Explore more Articles in
Mozambique
Shifting Global Agendas Are Slowing African Projects – Mozambique Liquefied Natural Gas (LNG) Shows the Cost
Download logo
Political shifts in major international financing centers are reshaping who funds Africa's energy future, with the Mozambique LNG project illustrating how policy swings abroad can delay development timelines and raise costs. Africa's large oil and gas developments – often reliant on export credit agencies and support from foreign governments – are especially exposed. The prolonged disruptions surrounding Mozambique LNG demonstrate how evolving climate policies, security assessments and domestic political agendas in external jurisdictions can slow progress, increase financing costs and complicate long-term planning.
The TotalEnergies-led project has faced years of setbacks, beginning with the 2021 insurgent attack in Cabo Delgado and continuing through a carefully staged redesign and restart process. In early 2025, the U.S. Export-Import Bank approved a near-$5 billion loan to support the project's revival, signaling Washington's renewed willingness to back major natural gas developments.
Yet only months later, the UK took a sharply different stance, withdrawing its previously committed $1.15 billion in financing, citing elevated security concerns and shifts in climate-policy guidance. The reversal reintroduced uncertainty to the project's already complex financial structure and complicated Mozambique's timeline for restoring momentum.
These contrasting decisions – one government reinstating support while another steps back – highlight the challenge African governments and project developers now face. Project viability increasingly hinges not only on strong technical fundamentals, but also on political cycles, climate-policy debates and shifting investment mandates in lending jurisdictions. When export credit agencies or foreign governments adjust their positions due to domestic pressures, the immediate consequences include re-evaluated lending terms, delayed contracting schedules and heightened risk perception among commercial financiers.
For Mozambique, the implications are significant. Rebuilding financing commitments after a major participant exits increases project costs and extends timelines. Uncertainty also affects domestic planning, from future revenue projections to job-creation expectations. Operators must expand efforts to demonstrate improved security conditions, strengthened community engagement and robust environmental safeguards.
Across the continent, investor sentiment is shaped by these international policy swings. African energy leaders increasingly observe that political volatility in external markets has become a core component of project risk. Some governments are turning to alternative financiers – including multilateral institutions and capital providers in regions with more stable natural gas investment positions – though those options may come with different terms, geopolitical considerations or longer approval processes.
In this evolving landscape, platforms like African Energy Week (AEW) play a critical stabilizing role. AEW has emerged as a central venue where governments, financiers, operators and policymakers can align on investment priorities and respond collectively to global policy uncertainty. The 2026 edition in Cape Town – focused on enhancing energy security and building resilient investment frameworks – offers a valuable opportunity to develop new financing structures, risk-mitigation tools and frameworks that protect African projects from external policy reversals.
AEW also helps clarify expectations between African governments and international partners. Stakeholders increasingly emphasize the need for predictable long-term financing frameworks, clearer alignment between climate-policy objectives and development support, and mechanisms that shield large-scale projects from abrupt shifts in foreign political agendas. Growing interest in regional financial instruments, multilateral guarantees and African-led investment platforms reflects a broader push to reduce reliance on single-jurisdiction decisions.
The experience of Mozambique LNG underscores how global energy and political debates can directly affect Africa's capacity to build and sustain critical infrastructure. While the continent continues advancing ambitious exploration, LNG and natural gas development plans, long-term progress will depend on a more stable international financing environment and stronger Africa-led coordination. AEW 2026 provides a timely venue to advance that agenda – but consistent commitments from global partners will be essential to translating strategy into fully executed projects.
Distributed by APO Group on behalf of African Energy Chamber.Forest Stewardship Council (FSC) launches new Interim Forest Stewardship Standard for Mozambique
FSC (www.FSC.org) is pleased to announce the publication of the new Interim Forest Stewardship Standard (IFSS) for Mozambique, marking a significant step toward sustainable forest management in the country. This standard applies to all forest management units, including Small or Low Intensity Managed Forests (SLIMFs), but excludes Non-Timber Forest Products (NTFPs). While domestic demand for certified products remains low, interest from environmentally conscious buyers and donors is growing. FSC certification through the new IFSS can open doors for communities and businesses to benefit from sustainable forest products and ecosystem services.
Importance of forests in Mozambique and steps toward sustainable management
Mozambique's forests, covering nearly 40% of the country, are primarily Miombo woodlands and play a vital role in biodiversity conservation, supporting climate resilience and socio-economic development. The forestry sector supports millions of rural Mozambicans through timber, charcoal, employment, and other forest-based activities. However, unsustainable practices like illegal logging and slash-and-burn agriculture have led to the degradation of nearly 60% of forest resources, with an annual forest loss rate of 0.58%, costing the economy around $500 million annually.
Mozambique has been fully engaged in combating illegal logging and committing to climate and sustainable timber-related targets over the past years. The implementation of a comprehensive ban on raw log exports has restricted the export of 22 “first class species” in raw form, making concession holders legally required to process timber locally, ensuring more economic value remains within the country, promoting domestic timber processing, and creating jobs. Furthermore, as part of the Paris Agreement (http://apo-opa.co/4aYNQ5x) and with international support, Mozambique is aiming to meet its climate goals, as set out in its Nationally Determined Contributions (NDCs) (http://apo-opa.co/494KpYB) - a reduction of 76.5 million tonnes of carbon emissions by 2030. The country was the first to receive payments from the World Bank's Forest Carbon Partnership Facility for REDD+ efforts. Sustainable timber production is now integrated into climate mitigation strategies, reinforcing forests' role in reducing emissions and supporting biodiversity.
Regardless of these efforts, illegal logging remains a significant challenge. Between 2017 and 2020, 2.6 million tonnes of logs worth $900 million were illegally exported, violating Mozambique's log export ban. The government has intensified enforcement efforts, including international cooperation with the US Forest Service, and improved monitoring systems. However, limited resources remain a barrier to effective enforcement. The new FSC standard, therefore, offers forest operators a credible system for demonstrating sustainability, improving transparency, and accessing higher-value markets.
Role of the new IFSS in climate and economic goals
Mozambique began engaging with FSC certification in 2005. Despite challenges such as low domestic demand and limited resources, FSC-certified wood products are gaining recognition in European markets. Organizations like WWF, FSC Denmark, and FSC South Africa have supported the development of FSC standards, leading to the creation of AGREF (Associação pela Gestão Responsável das Florestas).
The new IFSS was developed through a transparent and inclusive process. It included public consultations, field visits to provinces such as Sofala and Manica, community meetings, interviews, and input from over 160 stakeholders, including community leaders, government agencies, NGOs, and businesses. It supports Mozambique's climate goals and efforts to adapt to climate change under its Climate Promise and NDCs, while also promoting green jobs, rural development, and sustainable timber use, aligning with broader initiatives such as AFR100 (http://apo-opa.co/495DJJw), the Maputo Declaration (http://apo-opa.co/3L73i53), and community-led forest management. These efforts aim to restore degraded landscapes, protect Miombo ecosystems, and empower local communities.
The official English version of the IFSS is available for download at the FSC Document Centre (http://apo-opa.co/491Hi3t). A Portuguese version will be available soon to help with its implementation.
If you have further questions about the IFSS and the standard approval process, please contact the FSC Country Requirements team at country_requirements@fsc.org.
Distributed by APO Group on behalf of Forest Stewardship Council.Media contacts:
Southern Africa
Benjamin Rafemoyo
Market Development Officer, Southern Africa
b.rafemoyo@fsc.org
Phone: +263 86 440 00618
Mobile: +263 77 521 4160
Africa:
Israel Bionyi
Senior Regional Communications Manager
FSC Africa
i.bionyi@fsc.org
FSC Africa
www.Africa.FSC.org
T: +49 (0) 228 367 66 0
F: +49 (0) 228 367 66 65
Mozambique’s displaced facing massive needs as attacks intensify
Download logo
According to the UN aid coordination office, OCHA, 107,000 people have fled their homes in recent weeks, pushing total displacement in just the past four months to 330,000.
“They barely had time to recover when they again had to leave, due to attacks or fear of attacks,” said Paola Emerson, OCHA Head of Office in Mozambique.
The veteran humanitarian explained that violence has often uprooted families multiple times as they endure weeks of attacks.
This is an unusual pattern, compared to previous hit-and-run tactics characteristic of violence erupted in northern Cabo Delgado province in in 2017.
This conflict and climate shocks have now displaced more than 600,000 people, UN data indicates, while nearly nine in 10 of those fleeing violence have already fled at least once this year.
Pummelled by cyclones
Ms. Emerson added that this latest wave of attacks has been particularly destabilising for communities already battered by three cyclones in 2025.
“A vast majority are children, 67 per cent,” Ms. Emmerson said. “There are huge concerns about protection, with reports of gender-based violence and children who are separated or unaccompanied.”
Most displaced families now shelter in overcrowded host communities, open areas and damaged schools where exams have been disrupted in several districts.
Aid distribution is far below needs, the UN aid official noted, with only around 40 per cent of people receiving “woeful” food assistance, amid “major stockouts”.
Ms. Emmerson warned that gaps in aid are already forcing some families to return to unsafe areas “with very little information about whether the situation has stabilised”.
Beheadings among other horrors
UN agencies have issued repeated alerts this week. On Tuesday, the UN refugee agency (UNHCR) said civilians described nighttime attacks, homes burned and summary executions by beheading as armed groups pushed into previously unaffected districts. The agency highlighted severe resource shortages, describing the response as “insufficient”.
The UN Children's Fund (UNICEF) added on Friday that children are being pushed to breaking point. It warned of “staggering” levels of displacement and rising grave violations, including abductions and recruitment. The UN agency said that essential services - health, education, water and protection - are “straining under the weight of need”, just as the cyclone season is set to intensify.
Humanitarian partners are calling for urgent funding to prevent further deterioration, warning that without rapid support, the crisis will deepen and families may face renewed displacement within weeks.
Distributed by APO Group on behalf of UN News.