National Bank of Malawi plc wishes to inform all its customers and stakeholders that e ective 3rd September 2019, the Bank adopted the Reference Rate as a base lending rate which is in line with the Reserve Bank of Malawi requirement. This means that for any local currency loan whose interest rate was linked to the base lending rate (which was the Lombard Rate of 13.90%), it is now linked to the Reference Rate. All other inputs into the nal lending rate have not changed as a result of this adoption.
The Reference Rate is a weighted sum of the following variables; all-type treasury bill yield scaled up by the cost of liquidity reserve, interbank rate, Lombard Rate and the savings deposit rate.
The input variables will be reviewed every month. Customers will be informed when that review results into a change in the Reference Rate.
The applicable rate for September 2019 is 13.40%