Malawi authorities are coordinating with the Reserve Bank, Finance Ministry and commercial lenders to obtain additional foreign currency for fuel imports, according to Natural Resources Minister Jean Mathanga, who addressed parliament Tuesday. The government anticipates delivery of more than 90 tanker trucks carrying over 3.2 million liters by Friday to provide temporary relief from ongoing shortages.
Mathanga disclosed that the National Oil Company of Malawi and Petroleum Importers Limited requested $65 million in October to clear arrears for consumed supplies, though only $37 million was allocated. Officials are pursuing credit arrangements valued between $120 million and $150 million from multiple financial institutions and advancing discussions with Afreximbank to rebuild stockpiles. The minister attributed supply difficulties to foreign exchange constraints, depleted reserves and the absence of strategic storage capacity.
The government reinstated the Automatic Pricing Mechanism after its previous suspension created pricing disparities with neighboring nations that encouraged smuggling. Authorities are negotiating with Mozambique to establish dedicated storage infrastructure at Nacala Port and expand rail transportation options.
Mathanga disclosed that the National Oil Company of Malawi and Petroleum Importers Limited requested $65 million in October to clear arrears for consumed supplies, though only $37 million was allocated. Officials are pursuing credit arrangements valued between $120 million and $150 million from multiple financial institutions and advancing discussions with Afreximbank to rebuild stockpiles. The minister attributed supply difficulties to foreign exchange constraints, depleted reserves and the absence of strategic storage capacity.
The government reinstated the Automatic Pricing Mechanism after its previous suspension created pricing disparities with neighboring nations that encouraged smuggling. Authorities are negotiating with Mozambique to establish dedicated storage infrastructure at Nacala Port and expand rail transportation options.
