How to Buy Treasury Bills in Malawi: Rates, Returns and How to Bid

Treasury bills are one of the simplest ways to earn interest in Malawi, and you can start with MK10,000. You buy them through your bank or directly from the Reserve Bank of Malawi, and bidding is free.

At the 29 September 2026 auction, the 364-day bill paid 16%. After the 20% withholding tax, MK100,000 earns about MK11,008. Here's how to fill in the bid form and what to expect.

Malawi treasury bill rates (RBM auction, 29 September 2026)

Source: RBM Treasury Bills auction results. The 182-day yield fell from 15.00% to 14.50% at the 22 September 2026 auction. Two reopening auctions in October (1 and 19 October) raised nothing, so 29 September remains the latest auction with allotments, as of late October 2026.

Almost all the money goes into the 364-day bill: MK7.24 billion of the MK7.26 billion allotted on 29 September. Very little is bid at 91 days.

How much will I earn on a Malawi treasury bill?

T-bills are sold at a discount. You pay less than the face value you apply for and receive the full face value at maturity. The difference is your interest, and 20% withholding tax is deducted from it, according to the RBM's investor guide.

What MK100,000 face value earns at the 29 September 2026 rates (approximate):

On MK1 million face value in the 364-day bill, you'd pay about MK862,395 and earn about MK110,084 after tax. These figures use the standard formula price = 100 ÷ (1 + yield × days ÷ 365); your confirmation letter from the RBM shows the exact amount to be debited. The RBM also has a treasury bills calculator, which doesn't include any fees your bank may charge for processing your bid.

Who can buy treasury bills in Malawi?

Residents and non-residents, individuals and companies, as long as they have an account with a local commercial bank in Malawi. Non-residents without a local account can invest through a nominee: a commercial bank, investment bank or broker in Malawi.

How to buy treasury bills in Malawi: step by step

1. Have a bank account with a commercial bank in Malawi. The RBM debits it on settlement day.
2. Get the bid form from any RBM branch or from the Treasury Bills page of the RBM website. Use a separate form for each tenor.
3. Choose how to bid:
   • Non-competitive (individuals only): write "NOCOB" instead of a yield. You get the average yield of successful bids for that tenor. Maximum MK10 million per tenor per auction.
   • Competitive: write the yield you want. No maximum. Companies and organisations must bid competitively.
4. Fill in the amount (face value) you want: at least MK10,000, in multiples of MK1,000.
5. Submit the form to your bank, using the contact details on the back of the form. Investors with a CSD account at the RBM can bid directly; others bid through authorised agents such as commercial banks, stockbrokers or fund managers.
6. Wait for confirmation. If you're successful, the RBM emails a confirmation letter with the amount to be debited and the settlement date.
7. Get paid at maturity. You receive the face value, less 20% tax on the interest, into your bank account. Your T-bill is held electronically in the RBM's Central Securities Depository (CSD); no paper certificate is issued.

Auction dates are set in the RBM's treasury bills issuance calendar on its website.

Treasury notes: the longer option

If you want to lend for longer than a year, the Government also issues Treasury notes, for example 2-year notes. They pay interest every six months. The minimum is much higher: MK1,000,000, in multiples of MK100,000. The process is the same as for T-bills.

Mistakes to avoid

• Ignoring the 20% tax. A 16% yield is about 12.8% a year after tax.
• Bidding too high competitively. If your yield is above what the RBM accepts, you get nothing. Individuals usually do better with NOCOB.
• Using one form for two tenors. Each tenor needs its own bid form.
• Not asking your bank about fees. Bidding at the RBM is free, but some banks charge to process bids.
• Forgetting inflation. Compare the after-tax return with the current inflation rate. A positive real return is what grows your savings.

Treasury bill interest is taxed separately from your salary; for what comes off your pay each month, see PAYE in Malawi. Neighbouring Zambia sells T-bills through a Bank of Zambia investor portal from K1,000, with 15% tax (treasury bills in Zambia), and Ghana lets you buy them by mobile money (treasury bills in Ghana). More Malawi guides are on our Malawi page. If your income comes from clients abroad, read PayPal in Malawi before you ask anyone to pay you through it.

Frequently asked questions

What is the minimum amount for treasury bills in Malawi?

MK10,000, in multiples of MK1,000, according to the Reserve Bank of Malawi. Treasury notes start at MK1,000,000.

What are treasury bill rates in Malawi now?

At the 29 September 2026 auction: 12% for 91 days, 14.5% for 182 days and 16% for 364 days. The October 2026 reopening auctions raised no money, so those are the latest rates with allotments.

Is there tax on treasury bills in Malawi?

Yes. A 20% withholding tax is deducted from the interest (the discount) you earn.

Can I buy Malawi treasury bills if I live abroad?

Yes. If you have an account with a local commercial bank in Malawi, you can bid through it. If not, you can invest through a nominee such as a Malawian commercial bank, investment bank or broker.

What is NOCOB on the RBM bid form?

NOCOB means a non-competitive bid. Instead of naming a yield, you accept the average yield of successful bids. It's open to individuals only, up to MK10 million per tenor per auction.

Is it free to buy treasury bills in Malawi?

Bidding with the RBM is free, but your commercial bank may charge a processing fee. Ask before you submit your form.