IMF Discusses Fund-Support Arrangement with Mozambique

A team from the International Monetary Fund (IMF), led by Pablo Lopez Murphi, visited Mozambique from June 8 to June 12 to engage in discussions regarding a new fund-support arrangement. The IMF's staff team aimed to review recent economic developments and discuss plans with the Mozambican authorities to restore fiscal sustainability and address the country's debt challenges.

The IMF had reclassified Mozambique's debt as unsustainable in February, citing deteriorating public finances. The country's debt issues date back to a hidden debt scandal that began in 2016, which severely impacted investor confidence and limited access to funding.

The discussions were focused on exploring the best ways to support Mozambique moving forward.