Mozambique’s Macroeconomic Index remains at 50% in Q3: CTA

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Mozambique’s Macroeconomic Index remains at 50% in Q3: CTA

4:28 CAT | 04 Nov 2022

Photo: CTA

The Business Robustness Index, released by the Confederation of Economic Associations of Mozambique (CTA) on Wednesday, November 2, points out that the macroeconomic index remained at 50% in the third quarter.

READ: Mozambique: Business activity registers slight improvement in Q3

“The main factors that explain this trend have to do with greater economic dynamics and exchange rate stability, and there have also been some negative points, such as rising prices and rising interest rates,” CTA executive director Eduardo Sengo explained.

As for the Business Robustness Index by province, Eduardo Sengo pointed out that “Gaza recorded significant improvements in its performance compared to the second quarter”, stressing that “the factor that contributed the most was the greater business dynamism in view of the end of the constraints of the Covid-19, with emphasis on the Trade and Tourism sectors, and an increase in agricultural production due to improved weather conditions”.

“In general, the various economic sectors recorded an improvement in business performance in the third quarter of 2022,” Sengo continued, with “agriculture being ahead of the others due to the peak of agricultural marketing, which included marketing in the normal circuit, the holding of fairs of agricultural products and the start-up of large agricultural enterprises.”

“In the industry sector, there was an increase in sales due to the easing of restrictive measures and relative stabilisation of production costs,” the Business Robustness Index reveals.

“The transport sector, on the other hand, was affected with the rise in fuel costs and the updating of tariffs, with stabilisation, however, of maintenance costs,” the summary further indicates.

The hotel and tourism sector also merited a mention. It “saw an increase in turnover due to an increase in both private and state bookings, as well as an improvement in the occupancy rate of tourist establishments”.

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