World Trade Organization - Home page - Global trade



TRADE POLICies AND PRACTICEs BY SECTOR

1 Introduction

The agriculture sector is the major employer in Mozambique, absorbing around three quarters of the labour force; however, its contribution to GDP was only around 25% in 2007 (Table I.1). Hence, raising productivity is among the key policy objectives in this sector, as this would contribute to poverty reduction and to attain food security, which are amongst Mozambique's overall policy objectives. Government policies in this regard include expanding the provision of extension services, and supplying kits (seed, fertilizer, equipment) on credit to cereal and groundnut farmers in "high-potential growth" areas of the country. Natural disasters disrupt domestic production, and food-aid policy can be significant in alleviating hardship. Mozambique's major agricultural exports include cashews, cotton, sugar, tobacco, and fishery and forestry products. Agriculture has remained the most protected sector with an average tariff of 12.4% (ISIC 1), compared with an overall MFN average of 10.1%. Government intervention remains in place in the main subsectors: cashews, cotton, sugar, and tobacco.

Manufacturing activities are very limited. Export-oriented production, mainly aluminium, takes place under the Industrial Free Zone regime. Foreign direct investment has been instrumental in the expansion of aluminium production, the exploitation of mineral sands, coal, and natural gas, as well as electricity generation at the Cahora-Bassa Hydroelectric Facility (HCB) on the Zambezi river. Such investments have been fostered since 1999 by generous incentives offered under the Investment Code, in particular the Industrial Free Zone regime, and low (and preferential) electricity tariffs for industrial users. Industrial development has been export-oriented, favouring the emergence of a dual economy. Incentives were curtailed in 2002 in the Fiscal Benefits Code, and are again under review to attempt to increase fiscal revenue from megaprojects. Despite promising signs from petroleum exploration activities, domestic fuel needs continue to be met entirely by imports, with prices regulated and adjusted periodically to reflect world market price developments; biofuels production is expanding. Liberalization of downstream petroleum activities has taken place at the retail level, although importation of fuel products is still reserved to the state-owned enterprise IMOPETRO, which assumed the function from PETROMOC in 1998. Supply-side constraints in Mozambique remain significant, and include access to water, electricity, and financial services; the environment for doing business is difficult and undermined by poor governance.

The contribution of services to GDP has not changed substantially during the period under review. Further, development of the sector is necessary for Mozambique's continued economic growth. For, instance, access to affordable finance remains an outstanding constraint on business activity; access for the agriculture sector to credit, in particular is low. Micro-credit activities are expanding but generally banking and insurance remain relatively underdeveloped. Teledensity has progressed substantially as a result of the rapid increase in the use of mobile communication services, although provision of Internet service remains low; privatization of the incumbent fixed-line operator has been postponed indefinitely. The development of Mozambique’s port and ground transportation links has sustained the growth of industrial activity as well as trade. Mozambique is a gateway for its landlocked neighbours and to South Africa. The rehabilitation of the transportation infrastructure, devastated during the Civil War (which ended in 1992), has been a major focus of government policy. Ports and railways in the north are operated under concessions granted to foreign investors. This rehabilitation has been instrumental in the development of Mozambique’s tourism. However, inadequate and costly air transport services remain an impediment for growth in the tourism sector. Mozambique made only few commitments under GATS. Widening the scope of these commitments might support Mozambique’s efforts to overcome these bottlenecks, by attracting national and foreign investment.

2 Agriculture and Related Activities

1 Overview[1]

Agricultural activities, including farming, raising livestock, fishing and forestry, contributed one quarter of GDP in 2007, and is estimated to remain at the same level in 2008 (Table I.1). Agricultural activities occupied around 14 million people in 2007, with a greater share of women employed in the sector than men. The largest employers are the sugar estates; and commercial farms. Agricultural products (cashews, tobacco, cotton, sugar, and fishery and forestry products) are also important exports (Chapter I(3)(i)).

Just over 10% of Mozambique’s 36 million hectares of arable land are cultivated. According to the last agricultural census, conducted in 1999-2000, Mozambique’s 3.1 million smallholders occupy about 95% of cultivated land. These farms produce basic food crops (beans, cassava, maize, groundnuts, and rice), mainly for subsistence purposes, as well as cash crops (cotton and tobacco), and cashew nuts. The average size of most farms in Mozambique is around 1.2 hectares, and use of credit and inputs is low[2], leading to relatively low yields by regional standards. The authorities are however distributing "kits" (seeds, fertilizer, equipment) on credit to producers of cereals and groundnuts, for use in the 2008/09 season, in selected "high-potential" areas of the country, to increase productivity.[3] Cotton and tobacco are produced mainly under "out-growing" contracts with cotton and tobacco companies, under which the companies provide seeds, fertilizers, and inputs on credit, which farmers repay once the company has purchased the harvested crop; farmers may form associations to interact more effectively with buyers.

Food habits have changed in Mozambique. As the country develops, demand is increasing for cereals (rice and wheat) and milk products, which are mainly imported, as well as for horticultural products, also imported but increasingly cultivated in peri-urban areas. In addition, spending on food accounts for a substantial share of low-income household expenditures, hence any increase in the price of food has a substantial impact on levels of poverty. As a result, the Government perceives food security as a priority, and hopes to improve it by fostering a "green revolution".

Natural disasters, such as droughts and flooding, periodically disrupt production in certain parts of the country. At the time of the first TPR of Mozambique, major floods had decimated the anticipated 1999/2000 season output, and floods again affected production in 2007/08. Aside from the 2004/05 agricultural season, production of most basic crops has risen steadily since 2002, mainly as a result of an increase in land under cultivation (Table IV.1). In particular, maize production was up by 25% between 2002 and 2006, but declined almost by 20% in 2007/08; cassava and maize are the staple foods. With respect to cash crops, between 2002 and 2006 the production of tobacco more than doubled, while production of cotton increased by 38% (Table IV.2). There was a 30% increase in sugar cane output, and 25% for raw cashew nuts, over the same period. In contrast, livestock herds have decreased sharply, with the exception of cattle, where numbers increased by one third between 2002 and 2007.

Table IV.1

Production of basic food crops, 2002-07

|Product |2002 |2003 |2004 |2005 |

| | |

|Lobster |1,100 |230 |334 |117 |44 |

|BIM |24,670,763 |10,780,971 |20,835,941 |1,156,492 |65.2 |

|BCI Formeto |14,038,177 |7,666,881 |10,510,073 |512,003 |47.9 |

|Standard Bank |3,379,746 |3,119,533 |11,329,944 |452,300 |41.7 |

|Banco Austral |6,353,686 |1,262,493 |4,395,812 |7,609 |2.1 |

|African Banking Corporation |1,641,505 |525,850 |1,047,988 |58,244 |28.2 |

|BDC |1,535,110 |923,584 |1,090,746 |82,696 |47.9 |

|UCB |1,214,791 |872,883 |845,337 |36,709 |14.5 |

|BIC |444,414 |138,511 |320,768 |9,162 |11.9 |

|BMI |390,403 |118,257 |256,324 |(12,406)a |-20.7 |

a Represents net loss.

Source: KPMG (undated), Banking Survey 2006. Viewed at: sector_banc_rio_em_mo_ambique.

Banking and micro-finance activities are subject to the banking law[86]; several major changes were made to the law in 2004[87], concerning credit institutions and financial services, and micro-finance banks[88], and in 2007 concerning the bankruptcy of credit institutions and a law on the national payments system. Under the new regime, these regulations are administered by the Bank of Mozambique; previously, the Ministry in charge of finance had responsibility for managing the development of branches of credit institutions and financial services. The Bank of Mozambique also exercises supervisory activities, and these have been strengthened through capacity-building. Since 2008, the Bank of Mozambique, uses the framework of Capital Adequacy, Asset Quality, Management, Earnings and Liquidity (CAMEL) to determine the soundness of banks and guide its supervisory activity. As from 1 January 2008, Bank of Mozambique has required the credit institutions to observe the norms of the IFRS in order to increase transparency to international levels. The new law provides for a fund to be established to guarantee deposits.

Mozambican specific service commitments under the GATS concern only banking and other financial services (excluding insurance), in all four modes of supply. Foreign financial service providers (including insurance) can operate in Mozambique as long as they abide by the domestic rules and regulations governing investment and operations of such institutions.[89]

1 Insurance services

Since Mozambique’s first TPR in 2001, the regulatory framework governing insurance services has changed with the introduction of the Insurance Law and other regulations.[90] As a result of this regulatory change foreign investment in the insurance sector was allowed; and the provision of life and non-life-insurance was separated (i.e. an insurance company may only provide one type of insurance). The insurance industry is regulated by the General Insurance Inspectorate under the tutelage of the Ministry of Finance, which receives applications for insurance service providers. Companies wishing to offer insurance services must establish as public limited companies and comply with the law governing the sector. Since 2006, the minimum capital requirements have been Mt 67 million for life insurance and Mt 33 million for non-life insurance. The requirements for setting up an insurance company, including capital requirements, are the same for foreign and Mozambican insurers. Insurance companies, with exception of those incorporated in another jurisdiction, need to be incorporated as a company in Mozambique and obtain a special registration to conduct insurance business. To obtain this registration, authorization to operate in Mozambique is required from the Ministry of Finance, as well as a licence from the General Insurance Inspectorate. Foreign investors may file their application through the CPI and may obtain incentives under the Code of Fiscal Benefits. In general, risks cannot be covered by non-resident companies, unless the companies established in Mozambique deem that the risk is too high. However, the purchase of an insurance abroad need to be approved by the General Insurance Inspectorate. Insurance providers are free to set their own premiums and rates, except for compulsory insurance, which comprises civil liability for owners of motor vehicles, introduced in 2003[91], and occupational health insurance, which are regulated by the Inspectorate.

All insurance companies are required to maintain solvency margins based on premiums, claims, and liabilities as stipulated in the Regulation.[92] In order to ensure that solvency and prudential standards are observed, insurance companies must submit annual balance sheets to the Inspectorate to be audited. If the established limits are not respected the Inspectorate will warn the company. The law allows for the imposition of sanctions when the limits and prudential regulations are not followed; however, no such sanctions have been imposed since 2003.

In 2007, there were five insurance companies operating in the sector, which remains dominated by Seguradora Internacional de Mozambique (SIM) and Empresa Moçambicana de Seguros (EMOSE) (formerly fully state owned)[93], with some 65% of the market (Table IV.7).[94] Only SIM and EMOSE offer both life and non-life insurance because they were established prior to 2003 when the Insurance Law came into force. EMOSE is the only company that is fully Mozambican owned, while Global Alliance is totally foreign owned; the other companies operating in Mozambique are of mixed capital.

Reinsurance services, which are not available in Mozambique at the time of its previous TPR, have been available domestically since 2007. They are provided mainly by ZIMRE; EMOSE's market share is almost negligible. Re-insurance services may be purchased abroad.

Mozambique made no specific commitments on insurance services under the GATS.

Table IV.7

Insurance market shares, 2004-07

(Per cent)

|Company |Type of insurance |2004 |2005 |2006 |2007 |

|EMOSE |Life and non-life |28.0 |31.7 |28.0 |28.7 |

|SIM |Life and non-life |42.2 |34.7 |35.5 |36.9 |

|Global Alliance (GA) |Non-life |18.3 |22.7 |22.3 |18.7 |

|M.C. de Seguros |Non-life |2.0 |2.4 |2.8 |2.8 |

|Hollard |Non-life |9.4 |8.5 |11.4 |12.8 |

Source: Information provided by the Mozambican authorities.

2 Telecommunications and postal services

The telecommunications subsector of Mozambique comprises: the incumbent, Telecomunicacoes de Moçambique, E.E. (TDM)[95]; two mobile telephone companies, Mozambique Cellular (mCel), which was established in 1997, is wholly owned by the State and claims 70% of the market[96], and Vodacom Mozambique, which started operating in 2003; 18 data transmission and internet operators; as well as 10 internet service providers (ISPs), which resell TDM’s internet access products. As a result of the growth in mobile telephony, teledensity has increased sharply in Mozambique since 2001 to reach 15.6 lines per 100 inhabitants in 2007 (Table IV.8). Access to the Internet, however, which depends on a fixed-line (only 78,000 in 2007, down from 87,291 in 2001), a satellite link or WiMax, is still low, and expensive.

Table IV.8

Telecommunications service indicators, 2001-07

| |2001 |2002 |2003 |2004 |2005 |2006 |2007 |

|Fixed lines |87,291 |87,367 |77,576 |75,256 |65,992 |70,313 |78,000 |

|Mobile telephones |89,000 |170,000 |470,000 |610,473 |1,503,943 |2,339,317 |3,079,783 |

|Total subscribers |176,291 |257,367 |547,576 |685,729 |1,569,935 |2,409,630 |3,157,783 |

|Teledensity (lines per |0.5 |0.9 |2.6 |3.4 |8.4 |12.6 |15.6 |

|100 inhabitants) | | | | | | | |

Source: Information provided by the Mozambican authorities.

TDM holds the single licence to supply fixed-line telephony, which expires in 2028. Its exclusivity concerns the supply of fixed-line telecommunications network services (telephone lines), customer premises equipment, local and long-distance (national and international) calls. Since 1999, the Government had been planning to sell a stake in TDM to a strategic investor, with its monopoly preserved for five years thereafter; however, this sale has been postponed indefinitely.[97] TDM’s telecommunications infrastructure consists of a national backbone, covering all provinces up to the district level, which it is extending.[98] This network is a combination of different technologies, including VSAT, wireless loop, copper cable, and a 5 Gbps marine fibre optic cable along the coast. MCel's and Vodacom's GSM mobile networks cover mainly urban areas, but both are expanding coverage to rural areas. MCel was awarded a licence to operate a 3G service in 2006, which will enable it to offer high-speed broadband data services.[99]

A new telecommunications law was adopted in 2004[100], to guide the liberalization of the fixed-line subsector; it specified 31 December 2007 for the end of TDM’s exclusivity over fixed-line telephony, as the authorities hope to attract other fixed-line telephony operators.[101] The Instituto Nacional das Comunicações de Moçambique (INCM), established in 1992, is the independent regulator for telecoms, postal, TV, and radio services in Mozambique, and is under the technical responsibility of the Ministry of Transport and Communications (MTC).[102] INCM's responsibilities include the licensing and registration of service providers[103], spectrum management, the national numbering plan, and setting regulated tariffs. Licence fees are one-off and licensees are also subject to an annual turnover tax, of up to 3% (with the exception of ISPs); receipts from the turnover tax are shared between the Government (55%) and INCM (45%).[104] Use of the spectrum is also subject to annual charges.[105] INCM is also responsible for issuing homologation certificates to equipment used for telecommunications activities, including handsets, subject to the payment of stamp taxes.

Licences contain universal service access obligations that are proportional, transparent and non-discriminatory.[106] The supply of universal basic services is financed through a special fund, the Universal Access Fund[107], financed by a levy of 1% of the annual turnover of licence holders and registered service providers.[108] Mobile telephony licences are awarded through a bidding procedure. INCM sets the interconnection tariffs for TDM, MCel, and Vodacom on the basis of long-run incremental costs.[109] Mozambique did not take part in the extended negotiations on telecommunications services at the WTO.

Postal services in Mozambique are provided by Correios de Moçambique (CDM).[110] Two delivery services are operated in the country; one using post office boxes, which are available at all post offices for an annual rental fee, and the other is by house delivery. Delivery times are variable, but CDM has introduced a service called Correio Azul, which is speedier than basic services. CDM has a monopoly of reserved postal services (universal mail services and postal financial services), and offers financial services, aimed at the micro-finance market and the payment of pensions. A number of private operators have been given licences to offer express mail services in urban areas (for example, DHL), in addition to those proposed by CDM.

3 Transport

1 Maritime transport, ports, and railway services[111]

Mozambique is served by four shipping companies, of which one is Navinter, the privatized state enterprise. Maritime transport is through the three main commercial ports: Maputo, Beira, and Nacala. Apart from containers, the main commodities handled in Maputo are coal, alumina (imported) and aluminium (exported), ferro-chrome, cereals, and sugar; Beira handles mainly cereals, granite, fuel, fertilizers, and ferro-chrome; while Nacala handles mainly fuel, clinker, and fertilizers. Between 2001 and 2006, the volume of freight handled through these ports increased (Table IV.9). As Mozambique is a strategic gateway to neighbouring countries, each port is linked to a rail and road transport "corridor", established on the basis of bilateral transport agreements, including with landlocked Zimbabwe, Malawi, and Zambia. Trucks and railway links are used to transport the mineral production to these ports, for onwards shipping. The National Railway System (Caminhos de Ferro de Moçambique, CFM) consists of three subsystems: CFM-South, CFM-Centre and CFM-North. CFM-South, the main railway line, carried 1.5 million liquid tonnes of cargo in 2007, while CFM-Centre carried just 290,000 liquid tonnes and CFM-North carried 114,000 liquid tonnes.[112]

Table IV.9

Port traffic, 2001-06

|Port |

|BANCO DE MOÇAMBIQUE (UNDATED A), MONETARY POLICY MEDIUM-TERM AND LONG-TERM STRATEGY. VIEWED AT: [23 |

|JULY 2008]. |

|BANCO DE MOÇAMBIQUE (UNDATED B), QUESTIONS AND ANSWERS. VIEWED AT: MTNOVAFBROUK.PDF [23 JULY 2008]. |

|BANCO DE MOÇAMBIQUE (2008), ANNUAL REPORT 2007. VIEWED ONLINE AT: DOCUMENTS/DOI/RELAT2007UK.PDF [10 OCTOBER |

|2008]. |

|BILA, A.T., H. CHAMBAL, AND V. TAMELE (2007), OPPORTUNITIES AND RISKS OF LIBERALIZING TRADE IN SERVICES IN MOZAMBIQUE, ICTSD PROGRAMME ON|

|TRADE AND SERVICES. VIEWED AT: |

|PRODUCTS/MOZAMBIQUE%20COUNTRY%20STUDY%20ON%20TRADE%20IN%20SERVICES%20-%20FINAL.PDF [10 JULY 2008]. |

|BIS (1999), THE PAYMENT SYSTEM IN MOZAMBIQUE. VIEWED AT: MOZAMBIQUE.PDF [26 JULY 2008]. |

|CALDEIRA, J., AND A. FREY (2004), LAND LAW LEGISLATION. VIEWED AT: DOWNLOADS/ LANDLAWLEGISLATION.PDF [2 |

|MAY 2008]. |

|CFM (2006), MOZAMBIQUE PORTS AND RAILWAYS CORPORATE RESTRUCTURING. VIEWED AT: |

|TRANS/DOC/2007/ITC/ITCRT/ITEM3_MOZAMBIQUE.PDF [10 JULY 2008]. |

|CIRESP (2006), ANTI-CORRUPTION STRATEGY (2006-2010). VIEWED AT: MOZAMBIQUE-ANTI-CORRUPTION-STRAT.PDF|

|[28 SEPTEMBER 2008]. |

|COMMONWEALTH SECRETARIAT (UNDATED), SUGAR EXPORTS IN MOZAMBIQUE. VIEWED AT: . |

|GTINFORMATION/164419/164962/165014/SUGAR_EXPORTS_IN_MOZAMBIQUE/ [22 JUNE 2008]. |

|CUTS INTERNATIONAL (2006), MOZAMBIQUE: COMPETITION REGIMES IN THE WORLD – A CIVIL SOCIETY REPORT. VIEWED AT: |

|WWW.DOCUMENTS/MOZAMBIQUE_PCP.DOC [26 MAY 2008]. |

|DFID (2006), MOZAMBIQUE: ROAD SECTOR PERFORMANCE. VIEWED AT: COUNTRIES/AFRICA/ MOZAMBIQUE/ROADS.PDF [10 JULY |

|2008]. |

|DEWIT, P.V. (2002), "LAND CONFLICT MANAGEMENT IN MOZAMBIQUE: A CASE STUDY OF ZAMBEZIA PROVINCE". VIEWED AT: |

| [29 JULY 2008]. |

|ESKOM (UNDATED), "MOZAMBIQUE RECLAIMS CAHORA BASSA". VIEWED AT: |

|CONTENT.PHP%3FITEM_ID%3D892+CAHORA-BASSA&HL=EN&CT=CLNK&CD=7&GL=UK [1 JULY 2008]. |

|EUROPEAN COMMISSION, DG TRADE (2007), UPDATE: INTERIM ECONOMIC PARTNERSHIP AGREEMENTS, 19 DECEMBER. VIEWED AT: |

| [21 APRIL 2008]. |

|EUROPEAN COMMISSION, DG HEALTH AND CONSUMER PROTECTION (UNDATED), IMPORT CONDITIONS FOR FISHERY PRODUCTS. VIEWED AT: |

| [30 JUNE 2008]. |

|FAO (UNDATED), COUNTRY PROFILE: MOZAMBIQUE – ECONOMIC SITUATION. VIEWED AT: |

|COUNTRYPROFILES/INDEX.ASP?LANG=EN&ISO3=MOZ&SUBJ=3 [3 JUNE 2008]. |

|FAO (2005), NATIONAL AQUACULTURE SECTOR OVERVIEW: MOZAMBIQUE. TEXT BY I., OMAR. VIEWED AT: . |

|FISHERY/COUNTRYSECTOR/NASO_MOZAMBIQUE [29 JUNE 2008]. |

|FIAS (2006), STUDY ON THE IMPACT OF TAXES, CUSTOMS, LICENSES AND OTHER FEES ON THE INVESTMENT CLIMATE - MOZAMBIQUE, OVERVIEW, SEPTEMBER. |

|VIEWED AT: |

|RESOURCES_COUNTRYREPORT_MOZAMBIQUEEFFECTIVETAXBURDENSTUDY/$FILE/MOZAMBIQUE+EFFECTIVE+TAX+BURDEN+STUDY.PDF [22 MAY 2008]. |

|GLOBAL ALLIANCE SEGUROS (2007), MOZAMBIQUE INSURANCE ANALYSIS. VIEWED AT: WWW.CGSM.CO.ZA/IMAGES/ |

|FINANCIALS/CGSM_CREDIT%20RATING_2007.PDF [24 JULY 2008]. |

|GOVERNMENT OF MOZAMBIQUE (2001), REPUBLIC OF MOZAMBIQUE: POVERTY REDUCTION STRATEGY PAPER. VIEWED AT: |

| [6 APRIL 2008]. |

|GOVERNMENT OF MOZAMBIQUE (2005), PROPOSTA DE PROGRAMA DO GOVERNO PARA 2005 – 2009. |

|VIEWED AT:   [4 JUNE 2008]. |

|ICTSD (2007), OPPORTUNITIES AND RISKS OF LIBERALIZING TRADE IN SERVICES IN MOZAMBIQUE, JANUARY. VIEWED AT: |

| [23 APRIL 2008]. |

|IFC (2006), THE TOURISM SECTOR IN MOZAMBIQUE: A VALUE CHAIN ANALYSIS, VOLUME 1, FINAL REPORT. VIEWED AT: |

|$FILE/MOZAMBIQUE+-+TOURISM+VAL|

|UE+CHAIN+VOL+1.PDF [2 MAY 2008]. |

|IGEPE (2006), ALINEAÇÃO PARCIAL DA PARTICIPAÇÃO DO ESTADO NA EMOSE. VIEWED AT: WWW.MOZLEGAL. |

|COM/.../DOWNLOAD/452/2499/FILE/IGEPE%20INFO%20FACTUAL%20ALIENAÇÃO%20EMOSE%20JUN%202006.DOC [24 JULY 2008]. |

|IMF (2000), MEMORANDUM OF ECONOMIC AND FINANCIAL POLICIES OF THE GOVERNMENT OF MOZAMBIQUE FOR 2000–01. VIEWED AT: |

| [2 MAY 2008]. |

|IMF (2001), "IMF AND WORLD BANK SUPPORT US$600 MILLION IN ADDITIONAL DEBT SERVICE RELIEF FOR MOZAMBIQUE UNDER ENHANCED HIPC INITIATIVE", |

|IMF PRESS RELEASE NO. 01/41. VIEWED AT: NP/SEC/PR/2001/PR0141.HTM [22 JULY 2008]. |

|IMF (2005), SELECTED ISSUES AND STATISTICAL APPENDIX", COUNTRY REPORT NO. 05/311. VIEWED AT: . |

|EXTERNAL/PUBS/FT/SCR/2005/CR05311.PDF [24 JULY 2008]. |

|IMF (2007A), "FIFTH REVIEW UNDER THE THREE-YEAR ARRANGEMENT UNDER THE POVERTY REDUCTION AND GROWTH FACILITY, AND FINANCING ASSURANCES |

|REVIEW—STAFF REPORT; STAFF STATEMENT; PRESS RELEASE ON THE EXECUTIVE BOARD DISCUSSION; AND STATEMENT BY THE EXECUTIVE DIRECTOR FOR THE |

|REPUBLIC OF MOZAMBIQUE". COUNTRY REPORT NO. 07/36. VIEWED AT: [10 JULY 2008]. |

|IMF (2007B), "REPUBLIC OF MOZAMBIQUE: POVERTY REDUCTION STRATEGY PAPER". COUNTRY REPORT NO. 07/37. VIEWED AT: |

| [6 APRIL 2008]. |

|IMF (2007C), "SELECTED ISSUES", SECTION II. COUNTRY REPORT NO. 07/258. VIEWED AT: WWW.EXTERNAL/ PUBS/FT/SCR/2007/CR07258.PDF |

|[20 JULY 2008]. |

|IMF (2007D), "2007 ARTICLE IV CONSULTATION, SIXTH REVIEW UNDER THE THREE-YEAR ARRANGEMENT UNDER THE POVERTY REDUCTION AND GROWTH |

|FACILITY, REQUEST FOR WAIVER OF PERFORMANCE CRITERION, FINANCING ASSURANCE REVIEW, AND REQUEST FOR A THREE-YEAR POLICY SUPPORT |

|INSTRUMENT—STAFF REPORT; STAFF SUPPLEMENT; PUBLIC INFORMATION NOTICE AND PRESS RELEASE ON THE EXECUTIVE BOARD DISCUSSION; AND STATEMENT |

|BY THE EXECUTIVE DIRECTOR FOR THE REPUBLIC OF MOZAMBIQUE", COUNTRY REPORT NO. 07/262. VIEWED AT: |

|EXTERNAL/PUBS/FT/SCR/2007/CR07262.PDF [2 JUNE 2008]. |

|IMF (2008A), "FIRST REVIEW UNDER THE POLICY SUPPORT INSTRUMENT-STAFF REPORT; PRESS RELEASE ON THE EXECUTIVE BOARD DISCUSSION; AND |

|STATEMENT BY THE EXECUTIVE DIRECTOR FOR THE REPUBLIC OF MOZAMBIQUE". COUNTRY REPORT NO. 08/15. VIEWED AT: |

| [22 JULY 2008]. |

|IMF (2008B), "SECOND REVIEW UNDER THE POLICY SUPPORT INSTRUMENT AND REQUEST FOR WAIVER OF NON-OBSERVANCE OF ASSESSMENT CRITERIA; STAFF |

|STATEMENT; PRESS RELEASE ON THE EXECUTIVE BOARD DISCUSSION; AND STATEMENT BY THE EXECUTIVE DIRECTOR FOR THE REPUBLIC OF MOZAMBIQUE", |

|COUNTRY REPORT NO. 08/220. VIEWED AT: [22 JULY 2008]. |

|INCAJU (2007), REUNIÃO ANUAL DA AFRICAN CASHEW ALLIANCE (ACA), SUBSECTOR DO CAJU EM MOÇAMBIQUE, EVOLUCAO E PERSPECTIVAS, MAPUTO, MARCH. |

|VIEWED AT: PRESENTATION_MOZAMBIQUE_BY_INCAJU.PDF [29 JUNE 2008]. |

|INE (2006), "RESULTADOS DO PRIMERIO INQUÉRITO NACIONAL AO SECTOR INFORMAL (INFOR – 2004)". VIEWED AT: |

| INQUERITOS_DIR/INFOR/ [6 APRIL 2008]. |

|KPMG (UNDATED), BANKING SURVEY 2006. VIEWED AT: SOBRE_O_SECTOR_BANC_RIO_EM_MO_AMBIQUE [10 |

|JULY 2008]. |

|MALAWI REVENUE AUTHORITY (UNDATED), SADC PROTOCOL ON TRADE. VIEWED AT: |

| [2 MAY 2008]. |

|MCEL (2006), FINANCIAL STATEMENTS 2006. VIEWED AT: CONTENT&TASK=VIEW&ID=36&ITEMID=630 [16 |

|JULY 2008]. |

|MINISTRY OF ENERGY (2006), ENERGY STATISTICS 2006, MAPUTO. |

|MINISTRY OF INDUSTRY AND TRADE (1999), TRADE POLICY AND STRATEGY, APRIL, MAPUTO. |

|MINISTRY OF INDUSTRY AND COMMERCE (2007), POLICY AND INDUSTRIAL STRATEGY, JULY, MAPUTO. |

|OPEN SOCIETY FOUNDATION (2006), MOZAMBIQUE: JUSTICE SECTOR AND RULE OF LAW. VIEWED AT: |

|(ENG).PDF [4 APRIL 2008]. |

|PARTNERSHIP FOR HIGHER EDUCATION (2003), SECURING THE LINCHPIN: MORE BANDWIDTH AT LOWER COST. VIEWED AT: |

| [2 JUNE 2008]. |

|PINTER, M.A. (2003), TRANSFORMING MOZAMBIQUE: THE POLITICS OF PRIVATIZATION, 1975-2000, CAMBRIDGE UNIVERSITY PRESS. |

|REPUBLIC OF MOZAMBIQUE (2007), ECONOMIC AND SOCIAL PLAN 2007, MAPUTO. |

|SADC SECRETARIAT (2003), "REGIONAL INDICATIVE STRATEGIC DEVELOPMENT PLAN". VIEWED AT: [10 |

|JULY 2008]. |

|TRADE LAW CENTRE FOR SOUTHERN AFRICA (2008), "SOUTHERN AFRICA: PLAN ENDORSED TO MERGE TRADE BLOCS", FEBRUARY. VIEWED AT: |

| [19 APRIL 2008]. |

|UNCTAD (2002), AN INVESTMENT GUIDE TO MOZAMBIQUE. VIEWED AT: WEBFLYER.ASP?INTITEMID=2673&LANG=1 [9 |

|JUNE 2008]. |

|UNDP (2007), HUMAN DEVELOPMENT REPORT 2007/08. VIEWED AT: 20072008_EN_INDICATOR_TABLES.PDF [21 JULY |

|2008]. |

|UNEP (UNDATED), COUNTRY PROFILE: MOZAMBIQUE. VIEWED AT: |

|PROFILE/ENVIRONMENTAL-GOVERNANCE/LAW/TREATIES [2 MAY 2008]. |

|USAID (2004), Removing Obstacles to Economic Growth in Mozambique, Vol. 2. Viewed at: |

|files/Mozambique_dtis_vol2-dec04.pdf [2 May 2008]. |

|USAID (2006a), Aviso 2 New Import and Export procedures. Viewed at: page.php?cat1=117&cat2=262&cat3=545 [26 July|

|2008]. |

|USAID (2006b), Improving the Competitiveness of the Timber and Wood Sector in Mozambique. Viewed at: |

| ENG&cat1=117&cat2=262&cat3=523 [3 June 2008]. |

|USAID (2006c), Liberalization of Mozambique’s Aviation Policy. Viewed at: .../605/ |

|3042/file/Liberaization%20in%20Aviation%20Policy%20Recover%20%5BDec%202005%5D.pdf [10 July 2008]. |

|USAID (2006d), Memorandum on Action Plan for CNELEC Operations in Mozambique. Viewed at: |

| [1 July 2008]. |

|USAID (2006e), PEX Strategy Report. Viewed at: 262&cat3=543 [2 October 2008]. |

|USTR (2007), 2007 Comprehensive Report on U.S. Trade and Investment Policy Toward Sub-Saharan Africa and Implementation of the African |

|Growth and Opportunity Act. Viewed at: |

|assets/Trade_Development/Preference_Programs/AGOA/asset_upload_file762_11294.pdf. [21 April 2008]. |

|WHO (2003), MSF, UNAIDS, WHO: Surmounting Challenges: Procurement of Antiretroviral Medicines in Low- and Middle-Income Countries, The |

|Experience of Médecins Sans Frontière, "Mozambique". Viewed at: |

| [5 May 2008]. |

|WIPO (2007), WIPO Guide to Intellectual Property Worldwide:Country Profile, "Mozambique". Viewed at: |

| [2 June 2008]. |

|World Bank (undated) Mineral Resources Management Capacity Building Project. Viewed at: |

|

|001808 [28 June 2008]. |

|World Bank (1999), "Mozambique - Agricultural Sector Public Expenditure Program Project (PROAGRI)", Report No. 18862 MOZ. Viewed at: |

| |

|64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&entityID=000094946_99031910572679 [2 July 2008]. |

|World Bank (2002), Mozambique Country Procurement Assessment Report, Volume II, May. |

|World Bank (2006), Evaluation of the Proposed Changes to the LaborLabour Law in Mozambique. Viewed at: |

|corporate/legislation_portal/labour_legislation [21 April 2008]. |

|World Bank (2008), "Doing Business: Mozambique". Viewed at: ExporeEconomies/?economyid=133 [14 October |

|2008]. |

|WRI (2003), Coastal and Marine Ecosystems – Mozambique. Viewed at: [3 June 2008]. |

|WWF (2004), "TEDs Today, Turtles Tomorrow in Mozambique", Marine Turtle Update, Number 1 -November 2004. Viewed at: |

| [30 June 2008.]. |

|Yaeger, T. (2005), The Mineral Industry of Mozambique. Viewed at: pubs/country/200 [2 June 2008]. |

-----------------------

[1] The main sources for this section are: CEPAGRI (2006); Republic of Mozambique (2007); WRI (2003); FAO (undated); and USAID (2004) Vol. 2, Chapter 10.

[2] According to CEPAGRI (2006), the share of smallholders that use inputs is: access to credit (4%); access to price information (30%); access to extension services 15%; use of fertilizer (4%); use of irrigation (4%); use of pesticides (5%); use of animal traction (10%); use of vaccination services for cattle (cattle-owners) (62%).

[3] Government of Mozambique online information, "Crise alimentar pode ser oportunidade para relançar produção", 28 April 2008. Viewed at: nots_ag_242_abr_08 [2 June 2008].

[4] The programme on cereals is designed to expand the production of cereals and milling capacity to reduce imports of rice, wheat, and flour; the programme on beans and soja is designed to support expanded production of animal feed; the programme on roots and tubercles is intended to encourage production and consumption of potatoes in urban areas, and to support the animal feed industry; and the programme on horticultural products in "green zones" is intended to supply proximity markets where demand for such products is greatest.

[5] World Bank (1999).

[6] Donors have also financed other projects such as rural water supply off-budget.

[7] The World Bank has found such services to be especially significant in expanding agricultural production in Mozambique, raising incomes by about 8.4% (World Bank, 1999).

[8] Resolution No 15/98 of 22 September 1998.

[9] Law No. 13/99 of 1 November 1999. Ebizguides online information, "Mozambique: INCAJU: Cashew Promotion Institute". Viewed at: ? sponsor=285&country=1 [29 June 2008].

[10] Law No. 19/97 of 1 October 1997. An explanation of the law and regulations is available in Caldeira and Frey (2004).

[11] DeWit (2002).

[12] World Bank (1999).

[13] WFP online information. Viewed at ? country=508 [10 July 2008].

[14] Sources for this section include USAID (2004); and Commonwealth Secretariat (undated).

[15] The State is a minority shareholder in the sugar companies of Sena (5%), Mafambisse (25%), and Xinavane (12%). The Mafambisse and Xinavave companies are majority owned by Tongaat-Hulett of South Africa, vertically integrated with the South African sugar mills. Illove owns the Maragra sugar company.

[16] AfricaNews, "Mozambique set to rise sugar production", 18 June 2008. Viewed at: . com/site/list_messages/18978; and "Tongaat-Hulett Group to expand sugar production in Mozambique for the EU market", 25 January 2007. Viewed online at: . co.za/imc/sens/sens_display.asp?yr=2007&sens=70 [10 October 2008].

[17] Engineering News, "Procana ethanol project, Gaza, Mozambique", 20 June 2008. Viewed at: [10 October 2008]; "Mozambique President sets biofuels objectives: no diversion of food production, all refining in Mozambique". Viewed at: [10 October 2008]; and "PETROMOC to JV in $400 million sugarcane ethanol project in Mozambique", 18 March 2008. Viewed at: blog2/2008/03/18/petromoc-to-jv-in-400-million-sugarcane-ethanol-project-in-mozambique/ [10 October 2008].

[18] IMF (2000).

[19] Information provided by the authorities.

[20] USAID (2004).

[21] Decree No. 8/91 of 23 April 1991, and its regulations in Ministerial Diploma No. 91/94 of 29 June 1994. The system of closed concessions was relaxed in 2000 to allow the farmer to sell cotton to a company other than the concessionaire, provided no inputs had been received. The authorities are considering a revision to these regulations to reduce the term of concessions to 5-10 years, expand private ginning capacity, and enlarge the opportunities for farmers to sell cotton outside the concession regime.

[22] Information provided by the authorities.

[23] Ministerial Diploma No. 176/2001 of 28 November 2001.

[24] Article 22 of Ministerial Diploma No. 176/2001 of 28 November 2001.

[25] Decree No. 37/2002 of 11 December 2002.

[26] INCAJU (2007).

[27] Mozambique News Agency, AIM Report No. 331, 18 December 2006. Viewed at: . .uk/mozambique-news/newsletter/aim331.html [29 June 2008].

[28] Mozambique News Agency, AIM Report No. 357, 21 April 2008. Viewed at: . org.uk/mozambique-news/newsletter/aim357.html#story8 [29 June 2008].

[29] Mozambique News Agency, AIM Report, No. 117, 8 September 1997. Viewed at: . .uk/mozambique-news/newsletter/aim117.html [29 June 2008].

[30] Decree No. 33/2003 of 19 August 2003.

[31] The principal sources for this section are: Alfonso (2004); and FAO (2005).

[32] The list of establishments that meet EC sanitary requirements may be consulted at: [30 June 2008]. The EC policy is outlined in Health and Consumer Protection Directorate online information, "Import conditions for fishery products". Viewed at: [30 June 2008].

[33] Law No. 3/90 of 26 September 1990.

[34] Decree No. 43/2003 of 10 December 2003.

[35] Alfonso (2004).

[36] WWF (2004).

[37] Decree No. 35/2001 of 11 November 2001.

[38] Europa Press Release IP/06/1898, "EU and Mozambique initial new fisheries partnership agreement", 22 December 2006. Viewed at: 1898&format=HTML [30 June 2008].

[39] The main source for this section is USAID (2006).

[40] Law No. 10/99 of 7 June 1999.

[41] Decree No. 12/2002 of 6 June 2002.

[42] Table II, Decree No. 12/2002 of 6 June 2002. These are: Mt 2 million for precious tropical woods; 500,000 for Class 1; 300,000 for Class 2; 200,000 for Class 3; 100,000 for Class 4. Local communities are in principle to receive a 20% revenue share, but there appear to be difficulties in practice in the implementation of this requirement.

[43] The main source on the state of resources is Yaeger (2005).

[44] Mozambique News Agency, AIM Report, No. 316, 14 March 2006.

[45] Law No. 13/2007 of 27 June 2007. Regulations were issued in February 2008.

[46] Information on Extractive Industries Transparency Initiative (EITI). EITI online information. Viewed at: [9 April 2008].

[47] Law No. 14/2002 of 26 June 2002 and its regulations contained in Decree No. 62/2006 of 26 December 2006.

[48] Direção Naçional de Minas online information. Viewed at: [28 June 2008].

[49] Decree No. 17 of 24 June 2005.

[50] Decree No. 26 of 20 August 2004 and the Ministerial Diploma No. 189 of 14 December 2006.

[51] Law No. 11/2007 of 27 June 2007 revoked Articles 27 to 31 of Law No. 14/2002 of 26 June 2002.

[52] Article 16, Law No. 11/2007 of 27 June 2007. For prospection and research licences, the surface tax rises from Mt 250,000/km2 in year one to Mt 3 million/km2 in years nine and ten. For mining concessions, the surface tax is Mt 2.5 million for years one to five, and Mt 5 million thereafter.

[53] Decree No. 16/2005 of 24 June 2005. According to Article 8, the fees are: Mt 10 million for persons engaged in purchasing minerals from artisanal producers for jewellery manufacture; Mt 15 million for persons minerals from artisanal producers for onward sale to the processor; and Mt 25 million for a licence to engage in purchasing minerals from industrial mines to sell or process.

[54] Law No. 3/2001 of 21 February 2001 and its regulations are contained in Decree No. 24/2004 of 20 August 2004.

[55] Decree No. 26 of 20 August 2004 and the Ministerial Diploma No. 189 of 14 December 2006.

[56] Law No. 12/2007 of 27 June 2007 revoked Articles 24 and 25 of Law No. 3/2001 of 21 February 2001.

[57] Ministry of Energy (2006).

[58] IMF Country Report No. 07/36; and IMF Country Report No. 08/15. Viewed at: [22 July 2008].

[59] Decree Nº1/97 of 28 January 1997.

[60] Ministry of Energy (2006).

[61] Law No. 63/2006 of 26 December 2006.

[62] Article 19, Law No. 63/2006 of 26 December 2006. Fees are: Mt 250,000 for production, and the operation of storage or port facilities; and Mt 350,000 for distribution.

[63] Article 32 of Law No. 63/2006 of 26 December 2006.

[64] Chapter V, Law No. 63/2006 of 26 December 2006.

[65] The State obtained 85% of the facility from the State of Portugal in 2005 for US$950 million. The balance remains held by the State of Portugal (ESKOM, undated).

[66] Ministry of Energy (2006).

[67] The main reason for Mozal’s imports of electricity is that Cahora Bassa, which produces most of Mozambique’s electricity, is far away from Maputo, where Mozal is located. Thus, Mozal buys its supplies from the South African electricity grid, via ESKOM, while Cahora Bassa exports to neighbouring countries.

[68] Law No. 21/97 of 1 October 1997.

[69] Decree No. 25/2000 of 3 October 2000.

[70] USAID (2006d).

[71] Decree No. 29/2003 of 23 June 2003.

[72] Decrees No. 72/98, 73/98, and 74/98 of 23 December 1998.

[73] CRA online information. Viewed at: [2 June 2008].

[74] Owned by Saur International (38.5%), IPE-Aguas de Portugal (31.5%), and Mazi-Mozambique (30%), a national consortium of investors. PR Newswire, "Saur International signs Water Supply Contract in Mozambique". Viewed at: [1 July 2008].

[75] Mozal 1, the US$1.34 billion development launched in 1998, was the biggest single investment project ever undertaken in Mozambique. It opened on 29 September 2000. The Mozal 2 expansion project, approved in June 2001, increased the output of the smelter from 253,000 to 506,000 tpa of primary ingots. BHP Billiton is Mozal’s operator and has a 47.1% interest in the joint venture. The other partners are: Mitsubishi Corporation (25%), Industrial Development Corporation of South Africa Limited (24%), and the Government of Mozambique (3.9%). BHP Billiton online information. Viewed at: mozal/aboutMozal.jsp [10 July 2008].

[76] Ministry of Industry and Commerce, (2007).

[77] Decree No. 39/2003 of 26 November 2003.

[78] FIAS (2006).

[79] Banco Internacional de Moçambique, Banco Austral, Standard Bank, Banco Comercial e de Investimentos, Banco Internacional de Comércio, SARL União Comercial de Bancos (Moçambique), African Banking Corporation, Banco de Desenvolvimento e Comércio and Banco Mercantil e de Investimento.

[80] Socremo – Banco de Microfinanças, Novo Banco and Banco Oportunidade de Moçambique.

[81] For information on financial service providers, see Banco de Moçambique online information. Viewed at: index.php?menu=T11&lang=po [2 June 2008].

[82] Banco de Moçambique (2008).

[83] KPMG (undated).

[84] IMF (2007c).

[85] It was 12% in May 2008. For the composition of credits in May 2008 see Banco de Moçambique online information. Viewed at: [20 July 2008].

[86] Law No. 15/99 of 1 November 1999. For information on Mozambique’s banking and micro-finance regulations, see Banco de Moçambique online information. Viewed at: ? menu=T15&lang=po [20 July 2008].

[87] Law No. 9/2004 of 21 July 2004.

[88] Decree No. 57/2004 of 10 December 2004.

[89] WTO document GATS/SC/58, 15 April 1994.

[90] Law No. 3 of 21 January 2003.

[91] Law No. 2/2003 of 21 January 2003.

[92] Regulation 42/2003 of 10 December 2003 and Ministerial Diploma 112/2004 of 23 June 2004.

[93] The State still owns 80% of the EMOSE and the remainder is owned by the workers (information provided by the authorities).

[94] Global Alliance Seguros (2007).

[95] TDM online information. Viewed at: [16 July 2008]. TDM is owned by the State (80%) and its employees (20%).

[96] MCel (2006).

[97] Pinter (2003).

[98] Partnership for Higher Education (2003).

[99] Cellular News, "3G Contract Signed in East-African Nation of Mozambique", 29 January 2008. Viewed at: [17 July 2008].

[100] Law No. 8/2004 of 21 July 2004.

[101] Article 70, Law No. 8/2004 of 21 July 2004.

[102] Decree No. 32/2001 of 6 November 2001.

[103] Licensing categories include: fixed telephony; mobile telephony; data transmission and Internet; cable television; and radio. Registration concerns Internet access service providers (ISPs).

[104] Decree No. 64/2004 of 29 December 2004.

[105] Decree No. 63/2004 of 29 December 2004.

[106] Article 39 of Law No. 8/2004 of 21 July 2004.

[107] Decree No. 69/2006 of 26 December 2006.

[108] Ministerial Diploma No. 79/2007 of 11 June 2007.

[109] Resolution No. 13 CA/INCM/20007 of 19 December 2007 sets out the termination rates for TDM, MCel, and Vodacom for 2008 and 2009. The regulation on interconnection is contained in Decree No. 34/2001 of 1 November 2001; it makes reference to the Fourth GATS Protocol on Basic Telecommunications Services.

[110] UK Trade & Investment online information. Viewed at:   appmanager/ukti/countries?_nfpb=true&portlet_3_5_actionOverride=%2Fpub%2Fportlets%2FgenericViewer%2FshowContentItem&_windowLabel=portlet_3_5&portlet_3_5navigationPageId=%2Fmozambique&portlet_3_5navigationContentPath=%2FBEA+Repository%2F324%2F226685&_pageLabel=CountryType1 [10 October 2008].

[111] This section is based on: CFM (2006); and Bila, Chambal, and Tamele. (2007).

[112] CFM-South: Maputo-South Africa (Ressano Garcia Line, 88 km), Maputo-Swaziland (Goba Line, 71 km), and Maputo-Zimbabwe (Limpopo Line, 534 km); CFM-Centre: Beira-Zimbabwe (Machipanda Line, 318 km); Dondo–Moatize (Sena line, 545 km); CFM-North: Nacala-Malawi (Nacala Corridor Line, 610 km), Cuamba–Lichinga (Lichinga Line, 626 km).

[113] See Porto Maputo online information, "Joint Announcement of Operations", 24 March 2003. Viewed at: . com/news/portnews0324.htm. CFM owns 49% of the joint venture and a consortium of private companies holds 51% (Mersey Docks and Harbour (18.3%); Skanska (16.33%); Liscont (14.84%); Mocambique Gestores (1.53%)). The consortium pledged to invest US$57 million in the port. Mozambique News Agency, AIM Report No. 192, 9 October 2000. Viewed at: [10 July 2008].

[114] CFM owns 33% of the company and Cornelder Holding owns 67%. The smaller port of Quelimane is also managed by the same operator under a joint venture, Cornelder Quelimane, of which 49% is held by CFM and the remainder by Cornelder Holding (Sturrock Shipping online information, "Port of Beira". Viewed at: . za/upload/saport/file/9_07_PORT_OF_Beira.pdf [10 July 2008]).

[115] CCFB is 49% owned by CFM, with the rest owned by the Indian companies RITES (26%) and Ircon (25%). Jane's online information, "Beira Railway Company (CCFB)". Viewed at: extracts/extract/ jwr/jwr_ a361.html [10 July 2008].

[116] CFM owns 49% of the joint venture. For information on the project, see: [10 July 2008].

[117] DFID (2006).

[118] The unclassified road network is estimated to be 20,000 km; it was due to be mapped in 2007.

[119] In 1997 the concession contract was signed between the Republic of Mozambique, the Republic of South Africa, the South-African Roads Board and TRAC Trans African Concessions (Pty) Ltd.

[120] For information on the Roads and Bridges Management and Maintenance Project (RBMMP), phases I and II, spanning 1992-99 and 1994-2003 respectively, see: EXTERNAL/EXTABOUTUS/IDA/0,,contentMDK:21274208~menuPK:3266877~pagePK:51236175~piPK:437394~theSitePK:73154,00.html [18 July 2008].

[121] ANE online information. Viewed at: [18 July 2008].

[122] USAID (2006c).

[123] Resolution of the Council of Ministers No. 40/2002 of 14 May 2002.

[124] Decree No. 41/2001 of 11 December 2001.

[125] Decree No. 39/98 of 26 August 1998.

[126] IFC (2006).

[127] Mozambique News Agency, AIM Report No. 232, 20 May 2002. Viewed at: . org.uk/mozambique-news/newsletter/aim232.html [10 July 2008].

[128] IFC (2006).

[129] IFC (2006).

[130] The direct contribution of tourism to Mozambique’s economy was estimated by the authorities at 2.5% of GDP in 2003. In comparison, tourism’s share of GDP is about 6.9% on average in sub-Saharan Africa, 8% in South Africa, and 10.2% worldwide (IFC, 2006).

[131] USAID (2004).

[132] South African's are the only tourists who do not require visas for holiday visits; but visas are required for business visits. According to the IFC, competing countries like Brazil, Cape Verde, Mauritius, Seychelles, and Maldives allow visa-free entry to Portuguese, other EC and U.S. tourists, while Mozambique requires a visa in all cases (IFC, 2006).

[133] IFC (2006).

[134] Government Resolution No. 14 of 4 April 2003.

[135] Three types of PATIs are identified: existing destinations (Type A), such as Maputo; existing destinations with limited development (Type A/B), such as Pemba; and existing destinations with no development (Type B), such as Gorongosa National Park.

[136] Law No. 4/2004 of 17 June 2004 replaced Law No. 14/99 of 1 November 1999.

[137] Decree No 41/2005 of 30 August 2005.

[138] Decree No. 40/2007 of 24 August 2007.

[139] Decree No. 41/2007 of 24 August 2007.

[140] UNWTO online information: Viewed at: [10 July 2008].

................
................

In order to avoid copyright disputes, this page is only a partial summary.

Google Online Preview   Download