The Bank of Mozambique plays a pivotal role as the nation’s central bank and financial regulator. However, its tenure has been overshadowed by one of the largest debt scandals in recent history, involving over $2 billion in secret loans arranged for supposed state projects. These loans, laden with corruption and mismanagement, triggered a national economic crisis, pushing millions into poverty and undermining public trust. Despite the bank’s regulatory mandate, failures in oversight allowed fraudulent schemes to fester, implicating high-ranking officials and international banks. This scandal not only exposed systemic weaknesses in Mozambique’s financial governance but also set a global precedent for fighting corruption in emerging economies. The Bank of Mozambique remains central to ongoing reforms and anti-money laundering efforts crucial to restoring financial integrity and economic stability in the country.
The Bank of Mozambique was at the center of one of the largest financial scandals in recent African history, known as the “hidden debt” or “tuna bonds” scandal. Between 2013 and 2014, over $2 billion was secretly borrowed by state-owned enterprises via loans arranged by international banks including Credit Suisse and VTB Capital. These loans were backed by undisclosed and illegal state guarantees, lacked parliamentary approval, and much of the money was embezzled, causing a severe economic crisis that led to currency collapse, suspension of donor aid, and widespread poverty. Several high-ranking government officials and bankers were indicted for corruption, money laundering, and fraud in connection with the scandal. Despite financial settlements, the Mozambican population continues to bear long-term socio-economic costs while efforts for accountability and reform remain ongoing. This scandal exposed critical weaknesses in financial governance and anti-money laundering enforcement in Mozambique.
