Mozambique: Government reiterates fuel availability, prices stable for the next 30 days – Watch

The Government assured on Tuesday (31) that there are sufficient stocks of various liquid fuels for the next 30 days without any price changes, adding that the disruptions observed were entirely unnecessary. “The market has sufficient fuel stocks to meet consumption needs for another month. There are orders expected to arrive between 14 and 16 April that will increase market capacity,” said the Secretary of the Treasury and Budget, Amílcar Tivane.

To ensure stock levels, measures were taken to release 85,000 metric tonnes of various fuels that, until 10 March, were held at ocean terminals awaiting bank guarantees, Tivane explained, speaking to journalists at the end of the Council of Ministers session. “It was possible to secure the clearance of these fuels from the ocean terminals to storage facilities. The fuel was linked to a bank guarantee of US$72 million, which has been reduced to US$12 million,” Tivane detailed.

In addition, between 26 and 30 March, Mozambique received further fuel shipments, Tivane confirmed, and therefore, in his view, the situation recorded on Friday, of an apparent fuel shortage, was entirely “unnecessary”. The Secretary of the Treasury and Budget also assured that the Government continues to work with all stakeholders to secure foreign currency so that companies importing and distributing fuel can pay for their orders. However, after April, the official said fuel prices are expected to increase, as future orders will reflect current high prices on the international market.

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“If justified from an economic and financial standpoint, there will be a need to adjust the domestic fuel price structure. Nevertheless, the Government will do everything possible to ensure that the Mozambican economy continues to function without harming the most vulnerable groups,” Tivane said. To mitigate the impact of rising fuel prices, the Government is considering activating the Stabilisation Fund, which currently holds 390 million meticais, equivalent to US$6 million.

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