The World Bank announced plans to mobilize up to $6 billion in financing for Mozambique over the next five years, aiming to strengthen macroeconomic stability, support public investment, and accelerate economic recovery.
Fily Sissoko, World Bank Director for Mozambique, revealed the initiative during a press briefing, noting that nearly $3 billion has already been secured, with the remaining $3 billion expected through grants and concessional loans. The program is designed to support the country’s fiscal balance and development priorities amid structural financial constraints.
Mozambique continues to face a fragile macroeconomic environment, with high public debt, limited access to external financing, and significant vulnerability to climate shocks such as cyclones and floods that disrupt infrastructure and economic activity.
The International Monetary Fund (IMF) estimated public sector debt at around 90% of GDP in 2025, with nearly 60% held by external creditors. The IMF highlighted that “despite some positive developments — notably low inflation, adequate foreign exchange reserves, the resumption of a major LNG project, and removal from the Financial Action Task Force (FATF) grey list — challenges remain considerable.”
Alongside public sector financing, the World Bank Group plans to mobilize nearly $4 billion for the private sector to stimulate productive investment and job creation. The IMF forecasts economic growth of 3.5% in 2026, following a 2.5% expansion in 2025, signaling a gradual recovery dependent on large-scale investment projects and improved macroeconomic management.
