Haiti faces a multidimensional crisis with a challenging outlook which is highly uncertain. The
country is affected by both global and country-specific shocks, which have worsened its
fragility, since the negotiation of the SMP. Risks to the outlook are tilted to the downside and
include worsening insecurity that would constrain further activity and the ability to implement
reforms and attract aid and the foreign direct investment. The supply-side shock caused by
the security crisis will continue to suppress growth and feed inflation unless the security
outlook improves. Therefore, restoration of security is the priority.