Mozambique includes gas funds in 2026 budget

Mozambique is beginning to incorporate revenue from its liquefied natural gas (LNG) industry into its public finances, with the government planning to include around 56 million dollars in the 2026 budget. This amount comes from revenue balances of the 2025 fiscal year, which were not included in the original 2026 budget, and will be used to fund several public priorities.

LNG revenue contribution remains limited

Although LNG revenues are starting to contribute to public finances, their impact is still relatively small. The government had expected around 76.8 million dollars in gas revenues for the current year, following 79.2 million in 2025 and 91.8 million in 2024. These amounts are split between the state budget and the Sovereign Fund, with 60% and 40% respectively, according to the Ministry of Finance.

Budget revision funds recovery and infrastructure

As part of the budget revision, 1.17 billion meticals (18.3 million dollars) are allocated to the recovery and reconstruction plan after the 2026 floods. An additional 1.2 billion meticals (18.8 million dollars) will be used to rehabilitate roads and bridges. The government also plans to allocate 11 million dollars to restore public administration infrastructure damaged by post-electoral violence.

Future gas projects aim to boost revenue

Mozambique continues to seek ways to increase the budgetary contribution of its gas sector, which currently relies on the Coral Sul project. Coral Norte, expected to start production in 2028, has been approved and is designed to produce 3.55 million tons of LNG annually. The government estimates that approved gas projects could generate more than 6 billion dollars in public revenues annually by the peak of the 2040s.