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IMF approves $309 million in emergency financing to Mozambique to address coronavirus hit

25 April 2020 06:07 (UTC +04:00)

The International Monetary Fund (IMF) said on Friday it has approved a disbursement of $309 million to help Mozambique meet urgent balance of payment and fiscal needs stemming from the coronavirus pandemic, APA reports quoting Reuters.

African nations including Mozambique have become heavily indebted in the past decade and are seeking support from the IMF, World Bank and European Union for wide-ranging debt relief.

Last Thursday Mozambique lowered its forecast for economic growth this year to 2.2% from a previous forecast of 4% because of the impact of the virus, which has infected 65 people.

Its budget showed the southern African country, which was struck by two devastating cyclones last year, expects to record a deficit of more than 10% of gross domestic product in 2020.