Malawi’s energy regulator has announced a sharp increase of more than 40 percent in petrol and diesel prices, the second major hike in four months, raising fears of deeper financial strain for households already grappling with rising living costs.
The Malawi Energy Regulatory Authority (MERA) said on Tuesday that petrol prices would rise by 41.9 percent and diesel by 41.3 percent, citing the need to abandon the previous administration’s fixed‑pricing system, which it described as “unsustainable” and responsible for significant financial losses.
The latest adjustment means fuel prices have surged dramatically since President Peter Mutharika returned to office in October, with petrol now up 95 percent and diesel 80 percent.
The government has been attempting to stabilise the economy and restore investor confidence but analysts warn the fuel hike could undermine those efforts.
Fuel shortages were a persistent frustration under former president Lazarus Chakwera, with motorists enduring long queues at empty pumps.
While supply has improved in recent months, the new pricing regime – an automatic mechanism that adjusts pump prices based on import costs – is expected to push transport fares and food prices even higher. Some fare increases were reported within hours of the announcement.
JN/APA