Malawi Inflation rises to 28.7 percent in September 2025

In September 2025, the overall price level of goods and services rose to 28.7 percent, representing a 0.5 percentage point rise from 28.2 percent recorded in August 2025. Food inflation eased slightly to 33.0 percent from 33.7 percent in the previous month, while Non-Food inflation rate rose from 19.5 percent to 21.7 percent over the same period.

The higher inflation rate in September 2025 was largely attributed to a faster rise in non-food prices compared to the same period last year. Although non-food prices rose in both periods, the increase in September 2025 was more significant than in September 2024, resulting in a higher Year-on-Year inflation rate for the month.

Table 1: Inflation rates and CPIs for July to September 2024 and 2025

Food prices, major driver of inflation

Food prices remain the main driver of inflation in Malawi. During the month, notable price increases were observed in essential food items such as maize grain and its products (e.g., maize flour), meat, and some vegetables, contributing to a slight rise in the food index relative to the most recent months. Analysis of food prices over the last 12 months shows that food prices rose more rapidly in September 2024 than in September 2025, resulting in a decline in the Year-on-Year food inflation rate.

Non-food inflation rate increases 21.7 percent

Conversely, the non-food index registered a notable increase over the same period, largely driven by price increases in Clothing and Footwear, Furnishings and Household items, tuition fees under Education, boarding fees in Accommodation services, and Housing, Water and Electricity. The overall growth in the non-food index was slightly higher than that recorded during the same period in 2024, leading to an increase in the non-food Year-on-Year inflation rate.

Year-on-Year inflation rate

In general, the extent of the increase in the overall index in September 2025 was higher than the increase observed in September 2024, leading to a higher Year-on-Year inflation rate.

Month-to-month inflation rates

In September 2025, the national month-to-month inflation rate, reflecting the overall percentage change in the general price level of goods and services between August and September 2025, declined to 2.2 percent, down from 2.7 percent recorded in the previous month. The decline was largely driven by slower increase in food prices, with non-food inflation reaching 2.7 percent, and food inflation at 1.9 percent.

In urban areas, the monthly inflation rate reached 1.6 percent, comprising a 1.3 percent increase in food prices and a 1.9 percent rise in non-food prices.

In contrast, rural areas experienced a higher inflation rate of 2.6 percent, mainly due to a 3.2 percent rise in non-food prices, while food inflation registered a more modest 2.2 percent increase.