Malawi - First Review Under the Three-Year Arrangement Under the Poverty Reduction and Growth Facility, and Requests for Waiver of Performance Criteria, Extension and Rephasing of the Arrangement, and Additional Interim Assistance Under the Enhanced Initiat (Electronic book text)

1. Malaysia has been hit hard by the global downturn. The impact has been mostly through the trade channel but global financial market turbulence has also been felt. Exports have plunged, capital inflows have reversed, and local financial markets have experienced heightened volatility. The economy is now set to contract for the first time in ten years. Continued weakness in export demand and investor confidence weighs on the outlook.