Mozambique: Government strengthens dialogue with World Bank

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Mozambique: Government strengthens dialogue with World Bank

2:36 CAT | 14 Oct 2025

Photo: MzNews

Mozambique’s Minister of Finance, Carla Loveira, met World Bank Regional Director for Mozambique, Fily Sissoko, in Washington on Monday (13-10), on the sidelines of the annual meetings of the World Bank Group (WBG) and the International Monetary Fund (IMF), to discuss strategies for accelerating economic growth and strengthening the country’s macro-fiscal stability.

During the meeting, the parties reviewed priority issues for national development, with emphasis on creating economic and employment opportunities, attracting foreign direct investment, promoting development corridors, and boosting the value chains of agribusiness and tourism.

In her remarks, Carla Loveira acknowledged that the Mozambican economy was going through a challenging period, marked by contraction in productive sectors and structural pressures on public finances.

“We are facing a combination of factors that are affecting our economic performance, namely the limited capacity to collect revenue, the rapid growth of public expenditure – especially on wages and debt service – and the impact of external shocks,” Minister Loveira said.

According to the minister, this situation has increased the state’s financing needs and affected the delivery of basic public services, undermining human and social development indicators.

To reverse this scenario, the government was implementing structural reforms in the real, fiscal, and monetary sectors, within the framework of the Economic Reform and Growth Programme (PRECE), Loveira said, with the aim of revitalising the economy and restoring fiscal balance.

For his part, the World Bank Regional Director for Mozambique, Fily Sissoko, highlighted the institution’s commitment to strengthening cooperation with the Government and supporting the ongoing reforms.

“The review of the project portfolio with the government is essential to ensure good governance and a more favourable business environment. Our goal is to work side by side with Mozambique to consolidate a strong macro-fiscal framework and promote inclusive and resilient economic growth,” Sissoko explained.

The World Bank remains a strategic partner for Mozambique, with a portfolio that includes major projects in the areas of energy, infrastructure, agriculture, health, and education, aimed at strengthening the country’s economic and social foundation.

The 2025 Annual Meetings of the World Bank Group (WBG) and the International Monetary Fund (IMF) are taking place in person from Monday, October 13, through Saturday, October 18 in the IMF and World Bank Group headquarters, in Washington, D.C.

Source: AIM Moçambique