The Balance of the Economic and Social Plan and State Budget (BdPESOE) for 2024 indicates that Mozambique's public debt will reach one trillion meticais in 2024, representing an increase of eight percent compared to 2023, when it was valued at around 967.2 billion meticais.

The increase is justified exclusively by the high growth in domestic public debt, which in the period in question was 29.7%. It reached 407.0 billion meticais. In the same period, external debt fell by 2.9%.

The accelerated growth of public debt, mostly domestic debt, is partly the result of political, economic and social instability and the lack of effective implementation of measures aimed at fiscal consolidation.

Although the domestic debt represents 39% of the total debt in 2024, the costs associated with it continue to be the most onerous, at around 45.6 billion meticais compared to 11.3 billion meticais for the external debt. Domestic debt charges represent an obstacle to achieving public debt sustainability. (CIP)