Prices of basic necessities continue to rise, making planning and survival for low-income consumers harder.
For James (not real name), a primary school teacher who earns a gross salary of K285 000, life has become unmanageable.
He says, with a wife and three children, his salary can only carter for a bag of maize, rentals and a few basic items.
Says James: “With my salary, it means I can only buy two bags of maize and pay rentals and sit back while I await judgement day. Life is not easy.
“You can’t even keep some money because the value of money keeps eroding every day. You can’t even plan.”
He says as the only educated person from his family, supporting his mother and his mentally challenged nephew has now become impossible.
“I don’t know what to do anymore. Government has not increased our salaries, but they give us allowances at times, but it’s far from meeting our needs today,” says James.
He is among the many Malawians struggling to cope with rising prices.
In Malawi, maize constitutes over 50 percent of daily food intake and contributes about 53.7 percent to the consumer price index, an aggregate basket of consumer goods and services used to compute inflation.
This month, maize prices have hit K100 000 per 50 kilogramme (kg) bag in some markets, pushing up inflation to 28.5 percent amid rising cost of living.
Prices of most basic household items have also remained elevated, with cooking oil prices rising to an average of K16 000 for a two-litre bottle, from an average of K7 000 same period last year.
For bread, beef and chicken prices have moved up from an average of K1 000 per loaf, K4 000 per kg and K10 000 per live chicken, respectively.
For those with babies accustomed to diapers, prices have not been better either. An average pack of 90 diapers has gone up from K35 000 since January to K50 000 today.
This development has pushed up the cost of living, recorded at K615 138 in December, according to the Centre for Social Concern.
The situation, according to economist Edward Chilima, not only signals tough times, but could also trigger social and moral decay as people try to survive.
He said what is worrying most is that the situation is worsening by each passing day.
Said Chilima: “This is leading to speculation which will only worsen the situation, especially as we head towards general elections.
“Government needs to bring back the confidence by being seen to address or arrest the rapid increases. Short of this, the economic and social picture looks gloomy.”
On his part, Scotland-based economist Velli Nyirongo observed that as the disparity between earnings and basic needs is widening, it is nearly impossible for the lowest earners to afford even the most essential commodities.
He said: “The rapid erosion of purchasing power leaves families unable to maintain a decent standard of living, intensifying social and economic instability.
“Government needs to address the crisis by reviewing the minimum wage in line with inflation, implementing targeted subsidies for essential goods, and strengthening monetary policies to stabilise prices and improve local food production.”
Without these measures, Nyirongo cautions that economic distress could deepen, threatening both individual livelihoods and national stability.
Minister of Trade and Industry Sosten Gwengwe said price instability is being fuelled by shortage of foreign exchange.
He said the ministry has also detected unfair and excessive pricing and the law will take its course on such traders.
“Prices are going up because of huge demand for dollars in the black market.
“A medium to long-term solution is to look at ways of stabilising prices by stabilising the foreign exchange market,” said Gwengwe.
