Malawi Central Bank Warns Traders Against Rejecting Small Currency Denominations
The central bank's initiative reflects a broader effort to enhance financial literacy and ensure the proper functioning of Malawi's currency system across all denominations.
KARONGA, Malawi— The Reserve Bank of Malawi (RBM) has issued a stern warning to traders refusing to accept smaller denominations of the Malawi Kwacha, emphasizing that all circulating currency remains legal tender, writes Lusekero Mhango.
Dr. Mark Lungu, RBM's Director of Public Relations, expressed concern over reports of traders rejecting coins and small banknotes, including 20 and 50 kwacha denominations.
"Any note or coin which has not been withdrawn by the central bank still remains legal tender and has to be accepted by everyone," Lungu said during a financial literacy training for journalists in Karonga on Monday.
The warning comes amid growing complaints from the public about difficulties in using smaller denominations for purchases.
Lungu stressed that such refusal is unlawful and undermines the country's monetary system.
The RBM organized the training to empower media professionals with financial knowledge, aiming to improve public understanding of economic matters.
Topics covered included personal finance management, credit management, investments, and consumer rights.
Adams Wundaninge, Chairperson of the Karonga Press Club, described the training as "an eye-opener" that would significantly improve financial literacy in the district.
Participant Memory Moyo, a reporter with Tuntufye FM, challenged fellow journalists to apply the knowledge gained and set an example for others in savings and investments.
The central bank's initiative reflects a broader effort to enhance financial literacy and ensure the proper functioning of Malawi's currency system across all denominations.