
By Draxon Maloya
Mzuzu – Saturday, May 9, 2026; The standoff over the Malawi Revenue Authority’s (MRA) rollout of the Electronic Invoicing System (EIS) deepened yesterday after the Northern Region Community Business Association (NRCBA) issued a strongly worded press statement distancing itself from claims that all business associations had endorsed the reforms.
In a statement dated 8 May 2026, NRCBA clarified that the position circulating on social media—suggesting unanimous acceptance of EIS—was misleading and did not represent the views of the wider business community.
The association stressed that the meeting referenced by MRA largely involved small-scale traders, many of whom are not VAT registered and therefore not directly affected by the system.
“Our position remains unchanged: the Electronic Invoicing System is not suitable for the current business environment in Malawi and risks negatively affecting businesses of all sizes,” NRCBA declared.
The association warned that EIS could paralyze operations due to persistent network challenges, forex shortages affecting imports, implementation costs, and lack of adequate consultations. It further emphasized that business in Malawi is diverse and inclusive, cautioning against selective engagements that risk dividing traders along ethnic or sectoral lines.

NRCBA also invited the right advocate, Sylvester Namiwa and the Centre for Democracy and Economic Development Initiatives (CDEDI) to meet directly with business leaders instead of issuing statements on social media. “We reject any attempts to divide the business community through misleading public communication,” the statement read.
In its recent response to the standoff, the MRA has maintained its position, insisting that EIS is a modern and efficient system designed to improve VAT collection and transparency.
Commissioner General Felix Tambulasi noted that out of 9,000 VAT-registered businesses, 7,500 have already registered with EIS. He dismissed shop closures as “counterproductive,” urging traders to comply with the reform.
“EIS is not a new tax but a replacement for the outdated Electronic Fiscal Devices (EFDs). He added that MRA had extended deadlines three times to allow businesses to prepare,” Tambulasi said.
Meanwhile, the rollout has triggered widespread protests, with shops in Mzuzu and Blantyre’s Limbe remaining closed since early May. Traders argue that they were not adequately trained, compliance costs are high, and technical challenges remain unresolved.

As tensions escalate, NRCBA insists that implementation must be suspended until inclusive consultations are held. MRA, however, remains firm on compliance. The coming weeks will determine whether dialogue prevails or whether protests intensify across Malawi’s business hubs.
