Aid Donors Economy Finance Government Mozambique

Mozambique moving away from foreign aid-Official

Approximate reading time: 1 minute

Mozambican Prime minister, Carlos Agostinho do Rosario, says the country has, in recent years, sharply reduced its dependence on foreign aid to finance its public expenditure. The Prime Minister made this announcement in the country’s parliament on Wednesday while presenting next year’s social and Economic plan.

In the recent past, Mozambique depended on foreign grants and loans to cover about half of its annual budget, but the draft budget for 2016, unveiled by Do Rosario and Finance Minister, Adriano Maleiane, is mostly financed by domestic taxation.

The Prime Minister said that domestic resources cover 74.8 per cent of total planned expenditure, and foreign aid 25.2 per cent.

This, he said, bears witness to the commitment of the Mozambican government to increase, gradually and continually, the contribution of domestic resources in financing public expenditure.

Source: StarAfrica

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