Mozambique’s Eurobonds Unlikely Winners in Tough Market for Risk

  • Nation’s dollar debt among few gainers in EM space this year
  • Outperformance may continue with support from IMF program

Independence Square in downtown Maputo, Mozambique.

Photographer: Jacek Sopotnicki/iStockphoto/Getty Images
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A year ago, Mozambique’s dollar debt was the riskiest in AfricaBloomberg Terminal for eurobond investors amid deadly raids by insurgents at key gas projects.

But the script has flipped in 2022, with the eurobonds gaining while those of peers fellBloomberg Terminal, spurred by improvements in the security situation and better economic and fiscal prospects.