What You Need to Know
The Mozambican government has confirmed that there are sufficient stocks of liquid fuels for the next 30 days, with no expected price changes. Secretary of the Treasury Amílcar Tivane stated that measures have been implemented to release fuel held at ocean terminals, ensuring market stability. However, he warned that prices may rise after April due to international market conditions.
Africa-Press – Mozambique. The Government assured on Tuesday (31) that there are sufficient stocks of various liquid fuels for the next 30 days without any price changes, adding that the disruptions observed were entirely unnecessary.
“The market has sufficient fuel stocks to meet consumption needs for another month. There are orders expected to arrive between 14 and 16 April that will increase market capacity,” said the Secretary of the Treasury and Budget, Amílcar Tivane.
To ensure stock levels, measures were taken to release 85,000 metric tonnes of various fuels that, until 10 March, were held at ocean terminals awaiting bank guarantees, Tivane explained, speaking to journalists at the end of the Council of Ministers session.
“It was possible to secure the clearance of these fuels from the ocean terminals to storage facilities. The fuel was linked to a bank guarantee of US$72 million, which has been reduced to US$12 million,” Tivane detailed.
In addition, between 26 and 30 March, Mozambique received further fuel shipments, Tivane confirmed, and therefore, in his view, the situation recorded on Friday, of an apparent fuel shortage, was entirely “unnecessary”.
The Secretary of the Treasury and Budget also assured that the Government continues to work with all stakeholders to secure foreign currency so that companies importing and distributing fuel can pay for their orders. However, after April, the official said fuel prices are expected to increase, as future orders will reflect current high prices on the international market.
“If justified from an economic and financial standpoint, there will be a need to adjust the domestic fuel price structure. Nevertheless, the Government will do everything possible to ensure that the Mozambican economy continues to function without harming the most vulnerable groups,” Tivane said.
To mitigate the impact of rising fuel prices, the Government is considering activating the Stabilisation Fund, which currently holds 390 million meticais, equivalent to US$6 million.
Mozambique has faced challenges in fuel supply and pricing due to fluctuations in the international market and local economic conditions. The government has historically intervened to stabilize fuel prices and ensure availability, particularly during periods of perceived shortages. The establishment of a Stabilisation Fund is one of the measures aimed at protecting vulnerable populations from the impacts of rising fuel costs. This approach reflects a broader strategy to maintain economic stability while addressing the needs of citizens.
