View source for Malawian kwacha

{{Short description|Currency of Malawi}}
{{more citations needed|date=April 2012}}
{{Infobox currency
| iso_code = MWK
| date_of_introduction = 1971
| using_countries = {{flag|Malawi}}
| image_1 = MalawiK.png
| image_title_1 = Old coins of the Malawian kwacha.
| image_2 = MWK2000v.jpg
| image_title_2 = current k2000 banknote
| inflation_rate = 19.90%
| inflation_source_date = Rbm Nov 2016 <ref>{{cite web |url=http://www.rbm.mw/ |title=HOME :: Reserve Bank of Malawi |access-date=2010-10-30 |url-status=dead |archive-url=https://web.archive.org/web/20101103054104/http://www.rbm.mw/ |archive-date=2010-11-03 }}</ref>
| replaced_currency = [[Malawian pound]]
| subunit_ratio_1 = {{frac|1|100}}
| subunit_name_1 = tambala
| symbol = K
| frequently_used_coins = 1, 5, 10 kwacha
| rarely_used_coins = 1, 2, 5, 10, 20, 50 tambala
| used_banknotes = 20, 50, 100, 200, 500, 1,000, 2,000, 5,000 kwacha
| issuing_authority = [[Reserve Bank of Malawi]]
| issuing_authority_website = {{URL|https://www.rbm.mw}}
}}

The '''kwacha''' ({{IPAc-en|ˈ|k|w|æ|tʃ|ə}}; [[ISO 4217]]: MWK, official name '''Malawi Kwacha'''<ref>[https://www.currency-iso.org/dam/downloads/dl_currency_iso_amendment_162.pdf ISO 4217 amendment number 162 dated 24 Feb 2016, change of currency name]</ref>) is the currency of [[Malawi]] as of 1971, replacing the [[Malawian pound]]. It is divided into 100 '''tambala'''. The kwacha replaced other types of currency, namely the British [[pound sterling]], the [[South African rand]], and the [[Rhodesian dollar]], that had previously circulated through the [[Economy of Malawi|Malawian economy]]. The exchange rate of the kwacha undergoes fixed periodical adjustments, but since 1994 the exchange rate has floated.<ref>Frederic L. Pryor, ''The political economy of poverty, equity, and growth: Malaŵi and Madagascar'' Oxford University Press, 1990 {{ISBN|0-19-520823-4}}, p. 415</ref> In 2005, administrative measures were put in place by [[Bingu wa Mutharika]]<ref name="devaluation">{{cite news |url=https://www.aljazeera.com/news/africa/2012/05/20125863922498538.html|title=Malawi devalues currency by a third|publisher=Al Jazeera|date=8 May 2012|access-date=2012-05-08}}</ref> to [[Fixed exchange rate|peg the exchange rate]] with other currencies.<ref>Annual Report on Exchange Arrangements and Exchange Restrictions , International Monetary Fund, 2006, {{ISBN|1-58906-569-7}}, p[page 716</ref> Banknotes are issued by the [[Reserve Bank of Malawi]]. In May 2012, the Reserve Bank of Malawi devalued the kwacha by 34% and unpegged it from the [[United States dollar]].<ref name="devaluation" />
The currency was further devalued by 25% by the [[central bank]] in May 2022 followed by another 44% devaluation in November 2023 raising [[inflation rate]] in Malawi.

==Etymology==

The name ''kwacha'' was first used in Zambia, where the [[Zambian kwacha]] was introduced in 1968. It derives from the [[chichewa language|Chinyanja]] or [[Chewa language|Chichewa]] word meaning "it has dawned", while ''tambala'' translates as "rooster" in [[Chewa language|Chichewa]]. The tambala was so named because a hundred roosters announce the dawn.

==History==

The kwacha replaced the [[Malawian pound]] on 15 February 1971 (on the [[Decimal Day|same day the United Kingdom decimalised]]) at a rate of two kwacha to one pound. Malawi followed the pattern of [[South Africa]], [[Australia]], and [[New Zealand]] in that when it adopted the [[decimalisation|decimal system]], it decided to use the half pound unit as opposed to the pound unit of account.

{{As of|2019|08|30|post=,}} one British pound sterling was equal to approximately 883.43 kwachas, one US dollar was equal to 725.16 kwachas and one South African rand was equal to 47.69 kwachas. {{As of|2019|08|30}} one [[Euro]] is equivalent to 797.42 Kwachas.<ref>XE Currency Converter</ref>
  
{{As of|2025|11|11|post=,}} one British pound sterling was equal to approximately 2349 kwachas, one US dollar was equal to 1734 kwachas, one South African rand was equal to 104 kwachas and one [[Euro]] was equivalent to 2063 Kwachas.<ref>Reserve Bank of Malawi - Middle Rate</ref>  However, in the street, US dollars can bring a black market rate of 4300 kwachas.

==Coins==

[[File:1 Kwacha.jpg|thumb|A one kwacha coin from 1992]]

The first coins introduced in 1971 were in denominations of 1, 2, 5, 10 and 20 tambala. In 1986, 50 tambala and 1 kwacha coins were also introduced. In January 2007, 5 and 10 kwacha coins, which actually bear a mint date of 2006, were also released into circulation. On 23 May 2012 new 1, 5 and 10 kwacha coins were released into circulation{{citation needed|date=October 2020}}

The 1 and 2 tambala coins are composed of copper-plated steel. The 5 tambala coin is of nickel-plated steel. The 50 tambala and 1 kwacha coin are composed of brass-plated steel.<ref>"[http://www.numismaster.com/ta/inside_numis.jsp?page=PriceGuideInfoCountry&PriceGuideId=262&ad=262&CountryId=211 Malawi] {{Webarchive|url=https://web.archive.org/web/20110714211433/http://www.numismaster.com/ta/inside_numis.jsp?page=PriceGuideInfoCountry&PriceGuideId=262&ad=262&CountryId=211 |date=2011-07-14 }}." ''NumisMaster''. F+W Publications, Inc. 2011. Web. 17 February 2011.</ref>   

Due to Inflation, coins have become redundant because of their minimal value.

==Banknotes==

[[File:Kwacha Malawi Specimen.jpg|thumb|right|Old Malawian 1 kwacha note, carrying the date 1 Dec 1990, depicting former President-for-Life [[Hastings Banda]] on the front and workers in a [[Tobacco]] field on the reverse.]]

In 1971, banknotes dated 1964 were introduced in denominations of 50 tambala, 1, 2 and 10 kwacha. 5 kwacha notes were introduced in 1973 when the 2 kwacha note was discontinued. 20 kwacha notes were introduced in 1983. 50 tambala notes were last issued in 1986, with the last 1 kwacha notes printed in 1992. In 1993, 50 kwacha notes were introduced, followed by 100 kwacha in 1993, 200 kwacha in 1995, 500 kwacha in 2001 and 2000 kwacha in November 2016 to ease desperate cash shortages.<ref>{{cite web|url=http://allafrica.com/stories/201611120103.html |title=Malawi: Govt Introduces 2,000 Kwacha Banknote |date=2016-11-11 |access-date=2016-11-12}}, [[Nyasa Times]]</ref>

As of 2008, the following banknote denominations are in circulation:
{|class="wikitable" style="font-size: 90%"
|-
!colspan="7"| 1997 Series <ref>{{cite web |url=http://www.rbm.mw/cur_notescoins.aspx |title=Currency: Notes & Coins |publisher=Rbm.mw |access-date=2014-03-23 |url-status=dead |archive-url=https://web.archive.org/web/20140422171739/http://www.rbm.mw/cur_notescoins.aspx |archive-date=2014-04-22 }}</ref>
|-
!rowspan="2"| Image !!rowspan="2"| Value !!rowspan="2"| Dimensions !!rowspan="2"| Main Colour !!colspan="2"| Description !!rowspan="2"| Date of first printing
|-
! Obverse !! Reverse
|-
|[[File:5 kwacha.jpg|frameless|197x197px]]
[[File:5 kwacha1.jpg|frameless|197x197px]]
| K5
| 126 × 63&nbsp;mm
| Green
|rowspan="7"| [[John Chilembwe]]
| Villagers mashing grain
|rowspan="6"| 1 July 1997
|-
|
| K10
| 132 × 66&nbsp;mm
| Brown
| Children in "bush" school
|-
| 
| K20
| 138 × 69&nbsp;mm
| Purple
| Workers harvesting tea leaves
|-
|
| K50
| 144 × 72&nbsp;mm
| Blue
| Independence Arch in [[Blantyre, Malawi|Blantyre]]
|-
|
| K100
| 150 × 75&nbsp;mm
| Red
| Capital Hill in [[Lilongwe]]
|-
|
| K200
| 156 × 78&nbsp;mm
| Blue
| [[Reserve Bank of Malawi|Reserve Bank]] building in [[Lilongwe]]
|-
|
| K500
| 162 × 81&nbsp;mm
| Multi-colour
| Reserve Bank building in [[Blantyre]]
| 1 December 2001
|}

According to an article in the ''Nyasa Times'' dated 9 March 2012, within the next six months the Reserve Bank of Malawi would introduce a whole new series of notes, including a 1,000-kwacha note, twice the largest denomination currently in circulation. The notes were announced in Biantyre on 8 March by Governor Dr. Perks Ligoya. The new notes would be much smaller in size than the current notes, which served as a cost-cutting measure. The new 1,000-kwacha note was going to be printed by De La Rue.<ref>{{cite book | last1 = Linzmayer | first1 = Owen | title = The Banknote Book | chapter = Malawi | publisher = www.BanknoteNews.com | year = 2012 | location = San Francisco, CA | url = https://www.banknotebook.com}}</ref><ref>[http://banknotenews.com/files/65bd61dc00741e533fc0d888fe853846-2098.php Malawi new banknote family confirmed] BanknoteNews.com. Retrieved 2012-05-17.</ref>

On 23 May 2012, the ''Nyasa Times'' reported that the Reserve Bank of Malawi introduced the new 1,000 kwacha note into circulation along with the proposed new notes. The new 1,000 kwacha note was valued at around US$4. The new kwacha had the face of the first president Kamuzu Banda on the front and the back carries a depiction of Mzuzu maize silos.<ref>{{cite web |url=http://www.nyasatimes.com/malawi/2012/05/23/malawi-releases-new-kwacha-bank-notes/ |title=Malawi releases new Kwacha bank notes &#124; Malawi Nyasa Times – Malawi breaking news in Malawi |publisher=Nyasatimes.com |access-date=2014-03-23 |archive-date=2012-05-25 |archive-url=https://web.archive.org/web/20120525203047/http://www.nyasatimes.com/malawi/2012/05/23/malawi-releases-new-kwacha-bank-notes/ |url-status=dead }}</ref>

The new 20 kwacha note was found to contain an error. On the back of the note is a building identified as the Domasi Teacher's Training College (now known as the Domasi College of Education). However, it is reported that the building is, in fact, the Machinga Teacher's Training College.<ref>[http://www.malawitoday.com/news/125296-reserve-bank-goofs-new-k20-banknote Reserve Bank goofs on new K20 banknote] {{Webarchive|url=https://web.archive.org/web/20161025235326/http://www.malawitoday.com/news/125296-reserve-bank-goofs-new-k20-banknote |date=2016-10-25 }}, ''Mawali Today'', retrieved 2012-06-04.</ref>

The Reserve Bank of Malawi is going to revise its new family of notes so that they are more "blind friendly". According to the Malawi Union of the Blind, the current notes have raised dots to aid in recognition of the denominations, but the dots are too small to be useful.<ref>[http://www.amalawi.info/index.php/2012/07/10/malawi-central-bank-to-issue-new-blind-friendly-bank-notes Malawi Central-Bank to issue new blind friendly bank notes] {{Webarchive|url=https://web.archive.org/web/20230310225527/http://www.amalawi.info/index.php/2012/07/10/malawi-central-bank-to-issue-new-blind-friendly-bank-notes |date=2023-03-10 }}, Amalawi.info. Retrieved 2012-07-15.</ref>

{|class="wikitable" style="font-size: 90%"
!colspan="8"| 2012 Series <ref>{{cite web|url=http://banknotenews.com/files/65bd61dc00741e533fc0d888fe853846-2098.php |title=Malawi new banknote family confirmed &#124; Africa |publisher=Banknote News |date=2012-06-05 |access-date=2014-03-23}}</ref>
|-
!colspan=2| Image !!rowspan="2"| Value !!rowspan="2"| Dimensions !!rowspan="2"| Main Colour !!colspan="2"| Description !!rowspan="2"| Date of first printing
|-
! Obverse !! Reverse !! Obverse !! Reverse
|-
| [[File:MWK0020v.jpg|150px]]
| [[File:MWK0020r.jpg|150px]]
| K20
| 128 × 64&nbsp;mm
| Purple
| Reserve Bank of Malawi headquarters in Lilongwe; [[Inkosi ya Makhosi M’mbelwa II (Lazalo Mkhuzo Jere)]]
| [[Machinga Teachers Training College]] building and tree; stack of books and mortarboard
|rowspan="6"| 23 May 2012
|-
| [[File:MWK0050v.jpg|150px]]
| [[File:MWK0050r.jpg|150px]]
| K50
| 128 × 64&nbsp;mm
| Light blue and green
| Reserve Bank of Malawi headquarters building in Lilongwe; [[Gomani II|Inkosi Ya Makhosi Gomani II (Philip Zitonga Maseko)]]
| Elephants, tree, and safari vehicle in [[Kasungu National Park]]
|-
| [[File:MWK0100v.jpg|150px]]
| [[File:MWK0100r.jpg|150px]]
| K100
| 128 × 64&nbsp;mm
| Red
| [[Reserve Bank of Malawi]] headquarters building in Lilongwe; [[James Frederick Sangala]]
| College of Medicine in Blantyre; stethoscope
|-
| [[File:MWK0200v.jpg|150px]]
| [[File:MWK0200r.jpg|150px]]
| K200
| 132 × 66&nbsp;mm
| Blue and violet
| Reserve Bank of Malawi headquarters building in Lilongwe; [[Rose Chibambo|Rose Lomathinda Chibambo]]
| New Parliament building in Lilongwe
|-
| [[File:MWK0500v.jpg|150px]]
| [[File:MWK0500r.jpg|150px]]
| K500
| 132 × 66&nbsp;mm
| Brown and orange
| Reserve Bank of Malawi headquarters building in Lilongwe; [[John Chilembwe|Reverend John Chilembwe]] 
| Mulunguzi dam in Zomba; water spigot; silhouette of woman carrying container on head and man carrying hoe over shoulder
|-
| [[File:MWK1000v.jpg|150px]]
| [[File:MWK1000r.jpg|150px]]
| K1000
| 132 × 66&nbsp;mm
| Green
| Reserve Bank of Malawi headquarters building in Lilongwe; [[Hastings Banda|Dr. Hastings Kamuzu Banda]]
| Mzuzu maize silos; stalk of maize (corn); silhouette of two people mashing maize
|-
| [[File:MWK2000v.jpg|150px]]
| [[File:MWK2000r.jpg|150px]]
| K2000
|
| Yellow
| [[John Chilembwe|Reverend John Chilembwe]]; outline of Malawi
| [[Malawi University of Science and Technology]], [[Thyolo District]]
| 1 June 2016
|-
|}

{|class="wikitable" style="font-size: 90%"
!colspan="7"| 2022 Series
|-
!rowspan="2"| Image !!rowspan="2"| Value !!rowspan="2"| Dimensions !!rowspan="2"| Main Colour !!colspan="2"| Description !!rowspan="2"| Date of first issue
|-
! Obverse !! Reverse
|-
|<ref>{{cite web | url=http://www.banknote.ws/COLLECTION/countries/AFR/MLW/MLWW2022-2000.htm | title=P-W70 }}</ref>
| K2000
| 135 × 66&nbsp;mm
| Orange
| [[John Chilembwe|Reverend John Chilembwe]]; outline of Malawi
| [[Blantyre]] Magistrate Court
| 24 February 2022
|-
| <ref>{{cite web | url=http://www.banknote.ws/COLLECTION/countries/AFR/MLW/MLWW2022-5000.htm | title=P-W71 }}</ref>
| K5000
|
| Purple
| [[Hastings Banda|Dr. Hastings Kamuzu Banda]]; outline of Malawi
| [[Reserve Bank of Malawi]] [[Mzuzu]] branch
| 24 February 2022
|}
{{Exchange Rate|MWK|ZAR|EUR|JPY|USD}}

==See also==
* [[Economy of Malawi]]
* [[Zambian kwacha]]

==References==
{{commons category|Money of Malawi}}
{{Reflist}}

{{n-start}}
{{n-before|currency=[[Malawian pound]]|ratio=2 kwacha = 1 pound}}
{{n-currency|location=[[Malawi]]|start=1971}}
{{n-after}}
{{n-end}}

{{Economy of Malawi}}

{{Currencies of Africa|state=collapsed}}
{{Portal bar|Africa|Malawi|Money|Numismatics}}

[[Category:Circulating currencies]]
[[Category:Currencies of Africa]]
[[Category:Currencies of Malawi]]
[[Category:Currencies introduced in 1971]]