Malawi’s Central bank introduces MK20, MK50 coins currencies to tame banknotes printing costs

LILONGWE-(MaraviPost)-The country’s central bank, Reserve Bank of Malawi (RBM) on Tuesday, March 17, announced the introduction of new MK50 and MK20 coins.

The coins are set to enter circulation on 24 April 2026, as part of efforts to improve the efficiency and durability of Malawi’s currency.

Addressing the news conference in the capital, Lilongwe, RBM Governor George Partridge said the move follows periodic reviews aimed at ensuring the country’s currency system remains cost-effective and aligned with economic developments.

Partride disclosed that the MK50 and MK20 banknotes have been experiencing high wear and tear due to frequent use, leading to increased replacement costs.

The governor disclosed further MK20, MK50 banknotes replacements could cost the bank MK45 billion in nine months yearly.

“To address these challenges and in keeping with our commitment to maintaining a clean, secure and durable currency, the bank undertook a project to convert these two denominations from banknotes to coins,” said RBM Governor.

He added that coins offer a longer lifespan, lasting between 10 and 20 years, compared to less than a year for the current notes, resulting in long-term savings.

Partridge further said that the change will not affect the value of the denominations and that existing banknotes will continue to circulate alongside the coins.

“They will simply be withdrawn naturally as they wear out over time,” he said.

He also emphasised the importance of low-value denominations in facilitating smooth transactions, noting that they help prevent price rounding and reduce reliance on higher-value notes.

“I urge all members of the public to embrace the new coins and stop rejecting low-value denominations as they remain vital for day-to-day commerce,” said Partridge.

The governor however disputed claims that the move is towards the local currency devaluation and introduction of the new highest MK10,000 banknotes.

The central bank is therefore expected to roll out a public awareness campaign to ensure a smooth transition.

Lloyd M’bwana

I’m a Lilongwe University of Agriculture and Natural Resource (LUANAR)’s Environmental Science graduate (Malawi) and UK’s ICM Journalism and Media studies scholar. Also University of Malawi (UNIMA) Library Science Scholar. I have been The Malawi Country Manager and duty editor for the Maravi Post since 2019. My duty editor’s job is to ensure that the news is covered properly, that it is delivered on time, and that it is created to the standards set out in the editorial guidelines of the Maravi Post.