Mozambique has outperformed its regional rivals with an economic growth of 5% in 2023, eclipsing that of 2022 when it was at 4.4%.
The growth has been driven by extractive industries, agriculture and the transport sector. Its performance places it in the vanguard of the Southern African Development Community’s economies.
According to a government report, the statistics indicate that a sustained effort to “catalyse private sector activity and attract new investments” is paying off.
“A favourable tendency regarding average inflation saw it down to 7.1% against a forecast 11.5%,” the report said.
Its balance of payments situation was solid, which gave the country credibility and it could absorb external shocks. In the period in review, the state’s revenue relied on approximately 70% of domestic sources as compared to 64.3% the previous year. The government has been on a renewed drive to enhance tax revenue collection in the past few years.
