The stock of credit to the Mozambican economy grew by 1% over 12 months, reaching a new high in September at approximately 292.4 billion meticais (USD 4.6 billion), according to data released by the Bank of Mozambique (BdM).
The BdM’s statistical report shows that the September figure compares with 289.5 billion meticais (USD 4.5 billion) recorded in the same month of 2024, approaching the previous peak of 292.8 billion meticais (over USD 4.6 billion) reached in May this year.
Household credit continued to lead, rising in September compared to August, to 101.1 billion meticais (USD 1.6 billion), reflecting the persistent demand for financing among Mozambican families.
The transport and communications sector followed, although credit to this segment declined to 24.9 billion meticais (USD 437 million). Manufacturing registered 21.7 billion meticais (USD 340 million), while credit to the commerce sector surged to 24.8 billion meticais (USD 390 million).
The Mozambican Banking Association (AMB) announced that the benchmark interest rate for credit will drop by 0.20% in December, to 15.80%, following successive cuts since January 2024, when the prime rate stood at a record 24.1%.
According to BdM Governor Rogério Zandamela, “this modest reduction reflects rising risks and uncertainties associated with inflation projections, particularly delays in the government’s payment of domestic public debt instruments. Inflation is expected to remain in single digits in the medium term.”
The MIMO monetary policy rate, which influences the prime rate, has been cut 11 consecutive times since January 2024, reaching 9.75% in September and 9.8% in November, despite BdM’s concerns over delays in public debt payments.
Zandamela also warned that “domestic public debt continues to worsen,” affecting the normal functioning of the financial market, stressing the need for measures to stabilise the economy and control inflation.
The BdM Monetary Policy Committee (CPMO) meets every two months, with the next meeting scheduled for 28 January 2026, when new monetary policy measures and the evolution of credit to the Mozambican economy will be assessed.
