Skip to content
World Watch

Fintech & payments regulation in Malawi (2026)

Fintech and digital payments in Malawi: licensing regime.

Malawi has an in-force, dedicated licensing regime for digital payments and e-money: the Payment Systems Act 2016 requires anyone operating a payment, clearing or settlement system, providing remittance/mobile-payment services or issuing payment instruments to be licensed or authorised by the Reserve Bank of Malawi. E-money is governed by gazetted Payment Systems (E-money) Regulations using an activities-based licensing approach, and interoperability is mandated through the national switch (NatSwitch), which now carries instant interbank transfers. There is, however, no dedicated open-banking or BNPL framework, these areas remain unregulated/patchwork.

Last verified Official sources first · MethodologyCompare Malawi with other countries

Legal framework

Payment Systems Act, 2016 (No. 15 of 2016) and the Payment Systems (E-money) Regulations, administered by the Reserve Bank of Malawi (RBM)

Key points: digital payments & fintech in Malawi

  1. Primary law in force

    The Payment Systems Act, 2016 regulates payment, clearing and settlement systems, payment instruments, remittance service providers, electronic money transfers and card issuers, and prohibits operating without RBM licence or authorisation.

    malawilii.org rbm.mw

  2. Regulator

    The Reserve Bank of Malawi is the designated authority overseeing the safety, efficiency and integrity of payment systems and issuing licences/authorisations and directives to system operators.

    rbm.mw bis.org

  3. E-money regime

    The gazetted Payment Systems (E-money) Regulations set out specific requirements for e-money providers, applying an activities-based licensing approach (banks and non-banks alike must be licensed) and prescribing transaction/balance limits for subscriber, agent and merchant accounts.

    africa-laws.org

  4. Non-bank PSP licensing active

    Non-bank payment service providers are being licensed under the regime; for example pawaPay obtained an RBM PSP licence, and providers such as Flutterwave, DPO and Paychangu operate under RBM authorisation.

    medium.com rbm.mw

  5. Interoperability & instant rails

    RBM interoperability directives require all PSPs to connect to the National Switch (NatSwitch); ATM (2015) and POS (2016) interoperability were followed by Instant Electronic Funds Transfer launched via NatSwitch effective 1 December 2022 for real-time 24/7 interbank transfers.

    africanenda.org malawi24.com

  6. Open banking & BNPL not yet regulated

    Malawi has no dedicated open-banking framework or specific Buy-Now-Pay-Later rules; these activities fall outside the current payments/e-money regime and remain effectively unregulated or addressed only indirectly.

    bis.org rbm.mw

Sources

  1. malawilii.org/akn/mw/act/2016/15
  2. rbm.mw/PaymentSystems/
  3. africa-laws.org/Malawi/banking%20and%20finance%20law/Payment%20Systems%20(E-money)%20
  4. bis.org/cpmi/paysys/malawi.pdf
  5. africanenda.org/uploads/files/SIIPS2023_CaseStudy_Malawi.pdf
  6. malawi24.com/2022/12/22/rbm-introduces-instant-electronic-money-transfer/
  7. medium.com/@kristungati/pawapays-psp-license-marks-a-milestone-for-malawi-s-fint

Next for Malawi: Digital Nomad & ResidencyVia other route

Next topic

Orientation, not legal advice: verify against the primary sources linked above. Last verified 25 May 2026. Methodology & how to cite · State of Technology Regulation 2026