The representative of the International Monetary Fund (IMF) in Mozambique yesterday, Friday (12), called for a review of the tax incentives regime, as they reduce state revenues and the capacity for public investment.

According to Alexis Meyer-Cirkel, who was speaking on "Reflections on the socio-economic development of Mozambique" at the Faculty of Economics of the Eduardo Mondlane University (UEM), the Mozambican state is losing a lot of money due to tax exemptions that were adopted in a context of arbitrariness.

"It's not clear what their development strategy is; there's no guiding document that says this is the national strategy, or it's the industrial policy and that's how we classify and choose the tax breaks. It's important to remember that they are costly, especially in terms of lost revenue," explained Alexis Meyer Circle, quoted by the newspaper "The Country".

For the IMF representative, who has already left Mozambique, where he has been working for the last four years, the Mozambican state should collect from economic and business activity, reducing its capacity for public investment in essential infrastructure such as health and education.

"It's not a given that giving a tax incentive is enough for an investor to come and invest in the country," said the source.