Credit granted by financial institutions to the Mozambican economy continues to decline, with a recent figure of 277.9 million meticais, according to the latest statistical report from the Bank of Mozambique (BdM). This downward trend has been observed since May of the previous year, when credit stood at around 291.1 million meticais.
Between September and October, there was a decrease, albeit on a smaller scale. In September, loans totaled 281.9 million meticais, while in October the figure fell to 279.9 million meticais.
The BdM report shows that in June credit was 289.3 million meticais and in July 288.2 million meticais.
As for the distribution of credit by sector of activity, individuals, transport and communications, commerce and other unidentified sectors were the most prominent. For example, the unidentified sectors absorbed 75 million meticais in November, while private individuals received 85.2 million, transport and communications 28.3 million and commerce 27.6 million meticais.
On the other hand, average interest rates on new loan operations of less than a year for companies stood at 22.85% in November, the highest figure having been recorded in May, at 26.09%.
The majority of credit to the economy in September continued to be to private individuals, totaling 83.370 billion meticais, an increase of 22.6% compared to September 2022, when it was 67.979 billion meticais.
According to data from the Central Bank, Mozambique has 15 commercial banks, 12 micro-banks, as well as credit cooperatives and savings and credit organizations, among other financial institutions.
