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Business Environment in Mozambique 2006

  • Visitas: 8749

The Miracle

In the eyes of the world Mozambique is an African economic success story, with high
growth rates, real development and visible progress in the reduction of poverty.
Mozambique’s economy has been growing at impressive rates over the past years,
averaging around 8% per year from 1992 to 2003. In 2004 and 2005 it grew at 7.2% and
7.7% respectively. The poverty headcount has fallen from 69% in 1996/7 to 54% in
2002/3. Inflation has come down from the high levels of the late 1990s of over 60%. On
the whole, the consumer price index rose 11.1% in 2005 with an average of less than 8%.
The country has been at peace for over 10 years and is politically stable, having held
numerous free and fair elections. All this has contributed to increased international
confidence and a better “Brand” or reputation for Mozambique resulting in increased
foreign direct investment, especially in large capital and energy intensive industries.

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