RBM trashes Kwacha devaluation rumours

The Reserve Bank of Malawi (RBM) has said that it has no intention to devalue the Malawi kwacha further at this time.

In a statement released yesterday following speculations about the future direction of the exchange rate, RBM indicated that the previous adjustment was enough and has brought the exchange rate to the desired level.

The central bank also said that the current pressure on the exchange rate is fueled by these speculations.

The statement further indicated that the realignment has improved the flow of foreign exchange, thereby helping importation of strategic commodities in the country like fuel and medical drugs.

RBM devalued the Malawi kwacha exchange rate against the United States dollar by 25% on 27th May 2022 to improve the circulation of foreign exchange in the market, among other reasons.