Malawiremains a poor and predominantly rural country. It has little in natural resources and the economy is heavily reliant on a few sectors, especially agriculture, making it highly vulnerable to climatic fluctuations and external shocks. Its landlocked position means it depends on neighbours for the transit of vital imports.
Malawiis heavily dependent on international aid, although persistent corruption allegations led to the IMF and important bilateral donors suspending support for a period. Although most grants and loans have now resumed, they are yet to reach former levels, and the effects on Malawiin terms of rising inflation and a depreciating domestic currency are ongoing.
Malaw