Mozambique 'to register 6.5 per cent growth'
Mozambique's Finance Minister Manuel Chang (left) speaks with International Monetary Fund managing director Christine Lagarde in the concluding round table at the Africa Rising Conference at the Chiasson Conference Center in Maputo, Mozambique on May 30, 2014. PHOTO | STEPHEN JAFFE | AFP
What you need to know:
- Report co-published by African Development Bank, United Nations and Organisation for Economic Cooperation and Development.
MAPUTO, Wednesday
The Mozambican economy will grow by 6.5 per cent this year despite a raging political crisis, the African Economic Outlook reports.
The document, co-published by the African Development Bank (AfDB), the United Nations and the Organisation for Economic Cooperation and Development says it is important to improve the quality of the country’s economic management.
Zambia’s capital Lusaka is hosting the AfDB annual meeting.
According to the report, the main challenge to the southern African country’s economy is to guarantee debt sustainability.
The International Monetary Fund (IMF) said Mozambique’s economy recorded a fluctuating index in 2015, and attributed that to political instability.
Last month, the British Government suspended financial aid to Mozambique over a “serious breach of trust”, relating to undisclosed debts.
The announcement followed similar action by the IMF and the World Bank.
The IMF said in a statement last month that Mozambican authorities admitted failure to disclose external debt in excess of $1 billion (Sh100 billion).
Early this month, the United States said it was considering suspending financial assistance to southern African country.
