Republic of Mozambique

In: IMF Staff Country Reports v.Country Report No. 15/12

Abstract

Context and policy challenges. Mozambique's macroeconomic performance remainsrobust, with strong growth and low inflation. In spite of the heightened risks from anuncertain global outlook, growth is expected to be broad-based in the medium termand boosted by the natural resource boom and infrastructure investment.Short-term policy framework. The main short-term challenge is to maintain thegrowth momentum while preserving fiscal and debt sustainability. The 2014 fiscal stanceis expansionary, and fiscal consolidation needs to be initiated in the 2015 budget torestore prudent fiscal management. W