Malawi ratings affirmed with stable outlook - Fitch

MUMBAI (Thomson Financial) - Fitch Ratings affirmed The Republic of Malawi's ratings, saying the country is entering its third consecutive year of strong growth and continues to reduce domestic debt and reform public finances.

The agency noted that the economy grew strongly in 2006 and 2007, as maize production benefited from benign weather and the government's large-scale fertiliser subsidy.

'The economy is expected to grow by 7 pct in 2008. Confidence is improving outside the agricultural sector and growth is set to outperform its recent average,' it added.

The African nation's long-term foreign and local currency issuer default ratings (IDR) were affirmed at 'B-' with a stable outlook. Fitch also affirmed Malawi's country ceiling at 'B-' and the short-term foreign currency IDR at 'B'.