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Mozambique’s economy facing multiple risks

Mozambique’s economy facing multiple risks

MOZAMBIQUE’S economy faces multiple challenges, including a growing insurgency against the government and recurring extreme weather events, rating agency S&P Global said in the research report. S&P said militant attacks in Mozambique's northeastren province of Cabo Delgado posed a "significant threat" to production facilities there, touted as among the biggest natural gas discoveries in the world. Dozens of civilians were killed last month in Islamic State-linked attacks in the coastal town of Palma, near gas projects that are worth $60 billion and are aimed at transforming the country's economy. S&P, which ranks Mozambique's foreign debt at CCC+, seven rungs below…
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South Africa’s ‘painful’ ratings downgrade will raise borrowing costs – minister

South Africa’s ‘painful’ ratings downgrade will raise borrowing costs – minister

Finance Minister Tito Mboweni. Photo: GCIS SOUTH Africa's finance ministry says the ratings downgrade by Moody's and Fitch will increase the country's borrowing costs and constrain its fiscal framework. "The decision by Fitch and Moody's... is a painful one," Tito Mboweni, Minister of Finance, said in a statement. There is an urgent need for government to implement structural economic reforms to avoid further harm to the country's sovereign rating, he said. Credit rating agencies Fitch and Moody's lowered South Africa's sovereign ratings further into junk late on Friday on rising debt and more likely weakening in the fiscal strength, while…
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