Mozambican economy may grow by seven per cent – says Finance Minister

The Mozambican economy, boosted by the liquefied natural gas (LNG) projects, may grow by seven per cent for the first time in eight years, according to the Minister of Economy and Finance, Max Tonela.

Cited in Wednesday’s issue of the Maputo daily “Notícias”, Tonela revised the initial growth forecast for this year from five to seven per cent.

He claimed that, without the LNG projects, economic growth should reach 4.2 per cent, one per cent above the projection forecast in 2022.

These numbers, he said, show that the economy is recovering positively. Tonela believed that, in the short term, it will continue to grow at an average of five to seven per cent a year.

According to Tonela, it is expected that the Gross Domestic Product (GDP) will grow supported by various sectors, including agriculture, the extractive industry, the hotel business, and transport and communications. However, the investment in LNG projects will play a fundamental role for economic growth.

The Minister claimed that inflation is under control. He was optimistic that annual inflation will not exceed eight per cent this year, compared with 10.3 per cent in 2022.

“A stable exchange rate and falling prices on the international market, especially for fuel, may contribute to the positive tendency of the economy”, he said.

(AIM)

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