The growth forecasts for the Mozambican economy, according to Oxford Economics, have been reduced from 5.4% in 2023 to 3.7% in 2024.

The economic growth forecast for this year "will be sustained by the increase in foreign investment in infrastructure projects and the improvement in private consumption, following a less restrictive monetary policy".

This drop in estimates is due to the reduced impact of the increase in liquefied natural gas production from the Coral South FLNG project, as well as an increase in mining production. In addition, as quoted by Notícias, analysts warn that they have reduced their expectations for mining exports for the rest of the year, "due to the weakness of the Chinese economy".

The consultancy says that Gross Domestic Product (GDP) fell to 2% in the first quarter of the year compared to the same period last year.

However, during this period the growth of the Mozambican economy was 3.2%, below the four quarters of 2023, according to data from the National Statistics Institute on national accounts, released on July 11, writes the newspaper.

According to government forecasts, the national GDP should grow to 1,536 billion meticais this year, corresponding to 5.5%.