Mozambique Sees Record Foreign Investment Surge as Gas Projects Drive €3.07 Billion Windfall
Mozambique has achieved a remarkable economic milestone, attracting a record-breaking €3.07 billion in foreign direct investment during 2024 – the highest level in three years and a staggering 41.6% increase from the previous year. The investment surge, equivalent to 16.1% of the country’s gross domestic product, has been primarily fueled by an unprecedented boom in natural gas projects.
The extractive industry dominated investment flows, capturing €2.67 billion or 87.2% of total foreign investment – a 37% year-on-year increase that reflects growing international confidence in Mozambique’s energy potential. The manufacturing sector also experienced explosive growth, doubling its investment attraction to €116.5 million, while the electricity sector saw more than 100% growth to €83.7 million.
Central to this investment explosion is the development of Mozambique’s Rovuma basin, home to some of the world’s largest liquefied natural gas reserves. The momentum received a major boost when Italian energy giant Eni’s CEO Claudio Descalzi announced that the company’s second floating LNG platform, Coral Norte, has received full government authorization and is now “a real thing.”
The Coral Norte project alone represents a €6.6 billion investment with expected production of 3.5 million tonnes per year starting in 2028. The development will create 1,400 jobs for Mozambicans and is projected to generate $23 billion in government revenues over 30 years.
Mozambique currently hosts three mega-development projects for Rovuma basin LNG exploitation. While TotalEnergies’ project remains suspended due to security concerns and ExxonMobil’s awaits final investment decision, Eni’s Area 4 operations have been producing since mid-2022 and are now expanding rapidly.
The investment surge positions Mozambique as a major player in global LNG markets, with the potential to become one of Africa’s largest gas exporters within the decade.
Source: clubofmozambique.com
