IMF insists on international audit of Mozambique’s public debt

31 August 2016

It is essential to conduct an audit of Mozambique’s public debt in order for the country to regain investors’ confidence, said the International Monetary Fund (IMF) representative in remarks on state-owned Radio Mozambique.

Alex Segura, who is preparing to leave office, restated it was fundamental to carry out this audit, regardless of the investigation that the Attorney General of the Republic of Mozambique is carrying out.

Segura also told the radio station that resumption of cooperation between the IMF and the government of Mozambique, which came to a halt after the State revealed previously undisclosed loans taken on by state companies, will depend on the results of an IMF mission to visit Mozambique in September.

The previous Mozambican government failed to disclose it had provided State guarantees for loans taken on by two public companies – Proindicus and Mozambique Asset Management – at the same time as it underwrote a loan of US$850 million contracted by Mozambican tuna company Ematum.

A new IMF mission is expected to arrive in Maputo on 22 September and its members will review recent economic developments and advise the Mozambican authorities on macroeconomic policy, according to information from the IMF. (macauhub/MZ)