Devaluation fake news haunts Malawi

Government has dismissed reports suggesting that it is discussing devaluation of the Malawi Kwacha with the International Monetary Fund (IMF), describing the claims as incorrect.

In a statement issued on Thursday, Minister of Information and Communications Technology Shadric Namalomba said devaluation was not part of the ongoing negotiations for a new Extended Credit Facility (ECF) programme.

The clarification comes amid public concern over the direction of the Kwacha as government engages the IMF on an economic support programme.

“Government wishes to state clearly and unequivocally: devaluation of the Malawi Kwacha is not under discussion with the IMF,” reads part of the statement.

The IMF mission, which visited Malawi from September 22 to October 6, 2026, acknowledged progress in the country’s economic reform efforts and said the reforms provided a good foundation for an IMF-supported programme.

According to the statement, the mission also reported considerable progress in developing policies and reforms that could support a new ECF arrangement.

Government says its discussions with the IMF are focused on addressing foreign exchange shortages, strengthening fiscal discipline, supporting production and easing the cost of living.

It has urged citizens, businesses and the media to avoid speculation and rely on verified information from government and relevant monetary authorities.

“The position is clear: devaluation of the Malawi Kwacha is not being discussed in the current IMF negotiations,” the statement adds