
Analysis by Region - Emerging Markets - Malawi
Description
We forecast Malawi's real GDP growth to recover to 2.6% this year from 1.7% in 2024. The improved forecast is based on an improved outlook for rainfall compared with last year's severe drought and the expected reopening of a uranium mine in September. However, the economy continues to be plagued by high inflation, rising public debt (which constrains fiscal spending), and forex and fuel shortages. As a result, we have cut our 2025 economic growth projection from 3.5% previously.
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