Mozambique: International reserves fall to one-year low

Login

Register

http://www.clubofmozambique.com/

Mozambique: International reserves fall to one-year low

12:35 CAT | 22 Apr 2025

File photo: Lusa

Mozambican Net International Reserves (NIR) fell again in February, to US$3.593 billion (€3.164 billion), the lowest value in about a year, according to data from the central bank compiled today by Lusa.

According to a statistical report from the Bank of Mozambique, reserves – in foreign currency – had reached their previous low in June 2024, when they fell to US$3.647 billion (€3.211 billion), and before that in December 2023, to US$3.543 billion (€3.120 billion).

Between December and February alone, these reserves fell by almost 4%, compared to US$3.74 billion (EUR 3.29 billion) at the end of 2024.

In February, the amount of international reserves covered 3.3 months of estimated import needs.

These reserves, which guarantee payment abroad for goods and services by companies, had grown in January 2024 to almost US$3.601 billion (€3.17 billion), which was then the highest value since September 2021, and in July they reached US$3.807 billion (€3.552 billion), a three-year high.

The governor of the Bank of Mozambique said on November 8 that the country’s foreign currency reserves are comfortable, but are not “to burn down”, despite constant allegations from businesspeople about the lack of foreign currency in the market.

“We are not going to burn reserves and we are not burning reserves. They are still there to allow the normal functioning of our country and our institutions,” Rogério Zandamela stated.

Source: Lusa