Malawi launches black market fuel crackdown as prices soar
The southern African nation is struggling with fuel shortages that have left truckers queuing for up to a week and bus fares doubling on some routes.
Malawi has initiated a nationwide operation targeting fuel smugglers and unauthorized sellers as the country grapples with severe fuel shortages. Long queues of truckers persist for up to a week, and some bus fares have doubled due to the scarcity of diesel and petrol. The shortages stem from a lack of foreign currency to purchase fuel, leading the central bank to sell gold and the government to seek aid from the International Monetary Fund (IMF).
Malawi, known for having some of the highest fuel prices in Africa, now exceeds $3 per liter, highlighting the impact of high crude oil prices on economies dependent on imports. Unlicensed resellers can now face arrest, and stations found hoarding fuel risk losing their licenses under the new regulations. The IMF recently announced that it is making "considerable progress" in formulating a set of macroeconomic policies.
The last program, a $175 million loan, expired in May, marking another in a series of financial support packages for the impoverished country, whose agricultural economy has been severely affected by extreme weather conditions.
Written by urgent.news from Semafor's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
