WASHINGTON - July 14, 2023 – In its report, The World Bank Group in Mozambique, Fiscal Years 2008–21, the Independent Evaluation Group neither concludes nor implies that the World Bank Group is in any way responsible for the actions of the Government of Mozambique. The report is solely focused on the actions of the World Bank Group, and is not an assessment of either the policies or actions of the Government of Mozambique. The report does not hold the World Bank Group responsible for any actions taken by the Government of Mozambique. This is the case with the 2016 financial scandal now commonly referred to as ‘Hidden Debts.’ The causes of this scandal are for the Government of Mozambique to investigate.

The report of the Independent Evaluation Group aims to draw lessons from this period to improve the support of the World Bank Group to both the people and Government of Mozambique. Two of the key findings of the report are that technical support for public financial and debt management should include a focus on governance risks in contexts characterized by powerful groups with strong vested interests, and that diagnostics are critical to inform reform programs but they require deliberate and coordinated operational follow-up. The report found that World Bank support for good governance was constant through the evaluation period, though the nature of this support changed along with changes to the country context, such as the discovery of gas deposits in 2010 and the uncovering of the hidden debt crisis in 2016. These findings and lessons are to inform future World Bank Group support to Mozambique and do not imply that the World Bank Group could in any way have influenced the decisions and actions that led to the ‘Hidden Debts’ scandal, as reported by media following the presentation of the findings of the report at a workshop at the Montebelo Indy Maputo Congress Hotel in Maputo on July 12, 2023. The causes of the scandal are for the Government of Mozambique alone to determine.

Contacts:

In Washington, D.C.: William Stebbins, (240) 393-3487, wstebbins@worldbank.org