Malawi's Fuel Reserves Depleted as Government Seeks Emergency Loans

Officials confirm national tanks are empty and suppliers now demand cash upfront amid global supply disruptions.

Malawi has exhausted its fuel reserves, leaving the country without strategic stocks as a nationwide shortage intensifies, government spokesperson Shadric Namalomba confirmed.¹ Speaking to Zodiak Broadcasting Station, Namalomba said fuel tanks are now empty and the government lacks foreign exchange to procure new supplies, as international suppliers have stopped offering fuel on credit and are demanding upfront cash payments.¹

Namalomba attributed the crisis partly to ongoing conflict involving Iran, which he said has disrupted global fuel supply chains.¹ He disclosed that the government is negotiating with Afrexim Bank for a loan of $120 million, part of which would be used to import more than 120 million litres of fuel.¹

The shortage has produced long queues at filling stations across the country, with most stations running dry since the weekend.² Namalomba acknowledged the severity of the situation, recounting his own unsuccessful attempt to find fuel in Zomba over the weekend. "The situation is not good because I am also a witness," he said.²

The government has appealed for patience from the public while it seeks solutions.¹ Namalomba also warned fuel station owners suspected of hoarding fuel and selling it on the black market at night, saying the government would take action against those exploiting the crisis.¹

Separately, Finance Minister Joseph Mwanamvekha confirmed from Washington that Malawi has been cleared to apply for emergency funding through the World Bank's Rapid Response Facility, a crisis instrument for countries facing acute economic shocks.³ Mwanamvekha said the World Bank had urged Malawi to apply "as soon as possible" and stands ready to disburse funds, though he did not specify how much the country would request.³ He cited rising global prices for fuel, fertiliser, and other commodities linked to tensions involving the United States, Israel, and Iran as factors affecting Malawi.³