The Reserve Bank of Malawi (RBM) and the Bankers Association of Malawi (BAM) have reaffirmed their commitment to phasing out cheque usage in the country, citing declining demand and the growing popularity of secure digital payment alternatives.
The initiative, first announced in 2025, is part of Malawi’s broader financial modernization agenda. Authorities say the move reflects global trends and supports national goals of financial inclusion and digital transformation.
In a joint update, RBM Governor Dr. MacDonald Mwale and BAM Chief Executive Officer Lyness Nkungula explained that the process of amending the Bills of Exchange Act, which governs cheque usage, is still underway.
They noted that all efforts are being made to expedite the review, with the expectation that the Bills of Exchange (Amendment) Act will be enacted during the next sitting of Parliament. Once passed, the amendments will not only enable the phasing out of cheques but also address technological advancements, strengthen user protection, reduce fraud, and clarify outdated provisions in the law.
The two institutions emphasized that a definitive date for discontinuing cheques will be communicated to the public once Parliament has approved the amendments. In the meantime, banks across the country have intensified efforts to sensitize customers about the benefits of migrating to digital payment platforms. These include greater operational efficiency, enhanced safety of transactions, and alignment with Malawi’s strategic goals of building a digital economy and expanding financial inclusion.
The banking industry has also pledged to continue offering quality alternative payment services and tailored support to ensure a smooth transition for individuals, businesses, and institutions.
Despite the ongoing reforms, RBM and BAM assured Malawians that cheque payments remain valid and acceptable until all legal, business, and administrative processes are finalized. The move, they stressed, represents a significant step in Malawi’s journey toward a cash-lite, digitally driven financial ecosystem.
