Mozambique misses state revenue collection target in 2025

The Mozambican State collected revenues of nearly 352.691 billion meticais (€4.647 billion) in 2025 but failed to meet the target set in the Economic and Social Plan and State Budget (PESOE), the Government announced. The Council of Ministers analysed, on Tuesday at its weekly meeting, the execution of the 2025 PESOE, marking the first year of governance of President Daniel Chapo, sworn in on 15 January of that year amid a climate of severe economic recession following the disputes surrounding the October 2024 elections. “The implementation of the PESOE took place in an extremely adverse international and domestic environment,” acknowledged the spokesperson of the Council of Ministers, Inocêncio Impissa, at a press conference in Maputo following the weekly meeting.

Public expenditure for 2025, he further explained, reached 449.795 billion meticais (€5.926 billion), representing an execution rate of approximately 86.5% of the target, compared with 89.7% in 2024. The balance sheet data presented today also reveal that State revenue collection corresponded to 91.4% of the annual target, compared with 91.6% in 2024. Impissa highlighted the “impacts caused by the volatility of external conflicts”, as well as “the ongoing challenge of terrorism in Cabo Delgado”, in the north of the country, and “the economic repercussions of post-electoral demonstrations and the devastating impact” of three cyclones.

“Despite the above constraints, we have recorded favourable developments, notably the improvement of political stability with the launch of the Inclusive National Dialogue,” acknowledged the spokesperson of the Council of Ministers. Even so, Inocêncio Impissa stated that the outcome of the 2025 budget execution “is the result of a combined effort in the face of limited fiscal space and internal and external crises”. “The year 2025 marked the launch of structural initiatives that will have short- and medium-term effects, notably the launch of the Inclusive National Dialogue, which improved political stability, and the introduction of new financing lines for the economy, namely the Local Development Fund and the Catalytic Fund, which aim to stimulate the national economy, in addition to the Mutual Guarantee Fund and the Economic Recovery Fund,” he concluded.