Business bosses want interest rates at commercial banks reduced to below 10% – Mozambique

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Business bosses want interest rates at commercial banks reduced to below 10% – Mozambique

11:02 CAT | 12 Sep 2018

Photo: O País

Mozambican entrepreneurs are pressing for a reduction in commercial bank interest rates to below 10%.

Presenting his findings during an economic briefing on the country’s financial sector performance and macroeconomic outlook, President of the Confederation of Economic Associations of Mozambique, Agostinho Vuma said it was impossible to do business with interest rates at their current 20% or thereabouts.

Vuma said this scenario was slashing business development and jeopardising the business environment, and interest rates should in fact be even lower, meaning preferably in single digits.

“The private sector wants public finances to become more stable, in order to liven up our economy and enable the allocation of the available financial to the business sector,” Vuma said.

The president of CTA highlighted the recovery of the country’s economic indicators, but not as the expense of neglecting some negative points.

“We cannot be competitive and put our products on sale or even produce with macroeconomic instability,” he added.

By Edson Arante

Source: O País