Cleaning Up Mozambique's Financial Mess

Once hailed as an economic success story in East Africa, Mozambique has suffered a reversal of fortune over the past four years. In 2013, renewed hostilities between the central government and the Mozambique National Resistance Movement, widely known as Renamo, hurt the country's economy, and the global drop in commodity prices dealt it another blow the following year. More recently, Mozambique defaulted on a $59.8 million bond payment that was due in mid-January. This was just the latest symptom of a deepening financial crisis that will challenge the ruling party's hold on power and delay development of the country's substantial natural gas resources....