The trade union representation of Mozambican business proposes the creation of a fund to protect price stability in the domestic market from the impact of shocks to the economy, especially external ones.

"And one of the biggest external shocks is the rise in the price of a barrel of oil, which leads to higher fuel prices on the domestic market, and higher prices," he said.

Speaking today in Maputo, on the occasion of the Economic Briefing 2023, the President of the Economic Associations, Agostinho Vuma, said that the fragile Mozambican economy needs fiscal cushions.

"We need to look at a sustainable mechanism that doesn't burden the budget and that is based on an approach of sharing sacrifices. We therefore propose a measure to stabilize prices through a Fuel Stabilization Fund, which seeks to neutralize the impact of shocks," he said.

During the presentation of the Business Robustness Index for the third quarter, he explained that the Fuel Price Stabilization Fund would be financed through taxes or levies on the extraordinary profits of some sectors, "as well as with a contribution from the Bank of Mozambique, through its profits".