Malawi Inflation rises to 29.1 percent in October 2025

In October 2025, the overall price level of goods and services rose to 29.1 percent, representing a 0.4 percentage point rise from 28.7 percent recorded in September 2025. Food inflation eased slightly to 32.4 percent from 33.0 percent in the previous month, while Non-Food inflation rose from 21.7 percent to 23.8 percent over the same period.

The higher inflation rate in October 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 October 2025 was more significant than in October 2024, resulting in a higher Year-on-Year inflation rate for the month.

Table 1: Inflation rates and CPIs for August to October 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 recorded in essential food items such as vegetables, sugar, eggs, meat, and cooking oil, contributing to a rise in the food index relative to the most recent months.

An analysis of food prices over the past 12 months indicates 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 to 23.8 percent

Conversely, the non-food index registered a significant increase over the same period, primarily driven by rising prices in solid fuels under Housing, Water, and Electricity, as well as liquid fuels within the Transportation category. Additionally, the Furnishings and Household items registered notable price increases. Overall, the growth in the non-food index exceeded that observed in corresponding 2024 resulting in an increase in the non-food Year-on-Year inflation rate.

Year-on-Year inflation rate

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

Month-to-month inflation rates

In October 2025, the national month-to-month inflation rate, reflecting the overall percentage change in the general price level of goods and services between September and October 2025, stagnated at 2.2 percent from the previous month. The food prices moderated to 1.7 percent from 1.9 percent in September 2024 while non-food inflation reached 3.0 percent from 2.7 percent over the same period.

In urban areas, the monthly inflation rate reached 1.9 percent, comprising a 1.3 percent increase in food prices and a 2.7 percent rise in non-food prices.

In contrast, rural areas experienced a higher inflation rate of 2.4 percent, mainly due to a 3.2 percent rise in non-food prices, while food inflation registered a more modest 1.9 percent increase.