RFA Steps Up M1 Rehabilitation as Toll Revenue Surges by 56 Percent  

The Roads Fund Administration (RFA) has reaffirmed its commitment to restoring the condition of the country’s road network and the Malawi’s main Road. Announcing a significant increase in toll revenue collections in the first Quarter (April to June 2026),and highlighting major rehabilitation works now underway along the country’s busiest transport corridor.  

Speaking during the second Toll Update on toll revenue collections and utilisation held at Chingeni Toll Plaza, RFA Finance Manager reported that gross toll collections reached MK1.77 billion during the period April to June 2026, in comparison to MK1.13 billion collected during the same period last year.  The increase of MK638 million, represents a 56 percent increase, despite a 22 percent reduction in vehicle passages. RFA attributed the improved revenue performance largely due to toll fee rates adjustment implemented in January 2026. 

The increase has strengthened RFA’s capacity to finance road maintenance and rehabilitation and views Tolling as a sustainable revenue stream.  The update is a fulfilment of RFAs commitment to continously provide Toll Fee collection and utilisation every quarter. During the briefing, RFA Finance Manager, James Dzonzi assured the public and all road users that all toll fee collections are ringfenced and will primarily be used for the maintenance of the tolled road in line with the Presidential directive. The Roads Fund Administration committed to providing the financial resources required for the road agencies and Roads Authority to maintain our roads to acceptable standards for the benefit of all road users.  

However, RFA indicated that toll revenue alone cannot adequately finance the country’s huge backlog and growing maintenance needs. The cost of road maintenance at the current rates is K1.5 billion (pothole patching and overlay) while the cost of rehabilitation is at K2.5 billon per kilometre. 

RFA complements tolling funds with the fuel levy to reduce the huge maintenance gap on the tolled roads.  This underscores the need for the fuel levy to continue to flow into the Roads Fund for sustainable road maintenance. 

The Roads Authority (RA), responsible for road construction, maintenance and rehabilitation, said the M001 road remains the backbone of Malawi’s road network.  

Speaking during the occasion, the RA Ag. Chief Maintenance Engineer, Engineer Derrick Manda said that the major challenge of the poor road condition is due to the funding gap in the past three years due to fuel levy challenges. This affected roadworks. Currently there has been a great improvement in resource allocation hence the current rehabilitation works which have commenced”. 

Engineer Derrick Manda noted that prolonged funding challenges associated with fuel levy collections had created a maintenance backlog over recent years, contributing to the deterioration of roads.  The recent improvement in toll revenue, and fuel levy remittances is to reduce this backlog.  Government through the Roads Authority has recently awarded a major rehabilitation and periodic maintenance of the M001 road from Bunda Turn Off to Kameza at a total cost of MK113 billion. The funds have mobilised by the RFA using the Bank’s financing facility which will be repaid using fuel levy proceeds.  This financing is expected to meet the Financing gap by Toll collections which was far inadequate.