103 tourism firms licensedto deal in forex, says RBM

The Reserve Bank of Malawi (RBM) says 103 tourism operators have registered for foreign exchange dealing licences and to start receiving payment from tourists in foreign currency. But the arrangement continues to attract mixed reactions, with some tourism operators describing the move as a disincentive to their business. The measure, according to the RBM, is meant to ensure that all tourists and visitors pay their bills in foreign currency, thereby channelling forex into the formal market and curbing leakages.

This week, the RBM issued a call for compliance, reminding operators of the directive, which reignited debate within the tourism industry. Reads the RBM directive in part: “These measures remain enforceable. All tourism enterprises are required to apply for authorisation from the bank to deal in foreign currency as stipulated under the licensing requirements for dealing in foreign exchange by tourist operators.

“The deadline for compliance has been extended from January 31 to February 28 2026.” In an e-mail response yesterday, RBM spokesperson Boston Maliketi Banda said since the issuance of the directive, there has been a notable increase in the number of applications from tourism operators seeking authorisation to deal in foreign exchange. “Monthly returns submitted for January indicate that most operators are indeed receiving payments for their services in foreign currency, which is an encouraging sign of growing compliance,” he said, adding that additional applications are being processed at various stages of review. Maliketi Banda said a few technical challenges have been observed, mainly relating to how some transactions are processed by authorised dealer banks.

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However, one of the tourism operators Innocent Kaliati observed that the directive lacks clarity as it leaves tour operators frustrated because they are forced to surrender the forex to lodges and hotels that their clients paid. “To me that directive does not make sense because once I am paid by foreign tourists, I am forced to surrender the forex to lodges and hotels,” he said. Kaliati, who is Orbis Destination Management Company managing director, said the directive has the potential to frustrate tour operators.

In a separate interview, tourism expert at Malawi Institute of Tourism Dennis Magodi said the directive has generally been received with mixed reactions across the tourism sector and business operators. He said while operators recognise RBM’s objective to enhance regulatory oversight, formalise foreign exchange transactions and improve accountability in foreign currency management, there are concerns regarding the timing and preparedness of businesses to comply.

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