The kwacha is the currency of Malawi as of 1971, replacing the Malawian pound. It is divided into 100 tambala. The kwacha replaced other types of currency, namely the British pound sterling, the South African rand, and the Rhodesian dollar, 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 by Bingu wa Mutharika to peg the exchange rate with other currencies. Banknotes are issued by the Reserve Bank of Malawi. In May 2012, the Reserve Bank of Malawi devalued the kwacha by 34% and unpegged it from the United States dollar. The currency was further devalued by 25% by the central bank in May 2022 followed by another 44% devaluation in November 2023 raising inflation rate in Malawi.

John Nkologo Chilembwe was a Baptist pastor, educator and revolutionary who trained as a minister in the United States, returning to Nyasaland in 1901. He was an early figure in the resistance to colonialism in Nyasaland (Malawi), opposing both the treatment of Africans working in agriculture on European-owned plantations and the colonial government's failure to promote the social and political advancement of Africans. Soon after the outbreak of the First World War, Chilembwe organised an unsuccessful armed uprising against colonial rule. Today, Chilembwe is celebrated as a hero of independence in some African countries, and John Chilembwe Day is observed annually on 15 January in Malawi.