Mozambique Surprises by Paying $700 Million IMF Debt Early

Mozambique repaid about $700 million to the International Monetary Fund ahead of schedule and in full — a surprise move that raised questions about its motivations and the status of talks over a potential new program with the lender.

Data on IMF’s website shows the government of President Daniel Chapo had zero credit outstanding with the fund as of March 31, following a repayment last month of 514 million in special drawing rights (about $700 million). Mozambique’s finance ministry didn’t respond to requests for comment.