Mozambique releases $50 million for fuel imports
Minister Estevão Pale announced measures to ease fuel supply constraints following international market disruptions.
Mozambique's government has made US$50 million available to address ongoing fuel supply constraints, Minister Estevão Pale announced in Parliament. The country faces shortages due to a combination of internal and external factors, including reliance on imports and international market disruptions.
Pale explained that approximately 80% of Mozambique's petroleum products are imported from the Middle East, which experienced escalated conflict and supply chain disruptions in March 2026. The closure of the Strait of Hormuz further increased costs and logistical challenges, while difficulties in securing import financing also impacted distribution companies' capacity.
Cross-border demand also contributes to the shortage, as Mozambique's lower fuel prices encourage smuggling into neighbouring countries. Some fuel unloaded at ports remains under financial retention, with ownership held by suppliers until payments are regularised.
Why it mattersMozambicans face fuel shortages due to import issues and cross-border smuggling.