What You Need to Know
Mozambique has contracted Alvarez & Marsal to provide expert advice on managing its public debt, which has been a significant burden on public spending. The consulting firm will help implement the country’s 2025-2029 debt strategy, focusing on restructuring and improving the risk profile of the debt portfolio, aiming to restore investor confidence and enhance financial credibility.
Africa-Press – Mozambique. Mozambique said on Thursday it has hired France-based consulting firm Alvarez & Marsal to provide specialised advisory services for managing the country’s public debt, which has been putting pressure on public spending.
Mozambique’s debt problems date back to a 2016 hidden-debt scandal, which wrecked investor confidence and curbed access to funding. Delays to major gas projects that had been expected to boost exports, revenue and government finances have made matters worse.
Alvarez & Marsal aims to implement Mozambique’s 2025-2029 public debt strategy, assisting with debt restructuring, negotiations with creditors, and improving the debt portfolio’s risk profile, the Ministry of Finance said in a statement.
The statement said this will bolster the Southern African country’s credibility with international financial markets and enhance the ministry’s institutional capacity for sustainable debt management.
In October last year, Mozambique’s cabinet authorised the firm to assist with the country’s debt problems.
Public debt rose 6.8% in 2025 to 474.0 billion meticais ($7.49 billion).
Mozambique’s debt crisis began with a hidden-debt scandal in 2016, which severely damaged investor trust and limited access to funding. The situation was exacerbated by delays in major gas projects that were anticipated to significantly boost the country’s economy. The government’s efforts to manage this crisis have included seeking external expertise to navigate the complexities of public debt and restore fiscal stability. Alvarez & Marsal’s involvement is part of a broader strategy to improve the country’s financial management and re-establish its standing in international markets.
