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FinObservatory

Chinese overseas lending / MOZ

Mozambique: debt owed to China

In 2021, Mozambique is estimated to have owed China $3.66bn, equal to 22.6% of its GDP, which ranks it 33 of 126 borrowers in the panel by dollars owed. The estimated stock peaked at $3.66bn in 2021.

$3.66bn
Estimated total, 2021
rank 33 of 126
22.6%
Percent of GDP
2021
$2.02bn
Public and publicly guaranteed
2021
$1.64bn
Private non-guaranteed
44.7% of external

The estimated stock, 2000 to 2021

The largest single-year move in the estimated stock is 2017, when it rose by $648m.

Public and publicly guaranteedPrivate non-guaranteedPBoC swap drawings

Source: Horn, Reinhart and Trebesch, China’s Overseas Lending. Selection: estimated stock owed to China by Mozambique, by year and instrument, 2000 to 2021. Zeros are estimated zeros (no known loans outstanding), not missing values. Methodology

Against what Mozambique reports owing to all creditors

Mozambique reported $64.43bn of total external debt to all creditors in 2021, of which $11.28bn is public and publicly guaranteed. The China estimate is 5.7% of the reported external total and 17.9% of the reported public and guaranteed stock. These are ratios of two different measurements, one estimated and one borrower-reported, and they are not a share of a single consistent total.

Measure, 2021Estimated, owed ChinaReported, all creditorsRatio, %
Total external debt$3.66bn$64.43bn5.7%
Public and publicly guaranteed$2.02bn$11.28bn17.9%

Source: Horn, Reinhart and Trebesch, China’s Overseas Lending (estimated stocks), and World Bank International Debt Statistics, borrower-reported via the Debtor Reporting System (all-creditor stocks). Selection: estimated external and PPG stock owed to China in 2021 against Mozambique's reported DT.DOD.DECT.CD and DT.DOD.DPPG.CD for the same year. Drawn swap balances are excluded from the estimated column: they are a central-bank liability the Debtor Reporting System's long-term-debt concepts do not carry. Methodology

Chinese restructurings involving Mozambique

1 deal recorded between Mozambique and Chinese state creditors. These are context, not accounting: the source records face-value reduction as a flag rather than a magnitude, so no haircut percentage exists for them, and nothing here is netted off the estimated stock above.

2018Debt rescheduling only

Creditor: Multiple

China reschedules a total of 2 bn USD of Mozambique's outstanding debt by extending grace periods; unclear whether maturities were also extended (conflicting information in Bon & Cheng and Acker et al.)

Acker et al. (2020), Bon and Cheng (2021)

Source: Horn, Reinhart and Trebesch, Hidden Defaults (World Bank Policy Research Working Paper 9925). Selection: every recorded restructuring agreement between Mozambique and a Chinese state creditor. Face-value reduction is a 0/1 flag in the source, not a percentage; the badge appears only where the source sets it. Methodology