In the third quarter of 2024, Mozambique recorded a 44.7% increase in the flow of Foreign Direct Investment (FDI), totaling 2.7 billion dollars compared to the same period in 2023..

According to the data contained in the quarterly Balance of Payments (BoP) bulletin released last Friday (21) by the Bank of Mozambique (BdM), to which the MZNews had access to, this evolution was influenced by the increase in investments in the extractive industry, especially in Major Projects (GP) at 40.9%.

In terms of sector distribution, the BoM report indicates that the extractive industry maintained its position as the largest recipient of investment flows, with a total of 2.4 billion dollars, highlighting that "around 1.7 billion, which represents 75,4% of these resources were absorbed by the oil and gas sector, which in annual terms increased by 58.6%, while the coal mining subsector recorded an annual increase of 11.2%, totaling 545.3 million, equivalent to a weight of 22.3%".

According to the central bank, the manufacturing industry, which recorded an inflow of 93.9 million dollars, equivalent to 3.4% of total FDI, as well as the electricity, gas and water production and distribution industry, with 86.3 million, equivalent to 3.1%, of total FDI, contributed to the growth in FDI.

Breaking down FDI by instrument, it can be seen that the resources mobilized for investment in the form of "Other Capital" recorded an annual increase of 39.7%, totaling 2.4 billion dollars, remaining the main form of FDI in Mozambique. "This investment flow was achieved through an increase in supplies and commercial credits, both by the GPs and by other companies, with more than 1,00%, respectively," points out the BdM report.

South Africa, Mauritius and the Netherlands were the main FDI partners in Mozambique, with 778 million dollars, 735.5 million and 725 million, respectively. Italy followed with 304.1 million dollars as one of the main countries of origin of FDI flows into Mozambique.

(Photo DR)