The International Monetary Fund (IMF) has approved $456 million for Mozambique, seeking to support the latter’s economic recovery.
IMF says that as part of the three-year Extended Credit Facility Arrangement, Mozambique will be entitled to $91 million for immediate disbursement.
The facility will also help Mozambique fund policies to reduce public debt and financing vulnerabilities, creating space for priority investments in human capital, climate adaptation and infrastructure.
The arrangement will also support the country’s quest to establishing a sovereign wealth fund to transparently manage liquefied natural gas (LNG) wealth, mobilizing additional tax revenue, and strengthening public financial management and governance.
LNG projects are set to begin production later in 2022.