An IMF teams arrives in Maputo today (9 Sep) to begin technical negotiations lasting until 18 September for a potential new programme and loan under the Extended Credit Facility (ECF).

According to the statement from the Ministry of Finance yesterday by media head Emílio Fuel, cooperation with the IMF is of paramount importance for improving macro-fiscal management and for opening up new sources of funding.

Mozambique is under IMF pressure to stop running up unsustainable debt and to cut its salary bill. Government admitted two weeks ago that it owes $1.3 billion to suppliers, particularly contractors for infrastructure projects.

The wage bill for the 370,000 civil servants fell by 4% in the first half of the year (compared to the first half of 2025) but at $1.7 bn for the half year was still above budget. And government yesterday confirmed it is resuming promotions which were stopped in 2022; this will increase the wage bill. Mozambique’s number of civil servants is similar to other countries, but the amount paid to them is relatively high. (Diário Económico,24, 27, 28 Aug; MediaFax 31 Aug, 9 Sep)

Mozambique has just raised its civil service retirement age from 60 to 65, and 70 for diplomats, university lecturers and assistants, specialist doctors, magistrates, and researchers.