In May 2024, credit granted to the Mozambican economy reached 277,212 million meticais (approximately 4,004 million euros), marking the highest figure of the year so far. This growth represents an increase of 2.5% compared with April, when credit totalled 270,676 million meticais (3,910 million euros), according to the latest statistical report from the Bank of Mozambique.
Last year, credit to the economy had peaked at 298,182 million meticais (4,307 million euros) in May 2023, but subsequently entered a downward trajectory. From December to January this year alone, there was a 2.2% decrease, to 271,183 million meticais (3,917 million euros).
Credit to individuals remains the fastest-growing segment, reaching almost 91,240 million meticais (1,318 million euros) in May. Other significant sectors include transport and communications, with 26,878 million meticais (388 million euros), and trade, which recorded 24,509 million meticais (354 million euros).
In the report, the Bank of Mozambique indicated that the average interest rate on new lending operations to businesses rose to 23.83% at the end of May, while for consumption it rose to 24.92% and for housing to 23.33%. The benchmark rate during this period was 22.30%.
In June, the Mozambican Association of Banks (AMB) announced a reduction in the reference interest rate to 21.20%, the fifth cut in the last six months. This rate, known as the 'prime rate', had reached its low of 15.5% in February 2021, before starting a gradual rise to 23.50% in April last year and 24.10% in July.
The adjustments to the 'prime rate' have been attributed to variations in the monetary policy interest rate (the MIMO rate), adjusted by the central bank to control inflation. In March, the Monetary Policy Committee decided to reduce the MIMO rate to 15.75%, reflecting a consolidation of single-digit inflation expectations over the medium term.
Mozambique currently has 15 commercial banks and 12 microbanks in operation, as well as several credit cooperatives and savings and credit organisations, reinforcing the diversity and robustness of the national financial sector.
