The Metical refers to the official currency of Mozambique, a country located in southeastern Africa. It was first introduced in 1980, replacing the previous currency, the Escudo, at a rate of 1 Metical to 1,000 Escudos. The currency is further subdivided into units called Centavos.
The Metical has undergone several reforms throughout its existence due to inflationary pressures and economic changes. These reforms aimed to stabilize and revalue the currency. Currently, the new Metical (MZN) is the country's official currency, replacing the old Metical (MZM) in 2006 at a rate of 1,000 old Meticals to 1 new Metical.
The currency is denoted by the symbol "MT" and is issued and regulated by the Bank of Mozambique. Notes are printed in various denominations, including 20, 50, 100, 200, 500, and 1,000 Meticals, while coins exist in denominations of 1, 2, 5, 10, 20, and 50 Centavos.
The Metical plays a vital role in Mozambique's economy, facilitating trade and commerce within the country. It is also accepted as legal tender for certain transactions in some border regions of neighboring countries, such as Zimbabwe and South Africa.
As with any currency, the Metical's value fluctuates in relation to other currencies in international markets, subject to factors like inflation, government policies, and economic indicators. To keep the currency stable, the Bank of Mozambique manages its supply and implements necessary monetary policies.
