Malawi’s Refugee Crisis Deepens as UNHCR Scales Back Support

Only 12 Percent of Needed Funds Received

Although no formal announcement has been made about a complete withdrawal, a recent update from UNHCR indicates that the agency has received only 12 percent of the $26.3 million needed to operate in Malawi this year. This shortfall has led to significant cutbacks in services. Clinics within Dzaleka are reporting stockouts of essential medicines, and several partner NGOs have withdrawn support. Additionally, programs providing training and livelihood support have been suspended. The World Food Programme has also been affected; it has reduced monthly cash support from MK 18,000 ($10) to MK 15,000 ($8) per person and warned that, without additional funding, even this may come to an end.

Life inside Dzaleka: Coping with the cuts

Some residents speak to OkayAfrica about how the withdrawal has reshaped everyday life inside the camp. “My mother has been quite ill lately, but the clinics here can’t help her,” says Fazili Sulu, a Congolese-born musician who lives in Dzaleka with his parents and two siblings. “They only treat things like malaria or headaches. For anything else, we have to find a way to get her to Lilongwe.” Known by his stage name “SULLU,” he says the cost and stress of travelling outside the camp for medical care are taking a toll on his family.

David Bin Wakandwa is a pianist and gospel musician living with his family of six at Dzaleka. His story is similar to Sullu’s; he is responsible for five people: his younger siblings, a niece whose mom passed away, and his wife and daughter.

“The money we receive from the UNHCR can only pay for 50kg of maize meal and charcoal. After that, we have to find a way to afford relish and cooking oil.” When asked how he can afford relish, the side dish that accompanies the maize meal staple, he says, “Sometimes I do some farming, but the rains were not enough this year, and I didn’t harvest anything.” It seems all the odds are against him, and he worries about what will happen with the camp.

Bin Wakandwa is a deeply religious man who draws strength from his faith to get through difficult times. He says the challenges he faces only push him forward, especially knowing he will likely be at the refugee camp for a long time. His wife and daughter were both born in the camp, and even if life doesn’t change much for them, he still hopes and wants the best for his family.

Government’s stance: Repatriation and encampment

As humanitarian organizations scale back operations, the Malawian government has found itself under mounting pressure. In May 2025, The Times Group Malawi reported that officials were considering the possibility of repatriating some refugees, particularly those from Rwanda and Burundi, as a response to the growing strain on national resources. The proposal sparked concern from rights groups, who warned that repatriation must be voluntary and carried out under international protection standards, especially given the complex political situations from which many refugees fled.

At the same time, the government has maintained its strict encampment policy, forcing thousands of refugees who had settled in urban areas back into Dzaleka since 2023. While officials argue this ensures better oversight and access to aid, both UNHCR and human rights organizations have criticized the move, citing the camp’s already overstretched infrastructure and the heightened risk of further destabilization.

Malawi’s broader economic crisis

Beyond the refugee situation, Malawi is facing serious economic challenges. In May, the annual inflation rate was 27.7 percent, one of the highest in Africa. To alleviate this pressure, Malawi has devalued its currency, the Malawian Kwacha, several times in recent years to meet demands from international lenders. However, each time the kwacha loses value, life becomes more difficult for ordinary people. Prices rise, especially for essentials like food and fuel. For many Malawians, no matter how hard they work, their money doesn’t stretch as far as it used to.

Twenty-five-year-old Menia Chaphamtengo, who lives in Malawi’s capital, Lilongwe, tells OkayAfrica that the most shocking price hikes have been eggs and sanitary products. “At the beginning of the year, a tray of 30 eggs was MK 10,000 ($5), but now I pay MK 15,000 ($8),” she says. “I’m also paying more than double what I used to for sanitary towels.” Menia worries that with the cost of living rising so quickly, many Malawians, who are already living below the poverty line, will struggle even more to get by.

This growing pressure has led to public frustration. Protests recently broke out in Lilongwe and Blantyre, with street vendors and unemployed youth calling for urgent action on the rising cost of living. At the same time, the worsening economy means the government has little money left to address increasing needs in places like Dzaleka or to expand much-needed humanitarian support.

Malawi has long been praised for its openness to refugees, offering shelter to those fleeing violence and persecution when many others have closed their doors. With support from organizations like UNHCR, the country has hosted thousands in camps like Dzaleka for decades. However, as Malawi faces its own economic crisis, everyone concerned is watching closely to see how this story unfolds and whether compassion can be sustained as pressure mounts.

For people like Sullu and Bin Wakandwa, the dream isn’t just survival, it’s freedom. Returning to the DRC is not an option, but they still hope for the chance to live full, independent lives beyond the boundaries of a refugee camp. Like so many others in Dzaleka, they are waiting not just for policy shifts or handouts, but for the dignity to shape their futures.