ies (HIPC) program. The
government faces many challenges including developing a market
economy, improving educational facilities, facing up to
environmental problems, dealing with the rapidly growing problem of
HIV/AIDS, and satisfying foreign donors that fiscal discipline is
being tightened. In 2005, President MUTHARIKA championed an
anticorruption campaign. Since 2005 President MUTHARIKA'S government
has exhibited improved financial discipline under the guidance of
Finance Minister Goodall GONDWE and signed a three year Poverty
Reduction and Growth Facility worth $56 million with the IMF.
Improved relations with the IMF lead other international donors to
resume aid as well.

GDP (purchasing power parity):

$10.59 billion (2007 est.)

GDP (official exchange rate):

$3.538 billion (2007 est.)

GDP - real growth rate:

8% (2007 est.)

GDP - per capita (PPP):

$800 (2007 est.)

GDP - composition by sector:

agriculture: 37.8%
industry: 18.1%
services: 44.1% (2007 est.)

Labor force:

4.5 million (2001 est.)

Labor force - by occupation:

agriculture: 90%
industry and services: 10% (2003 est.)

Unemployment rate:

NA%

Population below poverty line:

53% (2004)

Household income or consumption by percentage share:

lowest 10%: 2.9%
highest 10%: 31.8% (2004)

Distribution of family income - Gini index:

39 (2004)

Investment (gross fixed):

8.4% of GDP (2007 est.)

Budget:

revenues: $1.128 billion
expenditures: $1.185 billion (2007 est.)

Fiscal year:

1 July - 30 June

Public debt:

50.6% of GDP (2007 est.)

Inflation rate (consumer prices):

7.9% (2007 est.)

Central bank discount rate:

15% (31 December 2007)

Commercial bank prime lending rate:

27.72% (31 December 2007)

Stock of money:

$361.5 million (31 December 2007)

Stock of quasi money:

$250.4 million (31 December 2007)

Stock of domestic credit:

$406.2 million (31 December 2007)

Agriculture - products:

tobacco, sugarcane, cotton, tea, corn, potatoes, cassava (tapioca),
sorghum, pulses, groundnuts, Macadamia nuts; cattle, goats

Industries:

tobacco, tea, sugar, sawmill products, cement, consumer goods

Industrial production growth rate:

4.4% (2007 est.)

Electricity - production:

1.13 billion kWh (2006 est.)

Electricity - consumption:

1.051 billion kWh (2006 est.)

Electricity - exports:

0 kWh (2007 est.)

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