The government has announced decisive steps to stabilize market prices as part of efforts to rescue the country’s struggling economy.

Trade and Industry Minister Sosten Gwengwe revealed the plans during a high-level meeting attended by officials from the Reserve Bank of Malawi, Ministry of Justice, Financial Intelligence Authority, National Intelligence Services, Malawi Revenue Authority, and the Competition and Fair-Trading Commission.

Gwengwe stated that the government is reviewing policies, including scrapping the 30% forex surrender requirement for investors and cracking down on the black-market forex trade.

The aim is to shift demand back to formal markets, where the US dollar is trading at K1,750, compared to K4,000 on the parallel market.

However, economic expert Milward Tobias has cast doubt on the effectiveness of these measures, arguing that the economy is already in crisis and requires urgent, more immediate solutions.