The new tourism law approved by the Council of Ministers obliges tourist resorts to accept the Metical as payment for their services.

The proposal comes as a result of the denial of the national currency in tourist establishments, especially those close to beaches and border crossings, says News.

The establishments prefer the South African Rand or the US Dollar, and according to the Deputy Director of Tourism, Gisela Malauene, they are not inhibited from continuing to accept foreign currency "but at no time should they refuse the Metical for payments in Mozambique".

Another measure is that income from resorts and the like should be collected through accounts domiciled in banks operating in Mozambican territory.

The idea is to curb capital flight, and according to Gisela Malauene, there is joint work being carried out with the Tax Authority and the Bank of Mozambique to ensure the repatriation of foreign currency out of the country.

The new legislation also includes the decree approving the regulations for Travel Agencies and Tourist Information Professionals.