What You Need to Know
The Confederation of Business Associations (CTA) in Mozambique has urged the government to prioritize the payment of its domestic debts. Following the full repayment of its debt to the IMF, the CTA emphasizes the need for sustainable economic development and the importance of policies that stimulate national production and private investment.
Africa-Press – Mozambique. Mozambique’s Confederation of Business Associations (CTA) has called on the government to pay its domestic debts, after it fully paid last March its outstanding debt of 515.04 million Special Drawing Rights (equivalent to 630.1 million US dollars) to the International Monetary Fund (IMF).
According to “Total IMF Credit Outstanding Movement (from 1 March 2026 to 31 March 2026)”, Mozambique is the only country in this situation among 85 countries listed.
In a statement, the CTA called on the government to pay attention to its large domestic debts.
“The CTA is fully available to continue working closely with the government and other national and international partners in identifying and implementing solutions that promote sustainable and inclusive economic development. However, the government must pay its domestic debts, especially those with private entities”, reads the CTA note.
The organization believes that, in the current context of extreme poverty, the country should reinforce the importance of deepening ongoing reforms, focusing on boosting the real economy and creating sustainable opportunities for citizens.
“The challenge is to ensure that this effort is complemented by policies that stimulate national production, private investment, and the competitiveness of the economy”, reads the document.
CTA also called on the government to consolidate a growth agenda based on trust, predictability, and cooperation among different economic actors.
“Mozambique has significant economic potential, the realization of which depends on the collective capacity to align policies, mobilize investments, and strengthen the role of the private sector as an engine of growth and job creation”, says the organization.
CTA also encouraged the continuation of efforts aimed at strengthening the business environment, with greater stability and regulatory predictability; facilitating access to financing and foreign exchange for the productive sector; and implementing balanced fiscal policies that stimulate investment.
“CTA advocates for the promotion of national production and exports; investment in infrastructure and human capital; and strengthening public-private dialogue as a pillar of effective policy formulation”, reads the note.
Mozambique has faced significant economic challenges, particularly in managing its debts. The country has been under scrutiny for its fiscal policies and the impact of its debt on economic growth. The CTA’s call for the government to address domestic debts comes at a time when Mozambique is striving to improve its economic landscape and attract investment. The emphasis on sustainable development reflects a broader trend in many developing nations, where balancing debt obligations with economic growth is crucial for long-term stability.
