Malawi: Cost of Living Drops 4.6 Percent in February

The cost of living for an average urban household has dropped by 4.6 percent in February, offering a slight relief to consumers grappling with high prices.

Latest figures from the Employers Consultative Association of Malawi (ECAM) show that the cost of living fell from K1,039,425 in January to K991,733 in February.

The decline follows a reduction in prices of essential food items, particularly maize, beans, and cooking oil, which significantly influence household spending.

According to ECAM, the food basket--which tracks the cost of basic necessities--decreased by 7.16 percent, dropping from K695,120 in January to K645,321 in February.

Among key commodities, bean prices recorded the most notable drop, falling by K6,500--from K41,500 to K35,000 per 50kg bag. Irish potatoes also declined by K1,300, while maize prices eased by K4,100 per 50kg bag.

Cooking oil prices followed the same trend, contributing to the overall decline in food costs.

On the non-food side, transport costs also went down, with the total cost of the basket decreasing from K292,025 in January to K277,923 in February--representing a 5 percent drop.

Despite the decline, economists caution that the relief may be short-lived.

They warn that Malawi's economy remains vulnerable to inflationary pressures, particularly due to exchange rate instability and rising global commodity prices.

"This downward movement is encouraging, but prices remain relatively high compared to previous months," said one analyst. "What we are seeing is a slight correction, not a full recovery."

The development comes amid ongoing economic challenges, with many households still struggling to cope with the high cost of basic goods and services.

While the February figures provide a glimmer of hope, experts stress that sustained price stability will depend on broader economic reforms and improved market conditions.

This article originally appeared on Nyasa Times.