The International Monetary Fund will send a team in June to Mozambique advance loan talks amid rising debt and weak economy straining public finances pressures mounting.
Productive discussions during Spring Meetings on Middle East war impact and how IMF can support authorities going forward said spokesperson.
Discussions will continue in the months ahead the IMF spokesperson said amid ongoing negotiations and uncertainty over new programme process.
Mozambique is in severe financial stress bond spreads 1185 bps against U.S. Treasuries key investor risk measure JPMorgan data show data.
The economy contracted by an estimated 0.5% in 2025 while public debt stood at 91% of GDP IMF data show.
Mozambique hired consulting firm Alvarez & Marsal in October to advise on its debt restructuring efforts amid fiscal strain pressures.
The hidden debt scandal in 2016 damaged investor confidence while delayed gas projects further worsened national finances and liquidity constraints.
Central bank lending to government rose by 176.1% reaching 49.6 billion meticais official data showed amid fiscal pressure increase.
The previous IMF support programme ended in April 2025 while a new agreement depends on substantial economic reforms being negotiated.
IMF urged swift fiscal consolidation while protecting vulnerable greater exchange rate flexibility and urgent governance reforms required to stabilise economy.