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This is an increase of 7.6% in three months, corresponding to an extra 31.671 billion meticais ( €447 million), just in the issue of Treasury Bills, short-term domestic debt and advances from the central bank
Mozambique’s domestically issued public debt hit new highs in March, at 447.227 billion meticais (€6.315 billion), equivalent to 28.7% of Gross Domestic Product (GDP), according to central bank data consulted on Tuesday by Lusa.
According to the Bank of Mozambique’s most recent Economic Situation and Inflation Outlook Report, this domestic debt stock compares with a total of 415.556 billion meticais in December, equivalent to 29.5% of GDP (estimated for 2024).
This is an increase of 7.6% in three months, corresponding to an extra 31.671 billion meticais (€447 million), just in the issue of Treasury Bills, short-term domestic debt and advances from the central bank, while the stock of Treasury Bonds fell by 7.108 billion meticais (€100 million) in the last year, essentially because no new issues were made since December. The central bank’s advances to the state currently total 125.441 billion meticais (€1.769 billion), according to the same report.
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The Bank of Mozambique’s warning coincided with the decision, two days earlier, by financial rating agency Standard & Poor’s (S&P), which downgraded the country’s domestic public debt issues to Partial Default due to delays in payments to creditors and changes to a debt issue.
