[{"data":1,"prerenderedAt":-1},["ShallowReactive",2],{"doc-detail-108223-en":3,"doc-seo-108223-105":30,"detail-sidebar-cat-0-en-105":91},{"code":4,"msg":5,"data":6},0,"success",{"doc_id":7,"user_id":8,"nickname":9,"user_avatar":10,"doc_module":4,"category_id":11,"category_name":12,"doc_title":13,"doc_description":14,"doc_content":15,"file_id":16,"file_url":17,"file_type":18,"file_size":19,"view_count":20,"is_deleted":4,"is_public":21,"is_downloadable":21,"audit_status":21,"page_count":22,"language":23,"language_code":24,"site_id":25,"html_lang":24,"table_of_contents":26,"faqs":27,"seo_title":13,"seo_description":14,"update_tm":28,"read_time":29},108223,962075006959,"Anda","https://ap-avatar.wpscdn.com/avatar/e0002397efbe92a78e?_k=1776741047341049297",8,"Research & Report","Mozambique Public Expenditure Review - Rebalancing Public Spending","Mozambique faces weak fiscal conditions shaped by governance, climatic, and health shocks. The 2016 revelation of “hidden debts” triggered a donor budget support suspension and prolonged slowdown, followed by fiscal deterioration after 2019 cyclones, rising security and humanitarian costs, and growing wage and short-term financing pressures from underperforming SOEs. Recovery from COVID-19 requires renewing fiscal consolidation and rebalancing spending to improve efficiency and equity while preparing to manage potential LNG-driven fiscal space. The report updates earlier World Bank PER work using the Boost dataset and focuses on SOEs and education.","Public Expenditure Review  \nMOZAMBIQUE  \nRebalancing Public Spending  \nPub lic Disclosure Authorized Pub lic Disclosure Authorized Pub lic Disclosure Authorized Pub lic Disclosure Authorized  \nThis document has a restricted distribution and may be used by recipients only in the performance of their official duties. Its contents may not otherwise be disclosed without World Bank authorization.  \nAcknowledgments  \nThis report was prepared by a team led by Fiseha Haile (Senior Economist and TTL), Albert Pijuan Sala (Senior Economist and co-TTL), and Ana Cristina Hirata Barros (Senior Governance Specialist and co-TTL) . The team included Fernanda Ailina Pedro Massarongo Chivulele (Research Analyst, EAEM2), Andre Loureiro (Senior Economist), Ana Ruth Menezes (Senior Education Specialist), Lucia Jose Nhampossa (Education Specialist), Guilherme Kono (Consultant), Ariel Melamud (Consultant), Mariam Bibi Umarji (Consultant), Andrew Lawson (Consultant), Tomas Selemane (Consultant), Jeffery Marshall (Consultant), Andrea Lepine (Consultant, UNICEF), Helder Machango (UNICEF), Arianna Ranuschio (Consultant, UNICEF), and Matheus Bueno (Young Professional, EAEM2) . Fiona Hinchcliffe provided excellent editorial support. The report was prepared under the overall guidance of I dah Pswarayi-Riddihough (Country Director, AECS2), Mathew A. Verghis (Practice Manager, EA1M2), and Paulo Guilherme Correa (Program Leader and Lead Economist, EACS2) . Adelina Mucavele (Assistentede Programa, AECS2) provided excellent assistance. The report has benefited from the generous financial support from the Foreign Commonwealth and Development Office (FCDO) . The team is also grateful for the good collaboration with the Government of Mozambique.  \nMOZAMBIQUE PUBLIC EXPENDITURE REVIEW  \n3  \n4  \nMOZAMBIQUE PUBLIC EXPENDITURE REVIEW  \nExecutive Summary  \nMozambique is a country in Southern Africa with a population of nearly 33 million. It is endowed with abundant natural, energy, and agricultural resources, potential to develop as a regional trade hub, and a young population. The discovery of huge gas reserves is expected to provide Mozambique with a transformative opportunity for sustained and inclusive growth. Multi-billion liquefied natural gas (LNG) projects promise growth and substantial fiscal revenues; if managed well, these resources will create fiscal space to invest inhuman capital and climate-resilient infrastructure, reduce poverty, and pay down debt.  \nMozambique’s fiscal position is weak, owing to a series of governance, climatic, and health shocks. The revelation of “hidden debts” in 20161 led to a crisis of economic governance, causing a suspension of donor budget support and a protracted economic slowdown. The fiscal situation deteriorated in 2019 after two cyclones caused massive damage to infrastructure and livelihoods. The escalation of insurgency in Northern Mozambique further drove up security and humanitarian spending. While public investment and social spending remain subdued, the public sector wage bill and short-term financing needs of underperforming state-owned enterprises (SOEs) have been rising. Supporting the incipient recovery from COVID-19 will require resuming fiscal consolidation and rebalancing public expenditures.  \nIn 2014, the World Bank prepared a comprehensive Public Expenditure Review (PER) that identified options for creating  \nfiscal space and enhancing the pro-poor orientation of public spending. It covered revenue mobilization, wage bill, debt and fiscal risks, public investment management, and spending in priority sectors, among others.2 Recent years have seen several sector expenditure reviews in priority areas, including education (2016), health (2017, 2021), agriculture (2019), transport, and water (both in 2021) .  \nThe present PER discusses challenges and opportunities for rebalancing public expenditures, enhancing fiscal revenue, and improving the efficiency and equity of limited public resources. It updates the 201","cbCaiflsb6pDD9gS","https://ap.wps.com/l/cbCaiflsb6pDD9gS","pdf",10221724,4,1,128,"English","en",105,"# Executive Summary\n## Macroeconomic and fiscal context\n## Drivers of fiscal stress\n## Purpose and scope of the PER\n## Update to the 2014 PER and selected sectors","[{\"question\":\"What factors drive Mozambique’s current weak fiscal position?\",\"answer\":\"Governance, climatic, and health shocks, including the 2016 “hidden debts” episode, damage from the 2019 cyclones, higher security and humanitarian spending, and rising wage and short-term financing needs of underperforming state-owned enterprises.\"},{\"question\":\"Why is rebalancing public expenditures important for Mozambique now?\",\"answer\":\"Resuming fiscal consolidation and rebalancing spending is needed to support incipient post-COVID-19 recovery, improve efficiency and equity, and make better use of limited public resources.\"},{\"question\":\"What does this PER update and which sectors does it focus on?\",\"answer\":\"It updates the 2014 Public Expenditure Review using the latest World Bank Boost dataset and zooms in on state-owned enterprises and the education sector, based on development program priorities and potential fiscal risks.\"}]",1784469689,323,{"code":4,"msg":31,"data":32},"ok",{"site_id":25,"language":24,"slug":33,"title":13,"keywords":34,"description":14,"schema_data":35,"social_meta":86,"head_meta":88,"extra_data":90,"updated_unix":28},"mozambique-public-expenditure-review-rebalancing-public-spending","",{"@graph":36,"@context":85},[37,53,68],{"@type":38,"itemListElement":39},"BreadcrumbList",[40,44,48,51],{"item":41,"name":42,"@type":43,"position":21},"https://docshare.wps.com","Home","ListItem",{"item":45,"name":46,"@type":43,"position":47},"https://docshare.wps.com/document/","Document",2,{"item":49,"name":12,"@type":43,"position":50},"https://docshare.wps.com/document/research-report/",3,{"item":52,"name":13,"@type":43,"position":20},"https://docshare.wps.com/document/mozambique-public-expenditure-review-rebalancing-public-spending/108223/",{"url":52,"name":13,"@type":54,"author":55,"headline":13,"publisher":57,"fileFormat":60,"inLanguage":24,"description":14,"dateModified":61,"datePublished":62,"encodingFormat":60,"isAccessibleForFree":63,"interactionStatistic":64},"DigitalDocument",{"name":9,"@type":56},"Person",{"url":41,"name":58,"@type":59},"DocShare","Organization","application/pdf","2026-07-30","2026-07-19",true,{"@type":65,"interactionType":66,"userInteractionCount":20},"InteractionCounter",{"@type":67},"ViewAction",{"@type":69,"mainEntity":70},"FAQPage",[71,77,81],{"name":72,"@type":73,"acceptedAnswer":74},"What factors drive Mozambique’s current weak fiscal position?","Question",{"text":75,"@type":76},"Governance, climatic, and health shocks, including the 2016 “hidden debts” episode, damage from the 2019 cyclones, higher security and humanitarian spending, and rising wage and short-term financing needs of underperforming state-owned enterprises.","Answer",{"name":78,"@type":73,"acceptedAnswer":79},"Why is rebalancing public expenditures important for Mozambique now?",{"text":80,"@type":76},"Resuming fiscal consolidation and rebalancing spending is needed to support incipient post-COVID-19 recovery, improve efficiency and equity, and make better use of limited public resources.",{"name":82,"@type":73,"acceptedAnswer":83},"What does this PER update and which sectors does it focus on?",{"text":84,"@type":76},"It updates the 2014 Public Expenditure Review using the latest World Bank Boost dataset and zooms in on state-owned enterprises and the education sector, based on development program priorities and potential fiscal risks.","https://schema.org",{"og:url":52,"og:type":87,"og:title":13,"og:site_name":58,"og:description":14},"article",{"robots":89,"canonical":52},"index,follow",{"doc_id":7,"site_id":25},{"code":4,"msg":5,"data":92},[93,97,101,105,110,115,120,123,128,131,135],{"id":21,"doc_module":4,"doc_module_name":46,"category_name":94,"show_sort_weight":95,"slug":96},"Story & Novel",90,"story-novel",{"id":47,"doc_module":4,"doc_module_name":46,"category_name":98,"show_sort_weight":99,"slug":100},"Literature",80,"literature",{"id":20,"doc_module":4,"doc_module_name":46,"category_name":102,"show_sort_weight":103,"slug":104},"Exam",70,"exam",{"id":106,"doc_module":4,"doc_module_name":46,"category_name":107,"show_sort_weight":108,"slug":109},5,"Comic",60,"comic",{"id":111,"doc_module":4,"doc_module_name":46,"category_name":112,"show_sort_weight":113,"slug":114},6,"Technology",50,"technology",{"id":116,"doc_module":4,"doc_module_name":46,"category_name":117,"show_sort_weight":118,"slug":119},7,"Healthcare",40,"healthcare",{"id":11,"doc_module":4,"doc_module_name":46,"category_name":12,"show_sort_weight":121,"slug":122},30,"research-report",{"id":124,"doc_module":4,"doc_module_name":46,"category_name":125,"show_sort_weight":126,"slug":127},9,"Religion & Spirituality",20,"religion-spirituality",{"id":126,"doc_module":4,"doc_module_name":46,"category_name":129,"show_sort_weight":126,"slug":130},"World Cup","world-cup",{"id":132,"doc_module":4,"doc_module_name":46,"category_name":133,"show_sort_weight":132,"slug":134},10,"Lifestyle","lifestyle",{"id":136,"doc_module":4,"doc_module_name":46,"category_name":137,"show_sort_weight":106,"slug":138},19,"General","general"]