The Bank of Mozambique (BdM) announced this Friday, November 7, that work is underway to operationalize the management of the Sovereign Wealth Fund of Mozambique (FSM), which will be financed by part of the revenues from liquefied natural gas (LNG) production.
Speaking at the 50th Consultative Council of the central bank, held in Pemba, Cabo Delgado, in northern Mozambique, the Governor of the Bank of Mozambique, Rogério Zandamela, explained that all necessary steps have been completed, with the institution now awaiting the signing of the agreement with the government.
“We have already started the operational preparation for the management of the Sovereign Wealth Fund of Mozambique, awaiting only the signing of the Management Agreement with the Ministry of Finance in the coming weeks,” reiterated Zandamela, quoted by Lusa.
Recently, the government announced it had completed the final stage that will allow the FSM to become operational — an instrument designed to ensure transparent and sustainable management of revenues from natural resources, particularly natural gas.
The Minister of Finance, Carla Loveira, stated that “all instruments required for the full operationalization of the Fund are ready,” with only the signing of the management agreement between the Public Treasury and the Bank of Mozambique pending, which is expected to take place in the coming weeks. According to the minister, this signing will mark the beginning of the Fund’s effective capitalization, “based on the principles established in its Investment Policy,” allowing Mozambique to begin systematically accumulating and managing revenues from gas exploration.
In August, the Ministry of Finance reported that, as of June this year, $210 million (13.2 billion meticais) had been collected in oil and natural gas exploration revenues, which were then allocated to the new Sovereign Wealth Fund of Mozambique, created and approved in 2023.
Data from the economic and social report on the execution of the State Budget from January to June indicate that these revenues include $164.6 million (10.4 billion meticais) from 2024 and $45.2 million (2.8 billion meticais) from the first half of 2025.
“The amounts were deposited in a transitional account held at the Bank of Mozambique, in accordance with Article 6 of Law No. 1/2024 of January 9, which establishes the Sovereign Wealth Fund of Mozambique,” the document detailed.
Parliament approved the creation of the Fund on December 15, 2023, establishing that it will be financed by revenues from natural gas exploration, which, by the 2040s, could reach 379 billion meticais ($6 billion) per year. Last year, the government finalized all the necessary instruments for the Fund’s operationalization.
Source: Diário Económico
