The near-term growth and inflation outlook remains generally favorable, but the fiscal balance and external position have deteriorated substantially. Adjustment from high dependency on oil revenue and large infrastructure and social development needs pose a significant challenge to a fragile state with weak institutional capacity. Rapid frontloading of public investment risks substantial waste of resources through investment inefficiency. This underscores the need to shift away from frontloading of capital spending, improve public investment management system and ensure sufficient social and economic returns from such investment to safeguard fiscal sustainability.