Mozambique: Bank of Mozambique Holds Interest Rate At 9.25 Percent

What the report says

Mozambique’s Monetary Policy Committee, the Bank of Mozambique’s rate-setting body, kept the benchmark MIMO interest rate unchanged at 9.25 percent at a meeting in Maputo on Wednesday, according to AllAfrica’s source article from Agencia de Informacao de Mocambique. The committee also adjusted the reserve requirement regime, with the new measure set to take effect in the next reserve maintenance period.

Governor Felisberto Navalha said the decision reflected several risks and uncertainties, including climate shocks and prolonged conflict in the Middle East and Europe, which could feed into higher fuel and food prices. He also pointed to a slow economic recovery and said the policy stance is intended to support financing for productive activity, especially firms that could help cut import dependence and increase exports.

The bank said inflation has eased recently, with annual inflation falling to 6.5 percent in August 2026 from 7.5 percent in June. Even so, it expects some short-term price pressure from imported inflation and seasonal increases in fruit and vegetable prices, while projecting inflation to stay in single digits over the medium term. The central bank also maintained an outlook for moderate growth, citing 1.7 percent GDP growth in the second quarter of 2026 after near-flat growth in the first quarter.