The business performance in Mozambique in the second quarter of the current year registered an improvement compared to the first quarter, although below expectations.
This is the conclusion of the Confederation of Business Associations of Mozambique (CTA), after an assessment of business activity in the country.
In its assessment, CTA suggests that macroeconomic indicators, which are fundamental to the business environment, showed a trend of slight improvement in the period in reference to the first quarter, and the Macroeconomic Environment Index recovered about one percentage point, from 49 to 50 percent.
“This situation is founded on the dynamics of economic activity supported by agriculture and agricultural marketing, along with exchange rate stability. However, the trend of rising prices continued this quarter, with inflation rising from 6.13 to 6.82 percent, basically reflecting the process of passing on the increase in international fuel and food prices to the domestic market,” CTA explains in a report on the assessment of business performance recently released in its eighth edition.
In a comparative analysis of business performance at provincial level, the report points out that Sofala and Nampula provinces have seen significant improvements, moving into the top five in business performance.
In terms of employment trends, it noted that between the first and second quarters of 2022, the Employment Trends Index (ETI) registered a slight improvement of 1.59 points, from 115 to 116.56. According to the CTA report, this trend in the ITE signals increased chances of obtaining employment in Mozambique in the second quarter of 2022 compared to the previous quarter.