Malawi economic monitor: strengthening human capital through nutrition

With Malawi’s economic growth recovering and single digit inflation, the Government has a key opportunity to rein in fiscal deficits and reduce domestic debt. If it can better control domestic debt levels, the Government could increasingly move towards creating the conditions for the private sector to increase investment, which can drive growth and job creation. To support this, the Government needs to develop a track record of achieving sustainable fiscal deficits in order to contain and reverse the escalating domestic debt burden, to contain interest rates and avoid crowding out private sector investment, and to increase public investment. Malawi’s economy is projected to grow by 4.4 percent in 2019, up from 3.5 percent in 2018.