Republic of Mozambique: Staff Report for the 2013 Article IV Consultation, Sixth Review Under the Policy Support Instrument, Request for a Three-Year Policy Support Instrument and Cancellation of Current Policy Support Instrument
Volume/Issue:
Volume 2013
Issue 200
Publication date: July 2013
ISBN: 9781475573855
$18.00
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Banks and Banking , Exports and Imports , Economics- Macroeconomics , Money and Monetary Policy , Public Finance , Taxation - General , ISCR , CR , authority , IMF's framework , fiscal policy , government debt market , Mozambican authorities , priority spending , transmission mechanism , natural resource wealth , fiscal policy stance , Mozambican authority , Debt sustainability analysis , Global , Southern Africa , Africa , East Africa
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Summary
The staff report for the 2013 Article IV Consultation for the Republic of Mozambique focuses on the development agenda and appropriate policy priorities to successfully transition to a resource-rich era. These priorities include skillful medium-term management of the impact of developing coal and gas resources, high public investment spending on growth, external competitiveness, and through increased commercial borrowing, on debt sustainability and investment planning. Mozambique has a high rate of public investment of which more than half is financed domestically. The authorities are working to strengthen their project selection and economic profitability analysis capacity, and to assess the impact of related borrowing on public debt.
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