Commercial banks in the country are reportedly selling MK20 and MK50 banknotes to foreign nationals allegedly linked to global counterfeiting syndicates.
A recent case occurred on 29 April at Kamuzu International Airport, where MK4.1 million reportedly in MK20 and MK50 notes was seized from a Bulgarian national attempting to leave the country. The money was intercepted as the individual prepared to board an outbound flight.
Cables investigations indicate that the MK20 banknote carries distinctive security features and is allegedly being exploited in schemes to produce counterfeit foreign currencies. Similar concerns have been raised regarding the MK50 note.
Further findings suggest that some bank officials are selling these notes to foreign buyers at inflated prices in US dollars, after which the cash is smuggled out of the country.
This is not the first time large volumes of such banknotes have been intercepted while being illicitly moved across borders. However, instead of facing stiff penalties, offenders are often subjected to relatively small fines a development critics say is enabling the malpractice to persist.
Cables reported previously that elements within the banking sector are acting as enablers of criminal syndicates, while the central bank has yet to take decisive action to hold institutions accountable.
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