Mozambique expects to raise about US$76.8 million in liquefied natural gas (LNG) revenues this year, Finance Minister Carla Louveira has announced.
Speaking at a seminar in Maputo on Tuesday, she said about US$30.7 million of the projected earnings will be channelled into the Sovereign Wealth Fund.
“The remainder will be allocated to the State Budget to fund the expenditures foreseen in the Economic and Social Plan and State Budget (PESOE-2026),” she said.
Mozambique’s Sovereign Wealth Fund was established in 2023 to manage revenues from the country’s vast natural gas reserves, particularly the multi‑billion‑dollar LNG projects in the Rovuma Basin.
The fund is designed to ensure that income from LNG production is saved, invested and distributed in a way that supports long‑term economic stability while also financing immediate development needs.
Under the Sovereign Fund Law, 40 percent of eligible LNG revenues are channelled into the fund for long‑term savings and investment while 60 percent flow into the State Budget to support annual spending priorities.
Mozambique’s LNG sector has become one of the country’s most significant economic prospects, anchored by major offshore projects in the Rovuma Basin led by TotalEnergies, Eni and ExxonMobil.
Although security challenges in Cabo Delgado have delayed full‑scale production, early gas output and associated revenues are beginning to flow, marking the first steps in the long‑anticipated monetisation of the country’s vast reserves.
The minister revealed that the government collected US$109.9 million from gas production last year, stressing that all resource revenues are subject to quarterly and annual accountability mechanisms.
The minister said Mozambique is at a “crucial moment” as LNG revenues start to materialise, calling the fund a strategic tool for economic stability and long‑term development rather than merely a financial reserve.
The Bank of Mozambique also highlighted the need for a sovereign fund investment master plan to ensure proactive and effective management of the resources.
JN/APA