The study aimed to analyse the effectiveness of the street vending relocation policy in Malawi. Specifically, the study examined the extent to which the Lilongwe city council (LCC) effectively implements the street vending relocation policy. The study also explored street vendors’ views and reactions towards the government’s relocation policy. The study collected and analysed data from three key informant interviews, four focus group discussions with street vendors, and 384 questionnaires administered to street vendors. It used a mixed methods (qualitative and quantitative) approach. The data was analysed using content analysis and Statistical Package for Social Sciences. The study established that street vending persists, and the relocation policy is not effective despite the LCC’s efforts to relocate street vendors. The study found that several factors affect the effectiveness of the local authorities, including political interference, which tends to stop the implementation of the policy. The lack of formal market infrastructure, unavailability of resources, and the lack of street vendors’ representatives also limits the effectiveness of the LCC in relocating street vendors. The study also found that most of the street vendors do not consider relocation to formal markets beneficial. Therefore, the study confirms the notions of the dualist and the voluntarist theories that the formalisation of street vending can be effective when it limits informality and provides more benefits of formality, respectively.