Mozambique's Cash Flow Surges: What's Behind the Metical Madness?

Okay, Mozambique is experiencing political unrest, right? The whole world is holding its breath to see what is coming next for the mineral rich Southern African Country.

Get ready for this: Mozambique's got more cash floating around than ever before! In October, the amount of physical money in circulation hit a new high, jumping 2.2% from the month before. That's six months in a row of steady growth, bringing the total to a whopping 67 billion meticais.

Now, you might be wondering, "Isn't that a bit odd, especially after they introduced that shiny new currency series?" Well, you'd think so, right? But hey, the economy's doing its own thing.

Here's the deal: Inflation has been chilling out lately. It's been hovering below 3% for a while now, a far cry from the 13% peak last year. So, people might be holding onto more cash, just in case prices start creeping up again.

Speaking of the new meticais, they're looking pretty sharp. The central bank gave them a fresh look with updated designs, beefed-up security features, and a nod to Mozambique's rich history and wildlife. You'll still see the old bills floating around though – they're still legal tender.

So, there you have it. Mozambique's cash flow is on fire, and while it might seem a bit puzzling at first, it's all part of the economic dance.