dr. Shadric Namalomba said currency devaluation was not being discussed and was not on the agenda of the current negotiations, according to Nyasa Times as carried by AllAfrica.

The government said an IMF mission that visited Malawi from 22 September to 6 October 2026 had noted progress on economic reforms and described that progress as a basis for an IMF-supported program. It also said there had been considerable progress in shaping policies for a new ECF arrangement. The statement did not announce a final deal or any change to exchange-rate policy.

Namalomba said the administration remains focused on easing foreign exchange shortages, strengthening fiscal discipline, supporting production and reducing the cost of living. The government also urged the public, businesses and media to avoid speculation and rely on verified statements from official sources. The development matters because Malawi has faced pressure around the kwacha and broader economic stability, making IMF talks closely watched by investors and the public.