Malawi’s ongoing foreign currency crisis has delayed the planned launch of Malcel, a new mobile network operator, as the company struggles to acquire critical network infrastructure from international vendors.
Malcel’s CEO and founder, Boniface Ndawala, told MBCDigital that capital spending plans were disrupted due to limited access to foreign currency, forcing the company to reconsider the timing of its commercial debut.
“Most of the core network equipment and supporting infrastructure have to be sourced externally, and without reliable access to foreign currency, it became extremely difficult to meet our initial rollout targets,” Ndawala said.
The company had planned to invest over $220 million in the project, but the foreign exchange shortage, which has affected multiple capital-intensive sectors in Malawi, stalled progress.
To mitigate these challenges, Malcel has secured a co-investor intended to ease financing constraints and reduce foreign currency risks involved in the rollout. Ndawala said the company will proceed with a full commercial launch only when conditions allow for reliable service quality and network stability.
In addition to mobile connectivity, Malcel intends to introduce a digital financial services platform, M-cash, aimed at promoting financial inclusion. However, the platform’s deployment is also dependent on access to foreign currency for technology integration.
Despite delays, Malcel’s network is operational at a limited capacity in Lilongwe, where it conducted its first test call in October 2024. Ndawala noted that these limited operations are necessary to meet regulatory requirements and maintain the company’s operating licence while awaiting improved forex availability for a nationwide launch.
