3 months ago, the Reserve Bank of Malawi (RBM) partnered with the Bankers Association of Malawi (Bam) Malawi Unions of Savings and Credit Cooperatives (Muscco) and telecommunication companies, to implement measures to ease customers amidst the outbreak of the coronavirus pandemic in Malawi. Among the measures, RBM announced a three-month moratorium by banks and saccos to distressed customers which gave them a three month breather not to repay interest on loans. Moving forward, the central bank is reviewing the resolves made.

RBM Spokesperson, Mbane Ngwira, told The Daily Times newspaper that the central bank has kick started the process of reviewing the effectiveness of the measures following the expiry of the three months period. “That assessment would inform the financial industry on the way forward.” said Ngwira, “That’s whether to continue, enhance or change in anyway, the measures that were introduced in April. The assessment is in progress,”.

Also as RBM has appointed a new governor following the leadership of President Lazarus McCarthy Chakwera, the central bank may review its target to achieve its 5% inflation target by the first quarter of 2021, despite economic uncertainty caused by the coronavirus pandemic. Former RBM Governor Dalitso Kabambe said a single digit inflation was achievable, counting  on maize prices.