The World Bank has pledged $6 billion in mostly concessional financing to Mozambique over the next five years to support public investment projects, aiming to strengthen economic recovery amid mounting fiscal pressures.
Fily Sissoko, World Bank division director for Mozambique, said the funding includes roughly $3 billion from the Bank itself, with hopes of mobilizing another $3 billion. Additional private sector financing of up to $4 billion is also being targeted to bolster development initiatives.
The concessional financing, largely in the form of grants, will support Mozambique’s government in implementing its development strategy while addressing fiscal constraints highlighted by the International Monetary Fund over rising debt concerns.
Finance Minister Carla Louveira emphasized that the partnership framework focuses on macro-fiscal consolidation to ensure sustainable economic recovery. The move comes as Mozambique also grapples with recurring climate shocks, including cyclones and floods, and looks to resume major LNG operations by TotalEnergies.
