Mozambique’s central bank held its primary interest rate at 17.25%, citing concerns about inflation. Inflation dropped to 4.9% in August from 5.7% in July, mainly due to declining food prices, influenced by an extended winter and stable exchange rates. The bank anticipates maintaining single-digit inflation, crediting Metical stability and the MPC’s efforts. Separately, the US’s Millennium Challenge Corporation (MCC) committed a USD 538 mln package for Mozambique, targeting road infrastructure, climate resilience, and household income enhancement.