Traders refuse to accept K20 bank notes

A spot check by Malawi Voice at Limbe, Blantyre, and Ndirande Markets has revealed that traders and minibus operators are refusing to accept K20 bank notes from customers, citing that the note is valueless.

Customers expressed frustration and disappointment, saying they are being stranded by the traders’ decision.

“I tried to buy some vegetables at Limbe Market, but the vendor refused to accept my K20 note. I had to walk away without buying anything,” said one customer.

Traders claim that the K20 note is no longer valuable and that they are losing money by accepting it.

“We can’t accept the K20 note because it’s not worth anything. We’re losing business by accepting it,” said a trader at Blantyre Market.

However, the Reserve Bank of Malawi (RBM) has clarified that any currency currently in circulation is considered legal tender, and traders who refuse to accept such currencies are depriving buyers of their economic rights.

Director of Public Relations at RBM, Mark Lungu, emphasized that both coins and banknotes, including denominations such as K20 and K50, are still legally recognized and must be accepted in transactions.

“We have received reports that some traders are refusing to accept smaller denominations like K20, K50, and coins. As the Central Bank, we are concerned because any currency still in circulation is legally valid and must be accepted,” Lungu told reporters in Karonga.

He urged the media personnel to play an active role in educating the public about the status of currency.

He stressed that any note or coin not officially withdrawn by the central bank remains valid and must be accepted by businesses.

The RBM’s statement seems to contradict the traders’ claims, leaving customers wondering who to believe.

As the situation continues, customers are being left stranded, unable to purchase goods and services due to the traders’ refusal to accept the K20 note.

Minibus conductors in Blantyre and other districts are also refusing to accept K20 bank notes from passengers, causing frustration among commuters who rely on minibuses for transportation.

The conductors claim that they are losing money by accepting the K20 note, as they cannot use it to pay for fuel or other expenses.

The situation has left commuters stranded, with some being forced to walk or find alternative modes of transportation.

The refusal by traders and minibus conductors to accept the K20 note has raised questions about the value of the currency and the rights of customers.

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