The kwacha is the currency of Malawi

Malawi

The Republic of Malawi is a landlocked country in southeast Africa that was formerly known as Nyasaland. It is bordered by Zambia to the northwest, Tanzania to the northeast, and Mozambique on the east, south and west. The country is separated from Tanzania and Mozambique by Lake Malawi. Its size...

 as of 1971, replacing the Malawian pound

Malawian pound

The pound was the currency of Malaŵi until 1971. From 1932, Malaŵi used the Southern Rhodesian pound. In 1955, a new currency was introduced, the Rhodesia and Nyasaland pound. This was replaced by the Malaŵian pound in 1964, following Malaŵi's independence. The pound was subdivided into 20...

. It is divided into 100 tambala. The kwacha replaced other types of currency, namely British, South African and Rhodesian, that had previously circulated through the Malawian economy. The exchange rate of the kwacha undergoes fixed periodical adjustments, but since 1994 the exchange rate has floated. In 2005, administrative measures were put in place to control the exchange rate with other currencies. Banknotes are issued by the Reserve Bank of Malawi

Reserve Bank of Malawi

The Reserve Bank of Malawi is the central bank of Malawi.-See also:*Central banks and currencies of Africa*Economy of Malawi*List of central banks-External links:* at www.rbm.mw...

.

Etymology

The name kwacha derives from both the Nyanja and Bemba

Bemba language

The Bemba language, ChiBemba , is a major Bantu language spoken primarily in north-eastern Zambia by the Bemba people and as a lingua franca by about 18 related ethnic groups, including the Bisa people of Mpika and Lake Bangweulu, and to a lesser extent in Katanga in the Democratic Republic of the...

 word for "dawn", while tambala translates as "rooster" in Nyanja. The tambala was so named because a rooster appeared on the first one tambala coin.

History

The kwacha replaced the Malawian pound

Malawian pound

The pound was the currency of Malaŵi until 1971. From 1932, Malaŵi used the Southern Rhodesian pound. In 1955, a new currency was introduced, the Rhodesia and Nyasaland pound. This was replaced by the Malaŵian pound in 1964, following Malaŵi's independence. The pound was subdivided into 20...

 in 1971 at a rate of two kwacha to one pound.

As of 4 July 2010, one British pound sterling was equal to 227.681 kwacha, one US dollar was equal to 149.8 kwacha and one South African rand was equal to 19.4475 kwacha.

As on 9th May 2011, one British pound sterling was equal to 257.7172 kwacha, one US dollar was equal to 152.2933 kwacha and one South African rand was equal to 23.7740 kwacha.

Coins

The first coins introduced in 1971 were in denominations of one, two, five, ten and twenty tambala. In 1986, fifty tambala and one kwacha coins were also introduced. In January of 2007, five and ten kwacha coins, which actually bear a mint date of 2006, were also released into circulation.

The one and two tambala coins are composed of copper-plated steel. The five tambala coin is of nickel-plated steel. The fifty tambala and one kwacha coin are composed of brass-plated steel.

Banknotes

In 1971, banknotes were introduced in denominations of 50 tambala, 1, 2 and 10 kwacha. 5 kwacha notes were introduced in 1973 when the 2 kwacha note was discontinued. 20 kwacha notes were introduced in 1983. 50 tambala notes were last issued in 1986, with the last 1 kwacha notes printed in 1990. In 1993, 50 kwacha notes were introduced, followed by 100 kwacha in 1993, 200 kwacha in 1995 and 500 kwacha in 2001.

As of 2008, the following banknote denominations of banknotes are in circulation:

1997 Series http://www.rbm.mw/general_info/index.asp?suburl=currbanknotes
Image	Value	Dimensions	Main Colour	Description		Date of first printing
				Obverse	Reverse
	K5	126 × 63 mm	Green	John Chilembwe John Chilembwe Reverend John Chilembwe was a Baptist educator and an early figure in resistance to colonialism in Nyasaland, now Malawi. Today John Chilembwe is celebrated as a hero for independence, and John Chilembwe Day is observed annually on January 15 in Malawi.-Early Life and Education:Chilembwe attended...	Villagers mashing grain	1 July 1997
	K10	132 × 66 mm	Brown		Children in "bush" school
	K20	138 × 69 mm	Purple		Workers harvesting tea leaves
	K50	144 × 72 mm	Blue		Independence Arc in Blantyre Blantyre, Malawi Blantyre or Mandala is Malawi's centre of finance and commerce, the largest city with an estimated 732,518 inhabitants . It is sometimes referred to as the commercial capital of Malawi as opposed to the political capital, Lilongwe...
	K100	150 × 75 mm	Red		Capital Hill in Lilongwe Lilongwe Lilongwe, estimated population 902,388 as of 2009, is the capital and largest city of Malawi. It lies in the country's central region, on the Lilongwe River, near the border of Malawi, Mozambique, and Zambia, and on the main north-south highway of Malawi, the M1.-History:The city started life as a...
	K200	156 × 78 mm	Blue		Reserve Bank Reserve Bank of Malawi The Reserve Bank of Malawi is the central bank of Malawi.-See also:*Central banks and currencies of Africa*Economy of Malawi*List of central banks-External links:* at www.rbm.mw...  building in Lilongwe Lilongwe Lilongwe, estimated population 902,388 as of 2009, is the capital and largest city of Malawi. It lies in the country's central region, on the Lilongwe River, near the border of Malawi, Mozambique, and Zambia, and on the main north-south highway of Malawi, the M1.-History:The city started life as a...
	K500		Multi-colour			1 December 2001