The Bank of Mozambique kept its benchmark MIMO rate at 9.25% on 1 October, its fourth consecutive hold. Governor Felisberto Navalha cited risks to fuel and food prices from climate shocks and prolonged geopolitical conflicts, although inflation slowed to 6.5% in August from 7.5% in June. The bank also changed reserve requirements to favour lending to firms that cut imports or raise exports. Keeping rates on hold while growth stays weak, at 1.7% in the second quarter, keeps credit expensive for most businesses. The targeted reserve rules show the bank trying to steer lending towards exporters without a general rate cut.