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The Reserve Bank of Malawi is the central bank of Malawi, and established under an Act of Parliament in July 1964 and began operations in June of 1965 in Blantyre. It replaced a branch of the Federal Bank of Rhodesia and Nyasaland that had previously been founded to serve as a central bank of the Federation of Rhodesia and Nyasaland as Malawi was formerly known. In 1981, the headquarters of the Reserve Bank of Malawi moved to the Malawian capital, Lilongwe.

In April of 1989 a revision in the Reserve Bank of Malawi Act restipulated the Bank’s principal functions to maintain the interest of the national economy in line with the government's economic policies. Before the revision of the Act, the Reserve Bank of Malawi reported to the Treasury. The revision, however, gave the Reserve Bank of Malawi some amount of autonomy from the government. With this autonomy, the Reserve Bank of Malawi has the full mandate to conduct monetary policy whereas fiscal policy issues remain the mandate of the Ministry of Finance. The Reserve Bank of Malawi is therefore obliged to ensure that fiscal developments are consistent with monetary developments.

By 1998, the Bank's total assets registered a high of K18.8 billion with foreign assets amounting to K11.3 billion. The operations of the Bank have therefore expanded during the years more especially with the growth of the financial sector. To cope with the growing financial sector, a new branch building was constructed at Blantyre, in 1998.