Recent performance suggests further economic stabilization, but uncertainties remain related to the 2010 general elections. Real GDP growth is projected to increase to 3.3 percent in 2010, with average CPI inflation slowing to 2 percent. Recovery in external demand is slow, but improving export prices and higher current transfers will offset increasing imports to stabilize the current account balance. Fiscal performance in 2009 was broadly on track. The government continued its domestic revenue mobilization efforts, controlled spending, cleared arrears, and further reduced expensive domestic bank credit. Investment spending was constrained by implementation capacity[...]