Malawi Slashes Spectrum Fees by 20% to Boost Digital Inclusion

In a major push to drive digital inclusion and affordability, the Malawi Communications Regulatory Authority (MACRA ) has announced a 20% reduction in spectrum fees across all frequency bands. The move, aimed at lowering operational costs for operators and attracting new entrants into the market, is expected to accelerate the growth of the country’s digital economy.

Director General Daud Suleman described the fee revision as great news for communications sector operators and consumers and a key step toward realising the MW2063 vision of a digitally transformed Malawi.

“As a way of leveling the playing field and ensuring that we have a diverse and competitive market which will ensure quality services, we are pleased to announce that we have revised our spectrum fees. Among the fees which have been revised are Radio Frequency Spectrum license fees. Radio frequency spectrum is a limited natural resource that enables wireless communication ranging from mobile networks, broadcasting to satellite and emergency services.”

-Daud Suleman, Director General, Malawi Communications Regulatory Authority (MACRA) 

Radio frequency spectrum is a finite natural resource that underpins all wireless communication, from mobile and broadcasting to satellite and emergency services. While spectrum fees have historically been a significant revenue stream for the government, MACRA recognised that excessive charges could deter investment, limit innovation, and keep end-user prices high.

The revision follows an in-depth review of the Administrative Incentive Pricing (AIP) model, first introduced in 2018 to promote efficient spectrum use. The updated pricing schedule, rolled out in 2024, takes into account factors such as location, bandwidth, frequency, and market conditions.

According to MACRA, the revised fees are expected to:

• Lower operational costs for service providers, freeing up capital for network expansion and service improvement

• Encourage new investment in the sector by reducing entry barriers for startups and smaller players

• Accelerate Malawi’s national development goals, supporting the implementation of MW2063’s digital infrastructure agenda, which includes e-commerce, e-learning, e-health, and e-governance platforms

Suleman expressed optimism that the fee reduction would foster a more inclusive and resilient digital economy.

“We believe this reduction lays a foundation for a more inclusive, competitive and resilient digital economy; we hope that with this revision will result in quality and affordable communication services for every Malawian.”

–Daud Suleman, Director General, Malawi Communications Regulatory Authority (MACRA)  

The updated spectrum pricing framework reinforces MACRA’s mandate under the Communications Act to ensure universal and affordable access to communication services while managing spectrum resources on behalf of the Republic of Malawi.