The physical cash in circulation in Mozambique rose for the tenth consecutive month, reaching, in December, 71,512 million meticais (1,032 million euros). The increase was 3% compared with November, according to figures released by the Bank of Mozambique.
In the previous month, the total amount was already 69,359 million meticais (1,001 million euros), likewise up 3% on October. Over the whole of 2024, the amount of money in circulation grew by 13%, accelerating above all from May, the period before the introduction of a new series of banknotes and coins.
The country's monetary policy has sought to balance the money supply in order to contain inflation, a strategy common among central banks. However, figures from the National Statistics Institute (INE) indicate that Mozambique ended 2024 with an inflation rate of 4.15%, after a monthly price increase of 1.6% in December.
Since 16 June last year, a gradual replacement of the banknotes and coins in circulation since 2006 has been under way. The governor of the Bank of Mozambique, Rogério Zandamela, explained that this renewal follows international practice of regularly updating the design and security features of money in circulation.
