Mozambique’s owners require international audit of public debt

13 June 2016

The confidence of international partners in Mozambique will only return after conducting an international audit of the country’s public debt, said Friday in Maputo the US ambassador in Mozambique.

At the end of an audience granted by the Mozambican President, Dean Pittman reiterated the words of the High Commissioner of the United Kingdom, Joanna Kuenssberg, who called for an international audit to ascertain the amount of loans taken on without informing the country’s parliament.

“The government has to seek to enhance its credibility with the international community,” the diplomat said noting that it was positive that the government had addressed parliament on Wednesday and Thursday to explain the hidden debt.

The IMF technical team is due to arrive in Maputo soon and will carry out an assessment of the macroeconomic impacts of the State guarantee granted on loans contracted by public companies in excess of US$1.4 billion.

The IMF mission was due to visit Mozambique in April to assess the Stand-by Arrangement, but this visit was eventually cancelled due to confirmation by the government of the existence of undisclosed debts. (macauhub/MZ)