Human malaria infection poses a major global health threat worldwide. Yet, no sophisticated mathematical model exists to study the complex dynamics and interactions between the parasites and host immune response at the blood and liver stages. In this paper, an in-host mathematical model of Plasmodium falciparum malaria dynamics and interactions in an infected host cells are studied at the liver stage by incorporating the red blood cells and the immune system. Numerical simulations are applied to investigate the interactions between the host immune response, the parasite dynamics, and the disease dynamics at both the blood and liver stages. Results show that immunity has a significant impact in clearing infected red blood cells. Furthermore, the infected erythrocytes and hence the severity of malaria tend to increase with increasing density of merozoites in the blood. The result revealed that intervention during malaria infection should focus on minimizing merozoite invasion rate on healthy erythrocytes and the density of merozoites in circulation.