Mozambique: Government hiding financial operations – NGO

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Mozambique: Government hiding financial operations – NGO

3:45 CAT | 13 Jul 2018

File photo: Lusa

Mozambique’s Centro de Integridade Pública (CIP), a civil society organisation, accused the government on Friday of hiding important financial operations, saying that this conduct has compromised the fiscal policy.

The CIP released and analysis today based on the recent declaration by the governor of the bank of Mozambique, Rogério Zandamela, who said that the public debt most often referred to by the government does not include other amounts of internal public debt such as borrowings and financial leasing or liabilities in arrears.

The organisation said the government had never provided the public with full information about delays in settling expenses.

“This lack of information harms the fiscal policy as it shows a situation that appears better than it really is”, he said.

Not including expenses in arrears makes a correct analysis of the situation impossible, so the government has to present these figures and the expected payment date.

The CIP said the government could take advantage of the opacity in fiscal enforcement to divert funds from social sectors to non-productive activities.