Malawi motorists face fuel rationing as petrol prices climb

Persistent fuel shortages in Malawi are leaving drivers waiting for supplies and disrupting livelihoods, with petrol reaching $3.24 a litre. GlobalPetrolPrices ranks that price second worldwide and the highest in Africa.

In Lilongwe, motorcycle taxi operator McDonald Kachule told AFP that queues were consuming more of his time than his business. Some drivers buy on the black market, paying as much as 20,000 kwacha ($11.50) per litre. Retailer Best Oil caps each purchase at two litres for motorcycle taxis and 20 litres for small cars.

The government says a lack of foreign currency is preventing fuel imports. Officials also attribute added supply difficulties to the Iran war: banks are struggling to honor letters of credit, while some suppliers abroad want payment in advance.

According to the National Oil Company of Malawi, daily fuel consumption is about two million litres, with monthly foreign-currency needs of $49 million. To pay suppliers, the government has sought emergency financing and sold gold reserves.

Energy Minister Jean Mathanga said procurement exceeded 23 million litres across petrol and diesel. Almost half of that fuel was in transit, and deliveries had begun reaching filling stations.

Economist Milward Tobias warned that interrupted deliveries of fertilizer and other farming essentials put food security at risk. The World Bank estimated that in 2025, 76 percent of Malawians were below its international poverty threshold of three US dollars daily.

SGV, a Malawi-based electric motorcycle assembler and converter, said fuel scarcity had increased demand. However, the company said foreign-exchange constraints were also limiting its expansion.