Members of the cabinet met at presidential Chikoko Bay residence for a review of progress on government's economic recovery plans, Minister of Information and Civic Education Moses Kunkuyu has.

He said the cabinet meeting was a follow up on a stakeholders' workshop held in Mangochi district earlier on, aimed at enhancing the recovery of the Malawi economy, especially looking at progress in the sectors of agriculture, industry and trade, energy and mining, tourism, information communication technology (ICT) and transport.

"The cabinet looked at progress made since the first workshop. The idea was to map the way forward so that we can begin to see tangible results in the next 18 months," Kunkuyu said.

He said ministers from the six areas had the opportunity to present the strategies they have laid down to help achieve enhanced recovery of the currently ailing national economy, amid lack of donor support to the national budget.

However, one local analyst, who opted not to be named, observed that the cabinet meeting came only three days after a second increase in fuel prices.

"It's clear panic. The government is admitting that things have changed course. The feeling must have been that donors were going to support the budget instantly, but they have to take the reality on the ground now.

"The government officials are now getting angry because they feel cheated. Politically, this can be costly to them," the analyst said.

The commentator, an academic, said the trouble for Banda started when she also devalued the kwacha, saying there was a miscalculation.

Meanwhile, Germany has said it will not release budget support because of lack of proper accounting system in the government.

British High Commission said Britain is indeed yet to commit herself to resuming general budget support to Malawi.

"The former Secretary of State for International Development, Andrew Mitchell, has committed to reviewing the UK's position on general budget support before the end of the year.

"We are in regular dialogue with the Government on this," said British High Commission Political Affairs officer Lewis Kulisewa in an interview end last week.