“A series of negative shocks are adversely affecting Burundi’s economy. Headline inflation reached 25 percent in March owing to one-off increases in rents and utility tariffs and continued high food and fuel prices. Budget support from development partners has declined, limiting the government’s ability to maintain public spending levels. Revenue performance has been disappointing, and economic growth is likely to reach only 4.2 percent in 2012, significantly lower than originally expected. The uncertainty in the external environment owing to weaker growth in trading partners, lower aid flows, and high oil and food prices add downside risks to the economic outlook.”
-Statement released at the close of the IMF’s latest mission to Burundi.