Mozambique said on Thursday it has hired France-based consulting firm Alvarez & Marsal to provide specialised advisory services for managing the country's public debt, which has been putting pressure on public spending.

Mozambique's debt problems date back to a 2016 hidden-debt scandal, which wrecked investor confidence ⁠and curbed access to funding. Delays to major gas projects that had been expected to boost exports, revenue and government finances have made matters worse.

Alvarez & Marsal aims to implement Mozambique's 2025-2029 public debt strategy, assisting with debt restructuring, negotiations with creditors, and improving the debt ⁠portfolio's risk profile, the Ministry of Finance said in a statement.

The statement said this will bolster the Southern African country's credibility with international financial ⁠markets and enhance the ministry's institutional capacity for sustainable debt management.

In October last year, Mozambique's cabinet authorised the ⁠firm to assist with the country's debt problems.

Public debt rose 6.8% in 2025 to ⁠474.0 billion meticais ($7.49 billion). (Reuters, 2026-04-02)