Malawi Fuel Shortage Doubles Bus Fares
Malawi's fuel shortage has doubled some minibus fares, and black-market fuel costs up to US$11.65 a litre. An IMF loan is still unsigned.
Malawi's fuel shortage has pushed up transport costs, with some minibus fares doubling. Black-market fuel now costs about three and a half times the official petrol price.
Fuel queues have spread across Malawi in recent weeks, according to Happy Jere, who chairs the Fuel Retailers Association of Malawi. He said diesel has been short for about three weeks, and petrol supply then followed.
Jere blamed the lack of dollars to pay suppliers for the shortage. Urban filling stations receive about 30% of their normal diesel supply, and remote stations receive none.
In Blantyre, the fare from Ndirande to Limbe has climbed from K1,500 to K2,500. Long-distance buses from Mzuzu to Karonga now charge K60,000, up from K40,000.
The fare from Chinsapo to the Bus Depot in Lilongwe has doubled, from K1,000 to K2,000. Other routes rose less, with Mzuzu to Karonga and Area 25 to Old Town both up by 50%.
Coaxley Kamange, secretary general of the Minibus Owners Association of Malawi, said black-market fuel sells at K20,000 a litre. He said operators spend more time searching for fuel and want to recover the cost.
Don Napuwa, president of the Passenger Welfare Association, said some passengers now walk because they cannot afford the fares. Malawi is landlocked and imports refined fuel through ports in Mozambique and Tanzania.
Key facts
- Malawi's fuel shortage has doubled some minibus fares.
- Black-market fuel costs up to US$11.65 a litre.
- The IMF said talks with Malawi on a loan programme had made considerable progress, but no deal is signed.
- About 119 loaded tankers are heading into the country.
Three perspectives
Neutral
The fuel shortage is affecting transport costs and passengers' ability to afford fares. The situation is being monitored as talks with the IMF continue. The impact of the shortage on the economy is a key concern.
Positive
The arrival of about 119 loaded tankers may help alleviate the shortage. The government's efforts to secure a loan from the IMF could also help stabilize the economy.
Negative
The shortage is having a significant impact on passengers, with some forced to walk due to unaffordable fares. The lack of progress on the IMF loan is also a concern, as it may exacerbate the economic challenges facing Malawi.
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