Major commercial banks in Malawi have increased their reference interest rates for July, marking a slight uptick in the cost of borrowing for businesses and consumers.
The adjustment brings the benchmark rate to 20.50 percent, up from 20.40 percent in June.
Standard Bank and NBS Bank were among the first to announce the change, aligning their pricing with the broader trend of tightening credit conditions.
The move reflects ongoing challenges in the local banking sector, where institutions are adjusting to maintain profitability amid fluctuating economic indicators.
This incremental rise follows a pattern seen in other emerging markets, where lenders have been cautious about extending credit.
For instance, South Korean banks recently reversed a downward trend in mortgage loan rates, while Permanent TSB in Ireland increased rates on business deposit products.