Malawi annual inflation rate rose to 28.8% in April from 27% in March, mainly driven by a 37.9% YoY increase in food prices, with non-food inflation rising by 18.5%. In April, the central bank hiked its key interest rate by 400 bps to 22% in response to these inflationary pressures. Additionally, the bank forecasts a slowdown in the 2023 economic growth due to the aftermath of a tropical cyclone, drought, limited fertilizer access, sustained power outages, and a shortage of foreign currency.