The Mozambican government has significantly increased its limit for issuing Treasury Bills for the upcoming year. A Ministry of Finance decree sets the 2025 issuance ceiling at 505 billion meticais, nearly double the 2024 limit. Over half of this amount, 345 billion meticais, is allocated for replacing existing debt, while 160 billion meticais is designated for handling the state's cash deficit.
This follows substantial treasury activity in the first three quarters of the year, where the state issued approximately 228.7 billion meticais in bills. The majority of this, nearly 199 billion meticais, was used for replacements, resulting in a net financing of just under 28 billion meticais for expenses after interest payments.
Finance Minister Carla Loveira has identified public debt sustainability as a primary economic challenge. She stated that reforms are being implemented to ensure sustainable debt management, including a new Public Debt Management Strategy for 2025-2029. Mozambique's total public debt stood at 1.068 trillion meticais at the end of the third quarter, with domestic debt comprising 41.6 percent of the total.
This follows substantial treasury activity in the first three quarters of the year, where the state issued approximately 228.7 billion meticais in bills. The majority of this, nearly 199 billion meticais, was used for replacements, resulting in a net financing of just under 28 billion meticais for expenses after interest payments.
Finance Minister Carla Loveira has identified public debt sustainability as a primary economic challenge. She stated that reforms are being implemented to ensure sustainable debt management, including a new Public Debt Management Strategy for 2025-2029. Mozambique's total public debt stood at 1.068 trillion meticais at the end of the third quarter, with domestic debt comprising 41.6 percent of the total.
