Africa-Press – Mozambique. The Mozambican Confederation of Business Associations (CTA) has expressed its concern at the tension in the Middle East, following Iran’s drone attack on Israel in retaliation for the attack on Iran’s diplomatic facilities in Syria, and believes that the consequences could indirectly affect the country’s economy through energy markets.
According to the head of the CTA, Agostinho Vuma, who was speaking at the tenth Business Environment Monitoring Council, cited by the independent newsheet “Carta de Moçambique”, the crisis could affect the country because it is a net oil importer.
In this context, he said, the increase in oil prices could raise costs, putting pressure on the general rise in prices and potentially affecting the trade balance.
“We are certain that the decision at the next meeting of the Monetary Policy Committee of the Bank of Mozambique will be crucial and will depend heavily on the evolution of fuel prices and the global geopolitical situation, hence the relevance and imperative of this careful analysis to sustain business and economic activity in the country”, Vuma said.
Vuma said that he believes in the Central Bank’s ability to carefully monitor developments in the global energy market and adjust its monetary policy as necessary to balance economic growth with control over inflation.
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