The economy is dominated by the tourism sector. However, recognising the threat posed by inbound cases of the virus, the government gradually closed its border to incoming tourists from the worst-affected countries and finally stopped issuing visas on arrival for all nationalities on March 27th. The suspension of tourism activity has hit the economy hard, and the government announced a fiscal stimulus package worth Rf2.5bn (US$170m) to provide some relief to businesses. As the government steps up spending to deal with the public health emergency, the budget deficit will widen and public debt will rise further in 2020. As the health crisis ebbs, Mr Solih's administration will tackle the corruption and human rights abuses that spread under the previous administration. He will also seek to reform the judiciary, to improve its professionalism and to reduce its tendency to intervene in the county's political struggles. Nevertheless, we believe that the speed and scale of change may disappoint, particularly on the issue of corruption.