The governor of the Bank of Mozambique, Rogério Zandamela, believes that the country has accumulated a "high" public debt without having saved "enough" to deal with the impacts of the crises and to implement reforms.

Zandamela, who was speaking on Wednesday at the Polytechnic University in Maputo, at the inaugural lecture of the PhD program in Development Studies, on the theme "The Challenges of Monetary Policy in a Context of Crisis Management", said that "the chronic and structural deficits that characterize the Mozambican economy make the management of monetary policy even more challenging, in a context in which the country has accumulated a large debt and at the same time has not saved enough to cushion the impact of shocks, which are increasingly frequent and intense".

Quoted by Lusa, the governor of the central bank added that Mozambique "is implementing reforms with little funding", namely the application of the Single Salary Table (TSU), which has been strongly criticized by various sectors of the civil service.

"The ability to implement reforms in a sustainable way depends on abundant resources to sustain this growth," said Zandamela, adding that "people keep asking us when such reforms are coming and they are already tired. With money, the benefits would be easily visible".

The International Monetary Fund (IMF) said on July 14 that the Mozambican government should "reduce the wage bill" to the level of countries in the region, so that it can invest in priority areas, such as combating food insecurity and poverty.

"On the expenditure side, reducing the wage bill in line with regional peers will help create fiscal space for priority spending. Further strengthening the social safety net remains important to address food insecurity and high poverty," said the Fund's deputy executive director, Bo Li, quoted in the communiqué on the final approval of the review of the Extended Credit Facility (ECF) for Mozambique.

The announcement of the IMF's approval of this revision of the ECF was made on July 6, guaranteeing a disbursement of 60.6 million dollars to Mozambique, and then confirmed in the institution's communiqué.