The Taxi Series, Blantyre: Kamowa, his taxi and the global financial accord

A drive to Phalombe gives you the wonderful sight of the Mulanje Mountains in Malawi's South East.

They will tell you that Malawi is the warm heart of Africa.

They are talking about the weather. It gets hot.

But they are also referring to the people. They are warm, gentle and welcoming.

I meet Kamowa on a sunny soaked afternoon in Blantyre, the commercial heartbeat of southern Malawi. As I settled into the back seat of his well-kept taxi, I couldn't help but notice the meticulous care he took in organizing his receipts and mapping out our route. The plan was to drive south to a district called Chikwakwa, a region still struggling to recover from the devastation of Cyclone Idai two years ago. It’s also known to be one of the hottest areas in Malawi. We’d be going to a region called Chipalanga, across from the southwestern border with Mozambique- an area so hot, we would record 42 degrees later that day.

Anyway, there was a certain precision in his actions that hinted at a past life far removed from the hustle of city traffic."Have you always been a taxi driver?" I asked, breaking the comfortable silence as we navigated through the vibrant streets filled with markets and the melody of daily life. He glanced at me through the rearview mirror. "No, not always. For over twenty years, I was a banker."

I leaned forward. "A banker? How did you end up driving a taxi?" I’ll admit, I sounded surprised, maybe even a bit judgmental!

Kamowa simply offered a knowing look. "It's a long story, but if you're interested, I can tell you."

I had the time.

His journey began in the bustling corridors of Indebank, one of Malawi's then-prominent financial institutions back in the 90s. Fresh out of school and unmarried, he secured a position as a teller in Blantyre. The city was alive with opportunity, and Kamowa was eager to make his mark."Back then," he reminisced, "the banking sector was thriving. Malawi's economy was growing, and there was a sense of optimism in the air. I was proud to be part of it."

He was offered a position as a lead in one of the branches in a picturesque town, Mangochi nestled by the shores of Lake Malawi. The move was both a professional advancement and a personal adventure. He speaks of Mangochi with fondness: waking up each morning to brilliant sunrises over Lake Malawi, savouring the quiet community atmosphere, and feeling fortunate to help individuals and local businesses thrive. "Mangochi is beautiful," he says.

But beneath that peaceful exterior, global economic shifts were already underway, ones that would eventually affect even the remotest corners of Malawi.

“The Basel II Accord,” Kamowa explained, “was meant to safeguard the global banking system by making sure banks had enough capital to cover their risks. It introduced stricter measures for credit, operational, and market risks. The problem was that smaller banks in places like Malawi struggled to meet those new requirements.”

So I am going to pause here for a moment. I had never heard of anything called the Basel II Accord.  Never. I bet you haven’t too, but this accord would turn the lives of banks in Malawi and several other countries upside down.

When Malawi’s Reserve Bank enforced Basel II standards, Indebank, and others, couldn’t raise the necessary capital. The bank shut down. Kamowa and thousands of those in the sector lost their jobs overnight, throwing families and entire communities into economic turmoil.

The closure of Indebank was swift and devastating. The bank was bought out. Overnight, Kamowa and hundreds of his colleagues found themselves unemployed. The ripple effects were felt across the nation, as families lost their primary source of income and communities grappled with the economic fallout.

"Our bank, like many others, didn't have the resources to comply," he said, his tone tinged with frustration. "Since 2016, four more banks in Malawi have closed for the same reason. The global policies didn't account for the realities on the ground here."

"It wasn't just in Malawi," he notes. "Banks in several countries faced similar fates.”

Faced with few options, Kamowa came back to Blantyre. It wasn’t easy trading his suit and tie for a taxi driver’s routine, but he embraced it with the same attentiveness and dedication that had propelled his banking career. “I had to adapt,” he said simply. "Driving a taxi allows me to provide for my family. It's honest work, and I meet interesting people every day."

Kamowa navigates the winding roads of southern Malawi with calm assurance as we drive down the ribs of the mountains. He points out that steep hills, the small towns, and busy junctions each place tied to a memory. One moment he’d mention visiting a local centre to promote his old bank; the next, he’d point to the spot where his parents once lived. It was clear he knew every corner of these roads, just as he’d known the corridors of Indebank.

"Do you miss banking?" I asked. I sometimes ask these simple-minded questions! Blame me. “Every day. But life doesn’t always go as planned. You have to respond to change.” Even so, he hadn’t lost his belief that finance could transform lives; he’d simply found a new way to keep moving forward.

In many ways, Kamowa’s story is Malawi’s story: warm, resilient, and shaped by forces that sometimes feel beyond any single person’s control. The Basel II Accord was designed to protect the global economy, yet it had unintended consequences for smaller nations like Malawi, places where big international policies can cause local hardships. But Malawi, true to its heart, doesn’t give in easily. It adapts, just like Kamowa does behind the wheel of his taxi.

Today, he’s thriving in his own right, still meticulous and hard-working, still guiding others, just in a different way. And every time he offers a smile or a story about the hills and markets of southern Malawi, you can feel the warmth that this country is so famous for.