Mozambique’s transition from a post conflict country to one of Africa’s “frontier economies” has been impressive. After almost 30 years of struggle, the country has made strong progress in economic growth, access to basic services and in democratic development. In spite of domestic, regional and international constraints, Mozambique is achieving development results, demonstrating what aid, debt relief, and strong commitment can achieve in one of the most impoverished countries of the world.
Mozambique’s GDP growth averaged 7.3 percent over the past decade, and is projected to grow 8.5 percent in 2014 and 2015, driven mainly by sustained and sizable foreign direct investment (FDI) in the extractive sector and increasing public expenditure. For the last two years, Mozambique has been the second most preferred destination for FDI in Africa.
Despite this impressive economic growth and progress in key social services, such as health and education, Mozambique only ranks 185 out of 187 countries on the United Nations Development Programme's 2013 Human Development Index. This is mainly due to the lasting impact of the 16-year war of independence and a devastating 16-year civil war that ended in 1992. Currently, about 60 82 percent of Mozambique's population of 25.2 million lives on less than US$2.00/day. Yearly flooding and drought threaten food security and rural livelihoods. Among other obstacles that contribute to ongoing poverty is the deep-rooted lack of equality between women and men.
Mozambique is estimated to have one of the world's largest untapped coal reserves and significant offshore natural gas reserves. The 2012 discovery of nearly 170 trillion cubic feet of natural gas off the northern coast of Mozambique could make it the third-largest gas exporter in the world. Other natural resources include mineral sands, graphite, iron ore and abundant tropical hardwoods. These vast and untapped natural resources can support the development of other sectors, such as agriculture, forestry, energy and tourism. This potential could also transform the country and accelerate its progress toward sustainable development.
Canada works with trusted Canadian, Mozambican and international partners, including the private sector, the government of Mozambique, CSOs, and multilateral organizations to implement its development assistance programming in Mozambique. Through a mix of program delivery modalities, including direct support to the national budget of Mozambique, Canada and other donors assist Mozambique in implementing its Poverty Reduction Action Plan (PARP) (PDF, 662 KB, 42 pages), maintaining its focus on reducing poverty, improving living conditions and enhancing public financial management systems.
In 2014, Mozambique was confirmed as a country of focus for the Government of Canada’s international development efforts. Canada's international development program in Mozambique is directly aligned with the Government of Mozambique's 2011-2014 Poverty Reduction Action Plan.
Canada, one of the lead bilateral donors in Mozambique, is supporting the Government of Mozambique in securing a future for children and youth—by improving education and health (especially health and rights of women and children) and by stimulating sustainable economic growth. Canada will remain a strong champion in promoting equality between women and men in these thematic areas, which are key to reducing poverty in Mozambique.
Children and youth, including health and rights of women and children
Canada focuses on increasing access to and the quality of education, as well as on improving access to quality health care for mothers and children Canada also works with other donors to strengthen the capacity of the ministries of Education and Health so that they can plan, implement, monitor and evaluate their policies and programs in a more effective way.
Key anticipated results
- Improved teacher training, strengthened education system and safer schools with high quality teaching.
- Reduced incidence of disease, stronger health systems and improved nutrition in order to further Canada’s support for health and rights of women and children.
- Economic growth
Canada supports the Mozambican government's programs in economic growth through general budget support, skills training for employment, support for the growth of small businesses and a strengthened regulatory environment, with an emphasis on the extractive sector. To ensure that the Government of Mozambique's programs in education, health, and income-generation can achieve their goals, Canada gives greater emphasis to transparency and accountability measures, including through support to local civil society organizations.
Key anticipated results
- Improved capacity of the Government of Mozambique for budgeting and program delivery as well as the oversight of public finances.
- Increased poverty-focused policies, plans and budgets that integrate key issues, such as the environment, accountability and equality between women and men.
- Improved business climate for the growth of small businesses.
- Increased skills training for individuals and small businesses.
The Government of Mozambique works with donors to ensure that the country's development priorities are supported in a harmonized, effective and efficient manner. The 2011-2014 PARP was endorsed by the donor community. Development assistance in Mozambique is framed by a sophisticated relationship between donors and the Government of Mozambique. Canada is an active and respected donor within this structure, and Canadian influence has had concrete results in the past.
Health and rights of women and children
- Contributed to reducing child mortality from a baseline of 141/1,000 in 2008 to 97/1,000 in 2011 (latest figures). In 2012, Canada’s support resulted in 76,267 children under one year old receiving the vaccination for diphtheria, pertussis, tetanus, hepatitis B, and haemophilius influenzae.
- Helped increase by 1,600 in the Zambezia province the number of women who had institutional deliveries in 2012 (from 55.5% in 2011 to 56.1% in 2012).
- Contributed to procuring and delivering 70,000 long-lasting impregnated nets to approximately 126,000 people who benefited from malaria-prevention measures.
- Contributed to 282,687 HIV-positive adults receiving antiretroviral therapy, exceeding the 2012 target of 282,040. Canada’s funding provided antiretroviral treatment to 7,189 pregnant women to reduce the risk of mother-to-child transmission, slightly below the contribution target of 8,575.
- Helped the Government of Mozambique to procure 17 million textbooks and workbooks providing bilingual education to approximately 592,800 primary school children (47% of which were girls) in Niassa and Cabo Delgado provinces.
- Supplied 6,000 lap desks, an innovative tool used when tables and chairs are not available.
- Contributed to 110,231 new primary students being enrolled (of which 45% were girls), meeting the Government’s target.
- Contributed to the establishment of 908 new schools.
Sustainable Economic Growth
- helped Mozambique become fully compliant with the international Extractive Industries Transparency Initiative standards, providing greater transparency of the revenues collected from companies in the extractives sector.
- Ensured greater accountability in the use of public funds: the proportion of expenditures made directly through the Integrated Electronic Financial Tracking System (e-SISTAFE) grew to 53% in 2012 from 42% in 2011.
- Helped achieve progress in the decentralization of the state budget to provincial and district levels. Approximately 27.6% of the state budget was transferred to the provinces for administration, and 20.8% was transferred to the districts, exceeding the targets for 2012.
- Strengthened public institutions and improved service delivery, particularly in the areas of decentralization, transparency and public administration reform.
- Through policy dialogue and technical support, helped provide gender-disaggregated data for all sectors in the Government’s annual review process
- Contributed to the drafting of Mozambique’s anti-corruption strategy; in 2012, this was followed up with the implementation of the public probity law that prohibits conflict of interest for politicians.
- In 2012, Canada tied with the UK’s Department for International Development (DfID) as the most aid effective donor of the G19 (Government assessment of Program Aid Partners – 2013).
Children and youth including health and rights of women and children
- Recruited and hired 1,688 additional doctors and nurses to improve availability of health care.
- Provided anti-retroviral treatment for 250,000 HIV positive adults.
- Supported a national campaign that vaccinated approximately 4 million children against measles and provided them with Vitamin A supplements.
- Trained 100 tuberculosis clinicians and procured three GeneXpert machines, for improved diagnosis, in Sofala and Manica Province, increasing the number of tuberculosis cases detected and treated.
- Supported the training and hiring of 8,500 new primary school teachers.
- Contributed to a 6.3 percent increase in agriculture production between 2010 and 2011.
- Supported the Mozambican Ministry of Agriculture to provide agricultural advice and services to 534,122 farmers.
- Contributed to the introduction of new anti-corruption legislation, and legal protection for whistle-blowers.
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