The African Development Bank (AfDB) on Wednesday called for an acceleration of business environment reforms in Mozambique, highlighting the need for simplification of economic legislation, stronger institutional coordination, and greater digitalisation of enterprises. The position was presented during a panel at the 21st Annual Private Sector Conference (CASP 2026), dedicated to the theme ‘Business Environment: Reforms to Accelerate Productivity and Economic Competitiveness’.
Speaking during the debate, AfDB representative in Mozambique Rómulo Correia argued that ‘one of the key measures to improve the business environment is the rationalisation of legislative output’, adding that the proliferation of regulations creates uncertainty and discourages investment.
‘The government likes to issue norms, regulations, and decrees. What I would like to see is a coordination mechanism that limits the issuance of new norms and allows for cross-sectoral analysis before their approval,’ Correia said. He added: ‘Investors need predictability. When they know that a regulation enters today, another tomorrow, and a third one later that amends the previous ones, the tendency is to defer investment until there is clarity on the rules of the game.’
For the AfDB representative, regulatory simplification must go hand in hand with the digitalisation of the economy. Rómulo Correia further argued that ‘the modernisation of administrative processes and the integration of small businesses into digital platforms could reduce costs, increase transparency, and facilitate the participation of Mozambican companies in broader value chains’.
João Macaringue, director of the Reform Office at the Ministry of Finance, said the central problem lies in the country’s inability to implement and monitor measures that have already been approved. ‘We have a great capacity to produce laws, but our major shortcoming lies in implementing, monitoring, and ensuring compliance with the laws we create. This is the root cause of the problems that have persisted from 1995 to today,’ he said.
Macaringue argued that before advancing new reform frameworks, the country should revisit previously made commitments and assess the reasons why they were not fulfilled. He also called for a long-term strategic vision and for ensuring continuity of reform processes beyond individual governance cycles. ‘Processes must outlast the tenure of the person leading them. Once that person’s mandate ends, the activity must continue because it serves the public interest,’ he stressed.
In a second high-level panel at CASP 2026, Kekobad Patel, president of the Tax, Customs and International Trade Policy portfolio, offered a critical assessment of the evolution of economic reforms in recent years, advocating for a return to mechanisms of direct dialogue between the government and the private sector. ‘We need to get out of the situation we are in. When we started this process, there was a reform matrix discussed jointly by the private sector and the state, and we met directly with ministers to monitor its implementation. Today we need to recover that dynamic,’ he said.
Patel also criticised the approval of economic legislation without adequate consultation with the business community, warning that regulatory predictability is essential to restore investor confidence. ‘We cannot continue to receive legislation without consultation. We are talking about rules that affect the lives of citizens and businesses. Time is needed for analysis and participation by all economic actors in the country,’ he argued.
CASP 2026 was held under the theme ‘Produce, Transform and Compete: Building a Strong and Resilient Economy’. The event brought together representatives from government, the private sector, development partners, and investors to debate solutions aimed at strengthening the business environment and driving economic growth in Mozambique. The conference also served as a platform to present reforms, investment opportunities, and strategies to enhance the competitiveness of domestic enterprises.
Source: Diário Económico
Original article: https://www.diarioeconomico.co.mz/2026/07/16/negocios/casp-2026-bad-defende-simplificacao-regulatoria-e-digitalizacao-para-dinamizar-negocios/
