Concerning E-commerce penetration, Malawi has moved seven steps from position 133 in 2018 out of 152 on the global index, as indicated in a report by the United Nations Conference on Trade and Development (UNCTAD).

The report shows that Malawi’s internet usage is very low with only 14 percent of Malawi’s population having access to the Internet. In the report, UNCTAD Business-to-Consumer E-commerce Index director Shamika Sirimanne said the Malawi’s Business to Consumer Index shows a “worrying” digital gap between developed and developing countries. “For example, in six European nations, more than 80% of Internet users make purchases online. But that proportion is below 10% in most low and lower middle-income countries,” she said.

The development happens after various businesses have been urged to partake in efforts to boost e-commerce penetration. Back in January this year, a study by the Malawi Chambers of Commerce and Industry (MCCCI) showed that technology use by businesses has dropped by 58.62%. The 2018 decline follows a 2017 drop which registered 78.18%; an incident that is being attributed to power outages that wastes the businesses bundle subscriptions. The MCCCI study also reports a slight decline in internet usage, which may be attributed to the high cost of communication, as it is noted that email was common in 2018.