Fitch affirms Mozambique at 'CC', flags likely Eurobond restructuring and heightened default risk
On 24 July 2026 Fitch affirmed Mozambique’s Long‑Term Foreign‑Currency Issuer Default Rating at 'CC', stating a restructuring of the country's sole Eurobond is likely and warning default risk would rise if Mozambique does not secure a new IMF programme. Fitch noted implementation risks even if a programme is reached.
The desk brief
On 24 July 2026 Fitch affirmed Mozambique’s Long‑Term Foreign‑Currency Issuer Default Rating at 'CC', stating a restructuring of the country's sole Eurobond is likely and warning default risk would rise if Mozambique does not secure a new IMF programme. Fitch noted implementation risks even if a programme is reached.
Fitch’s affirmation at 'CC' formalises market expectations that Mozambique’s Eurobond faces a high likelihood of reprofiling, raising refinancing and rollover risk for the sovereign. That assessment sustains a premium on the Eurobond and increases the probability investors will price in a distressed debt exchange unless creditor terms or official financing (notably an IMF programme) alter debt‑service prospects.
Monitor IMF programme negotiations and any formal creditor engagement or debt‑restructuring proposal due in early 2027.
Sources & verification
Developing storyFurther independent confirmation is required.
- Fitch Holds Mozambique Rating at CC, Warns of Default Risk • 360 Mozambique360mozambique.comSource published (opens in a new tab)
- Fitch affirms Mozambique at 'CC'clubofmozambique.comSource published (opens in a new tab)
Public references supporting this brief.
Price Discovery
Mozambique sovereign curve
Latest server-calculated mid yield by maturity. Points are observed Price Discovery levels, not an interpolated valuation curve.
- Moz 31Sept 203192.75010.955%
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