JupiteX Get the app
Economy & Business30 Oct 2026 · about 6 min

Fuel shortages push Malawians into endless queues and rising costs

The brief

A fuel shortage means petrol is unavailable or sold in tightly limited amounts. In Malawi, drivers may wait for hours or days because filling stations do not receive reliable deliveries. When fuel arrives, large crowds quickly form. This disrupts work, travel, and family responsibilities across Lilongwe and beyond. At Best Oil, motorcycle taxi operators can buy only two litres at a time. Small cars can receive up to 20 litres. Motorcyclists use WhatsApp groups to locate stations that have received deliveries, while some motorists turn to the black market. There, petrol can cost as much as 20,000 kwacha, or $11.50, per litre. The shortage has made queues part of daily life. Teacher Elita Mtiyesa waited from 4:00 pm until 8:00 pm after collecting her children. Motorcycle taxi operator Steven Mbeta said riders could spend days and nights queueing. People may need to repeat the process within days, keeping businesses and household routines under severe pressure.

01

What does a fuel shortage look like in Malawi, and why are drivers spending hours or days in queues?

A fuel shortage means petrol is unavailable or sold in tightly limited amounts. In Malawi, drivers may wait for hours or days because filling stations do not receive reliable deliveries. When fuel arrives, large crowds quickly form. This disrupts work, travel, and family responsibilities across Lilongwe and beyond.

At Best Oil, motorcycle taxi operators can buy only two litres at a time. Small cars can receive up to 20 litres. Motorcyclists use WhatsApp groups to locate stations that have received deliveries, while some motorists turn to the black market. There, petrol can cost as much as 20,000 kwacha, or $11.50, per litre.

The shortage has made queues part of daily life. Teacher Elita Mtiyesa waited from 4:00 pm until 8:00 pm after collecting her children. Motorcycle taxi operator Steven Mbeta said riders could spend days and nights queueing. People may need to repeat the process within days, keeping businesses and household routines under severe pressure.

02

How large is Malawi’s fuel need, and how expensive has petrol become compared with prices elsewhere?

Malawi’s fuel demand is enormous for its economy. The country consumes about two million litres of petrol and diesel each day. Supplying that need requires around $49 million in foreign currency every month, or about $588 million annually. Fuel therefore places a major claim on scarce national resources.

Petrol now costs $3.24 a litre in Malawi. GlobalPetrolPrices ranks this as the highest petrol price in Africa and the second-highest worldwide. It is more than twice the global average. When official supplies run short, black-market prices can reach 20,000 kwacha, or $11.50, per litre.

These figures explain why the crisis reaches far beyond filling stations. Malawi earned $545 million from tobacco, its largest export, in 2025. Its annual fuel bill was therefore larger than that export income. High prices and limited availability raise transport costs and reduce what families and businesses can spend elsewhere.

03

Why is Malawi struggling to buy enough imported fuel, even though people need about two million litres every day?

Malawi cannot produce enough fuel for its needs, so it must pay overseas suppliers for imported petrol and diesel. Those payments require foreign currency, such as US dollars. The country’s shortage of foreign currency makes it difficult to complete purchases, even when people urgently need fuel.

The National Oil Company of Malawi estimates that daily consumption requires $49 million in foreign currency each month. Banks are struggling to honour letters of credit, which are payment arrangements used in international trade. Some suppliers also demand upfront payment. These conditions make deliveries slower and less certain.

The government has sought emergency financing, including through the sale of gold reserves. Energy Minister Jean Mathanga said more than 23 million litres had been procured, with nearly half in transit. Some fuel was already reaching stations, but demand immediately overwhelmed each delivery. The crisis will continue while Malawi’s foreign-exchange constraints remain unresolved.

04

How do fuel shortages affect transport workers, household budgets, food supplies, and the wider economy?

Fuel shortages damage livelihoods because transport workers cannot operate normally. Motorcycle taxi operators spend hours or days queueing instead of carrying passengers. Even when they obtain fuel, high prices can make each trip unprofitable. Businesses lose working time, while families struggle to travel, shop, and manage daily responsibilities.

Economist Milward Tobias said someone may spend 100,000 kwacha, about $58, on fuel while having no food at home. Scarce fuel also disrupts deliveries of fertiliser and other essentials to farmers. Since Malawi is largely agricultural, transport problems can threaten food production as well as household budgets.

The wider economy is already constrained by unreliable energy, foreign-exchange shortages, and recurring import shortages. The World Bank estimated that 76 percent of Malawians lived below the international poverty line of $3 a day in 2025. Prolonged fuel scarcity could therefore deepen poverty and delay industrial development.

05

How can a war or disruption in the Middle East raise petrol prices in a landlocked country such as Malawi?

A war or major disruption in the Middle East can affect Malawi because its fuel supply depends on international trade. Problems in producing, transporting, financing, or delivering fuel can reduce supplies available to importers. When supply becomes less certain, prices can rise before fuel even reaches Malawi.

The article links Malawi’s worsening crisis to international disruptions associated with the Iran war. Banks have struggled to honour letters of credit, and some overseas suppliers have demanded upfront payment. These payment barriers matter because Malawi needs imported fuel and lacks enough foreign currency to pay easily. International trouble therefore becomes a local queue.

As deliveries become delayed or more expensive, filling stations ration purchases and motorists compete for each shipment. Malawi’s government has sought emergency financing and sold gold reserves to pay suppliers. More than 23 million litres had been procured, but nearly half was still in transit, showing how external disruption can continue affecting daily life far away.

06

What alternatives can motorcycle taxi operators use when petrol is scarce, and what limits the spread of electric motorcycles?

Motorcycle taxi operators can reduce their dependence on petrol by switching to electric motorcycles. This alternative matters because riders use fuel intensively and face both shortages and extreme prices. Electric bikes can lower daily operating costs, helping transport workers keep serving passengers when petrol is unavailable.

Malawi-based SGV assembles and converts electric motorcycles. It says electricity for a heavily used motorcycle can cost less than 750 kwacha per day. Petrol for the same kind of use can cost up to 30,000 kwacha. As conventional fuel became harder to obtain, SGV reported stronger demand for electric bikes.

Electric motorcycles are not an immediate solution for everyone. SGV’s expansion is constrained by Malawi’s foreign-exchange shortage, the same problem affecting imported fuel. The article does not describe the availability of charging stations or other barriers. Still, if supply and financing improve, electric bikes could reduce operating costs for high-mileage riders.

07

What is foreign currency, and why does a country need it to keep essential imports such as fuel moving?

Foreign currency means money from another country that can be used in international trade. Malawi needs it because petrol and diesel are imported. Local kwacha payments alone cannot settle many purchases with overseas suppliers. The country therefore needs currencies accepted by those suppliers, especially for large fuel orders.

The National Oil Company of Malawi says fuel imports require about $49 million in foreign currency each month. Banks use payment arrangements such as letters of credit to support these transactions. When banks cannot honour them, or suppliers demand money upfront, shipments can be delayed. That leaves filling stations with uncertain deliveries and forces rationing.

Malawi’s foreign-currency shortage is especially serious because fuel is essential for transport, farming, and business. Tobacco earned $545 million in 2025, but annual fuel needs were estimated at $588 million. The government has sought emergency financing and sold gold reserves, but reliable imports depend on restoring access to foreign currency.

This brief was written by AI from the original reporting and checked by other models. Names, figures and quotes come from the source; read it for full context.

Read more in the JupiteX app

Pulse is free. New stories every 4 hours, each one broken into the questions that explain it.

Or read more news on the web