Mozambique: Govt expects 40% increase in foreign direct investment this year

Login

Register

http://www.clubofmozambique.com/

Mozambique: Govt expects 40% increase in foreign direct investment this year

12:14 CAT | 05 May 2025

File photo: Lusa

Mozambique’s government expects growth of more than 40% in Foreign Direct Investment (FDI) in the country this year, equivalent to €4.487 billion, according to the budget proposal which Lusa saw on Monday.

According to the proposed Economic and Social Plan and State Budget (PESOE) for 2025, to be analysed today by the specialised committees of the Assembly of the Republic in Maputo starting today, this expected growth will be “influenced by the implementation of structural [natural gas] projects in the Rovuma Basin” in Cabo Delgado, which include the resumption of construction of the TotalEnergies unit and the second Eni platform.

“A growth trajectory of US$5,071 million is expected by 2025,” the document states, regarding the forecast for attracting foreign investment in the country, a growth of almost 43% compared to that achieved in 2024.

FDI in Mozambique had already grown 41.5% in 2024, compared to the previous year, to almost US$3,553 million (€3,143 million), according to data from the central bank compiled by Lusa.

According to a statistical report from the central bank, however, this growth in 2024, compared to US$2,509 million (€2,220 million) in 2023 and US$2,458 million (€2,175 million) in 2022, is still far from the maximum of US$5,101 million (€4,513 million) in FDI in 2021.

Previously, FDI in Mozambique had grown by 2% in 2023, compared to the previous year.

The Mozambican government had previously estimated that FDI in the country should double in 2024, driven by natural gas exploration deals.

In the supporting documents for the PESOE for 2024, the government had predicted FDI growth to US$4,778 million (€4,227 million), an amount that it did not reach.

In 2023, in the latest complete annual data available, the Large Projects category alone – essentially mining and natural gas – secured US$2,087 million (€1,846 million) in FDI, in the form of capital. FDI performance in 2023 was above the government’s projection, which for that year was US$1,425 million (€1,260 million).

Source: Lusa