Page 6 - THE 2024-25 MID-YEAR BUDGET REVIEW STATEMENT

generally subdued and uneven, although it is expected to

recover to 4.2 percent in 2025. Resource-intensive countries

continue to grow at about half the rate of the rest of the

region, with oil exporters struggling the most. Factors

dampening growth include conflict, insecurity, drought and

electricity shortages. In addition, both domestic and external

financing conditions continue to be tight, with many

countries unable to access or afford financing.

9. Furthermore, Madam Speaker, the Sub-Saharan region

continues to experience underlying socio-economic

pressures compounded by rapid increases in the cost of living

and the short-term effects of macroeconomic adjustments.

These are causing significant hardships in many countries. The

resulting social frustration and political pressures make it

increasingly challenging to implement reforms.

Macroeconomic Developments in Malawi

10. Madam Speaker, the global economic performance

highlighted above also reflects Malawi’s economic

6