Maputo, Mar. 6, 2026 (Lusa) - Mozambique's public debt rose by almost 5% in 2025 compared to the previous year, closing at 1.095 trillion meticais (€14.5 billion), according to data accessed by Lusa on Friday.
According to information from the Ministry of Finance on budget execution, this volume, which compares with 1.043 trillion meticais (€13.8 billion) on December 31, 2024, was divided at the end of 2025 into 621,284 million meticais (€8.25 billion) of external debt and 474,013 million meticais (€6.294 billion) of internal debt.
Domestic debt includes 95.665 billion meticais (€1.27 billion) in financing to the State by the Bank of Mozambique, compared to 66.565 billion meticais (€884 million) granted up to 31 December 2024, according to the history provided by the Ministry of Finance.
In debt servicing alone, the Mozambican State paid almost 53.345 billion meticais (€708.2 million) in 2025, representing 89.1% of the annual budget and a 19% decrease compared to 2024, according to the Ministry of Finance document.
Of this total, domestic interest amounted to 40,686.5 million meticais (€540.2 million), and interest on external financing also reached 12,516.2 million meticais (€166.2 million) last year.
The document also states that among the Mozambican state's operating expenses in 2025, debt charges accounted for 15.2% of the total.
In its recent regular assessment of Mozambique, completed this month, the International Monetary Fund again insisted on the “unsustainability” of Mozambique's public debt.
“Mozambique's external debt is assessed as having a high risk of insolvency, while its overall debt is assessed as being in a critical situation. The debt is currently considered unsustainable, mainly due to the political unfeasibility of a comprehensive adjustment that could potentially safeguard debt sustainability,” the IMF points out in its assessment.
It also acknowledges that “additional risks to the deterioration of the debt trajectory” include “contracting non-concessional debt on unfavourable terms” or possible further delays in the resumption of Liquefied Natural Gas (LNG) megaprojects.
The IMF believes that a “comprehensive and coordinated strategy” is needed to “reduce macroeconomic imbalances and help restore debt sustainability,” notably through “fiscal consolidation by containing payroll costs” and revenue-side measures.
“This is essential to restore stability, while creating fiscal space for development and safety nets for the most vulnerable. Voluntary market-based liability management may also be necessary to address severe short-term financing pressures,” the IMF argues in the same report.
PVJ/ADB // ADB.
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