Mozambique's external debt service increased significantly in the third quarter of 2024, with net payments totaling one billion dollars.

The data is contained in the quarterly Balance of Payments (BoP) bulletin, published by the Bank of Mozambique (BdM), to which the MZNews had access to, pointing out that this result represents an increase of 26.3% compared to the same period in 2023.

"The central government was responsible for a substantial part of the increase, with a 43.3% growth in external debt payments, totaling 769.9 million dollars," the document states.

According to the central bank, this increase is largely due to the greater mobilization of resources through bilateral and multilateral agreements.

In addition, China, as the main bilateral creditor, played an important role in the increase in foreign debt, with the central government earmarking 213.3 million dollars to pay off its liabilities.

Overall, with regard to new loan contracts, the report points out that Mozambique reduced its external debt disbursements in the period in question, with a total of 444.7 million dollars, a reduction of 17.8% when compared to the same period in 2023.

(Photo DR)