Mozambique Pharmaceuticals and Healthcare Report Q4 2017
The government's sharp cutbacks to spending, in the wake of the so-called hidden debt scandaland subsequent default on its payments, will further impede growth in the country's underdevelopedpharmaceutical and healthcare sectors. The country's high prevalence of diseases coupled with a risingpopulation should support market growth over the coming years, although this will be almost exclusively inthe generic drug segment due to the lack of affordability of other forms of drugs. A continued reliance oninternational funding along with currency volatility and weak infrastructure development will addheadwinds to an already challenging business environment.
Headline Expenditure Forecasts
Pharmaceuticals: MZN8.86bn (USD141mn) in 2016 to MZN9.49bn (USD134mn) in 2017; +7.1% inlocal currency and -4.8% in US dollar terms. Forecast revised upwards in US dollar terms from lastquarter.
Healthcare: MZN40.60bn (USD646mn) in 2016 to MZN43.28bn (USD612mn) in 2017; +6.6% in localcurrency and -5.3% in US dollar terms. Forecast revised upwards in US dollar terms from last quarter.