Despite contributing approximately 11% of national GDP, Mozambique’s blue economy remains constrained by financing gaps, widespread informality, institutional weaknesses and maritime security challenges. Government officials, private sector representatives and development partners are pressing for structural reforms to close the gap between potential and performance.
The blue economy is one of the country’s most significant strategic assets. Mozambique’s maritime space covers roughly 562,000 square kilometres and encompasses vast mineral and ecological resources of critical importance to national productive capacity and economic growth. Some 30% of the population lives along the country’s 2,700-kilometre coastline, of whom 60% depend on the sea for their livelihoods. Yet the country’s maritime potential has so far failed to translate into investment, employment and economic growth at the desired scale.
One of the central concerns raised by experts is the difficulty in structuring projects capable of attracting investment. World Bank economist Manuel Mutimucuio argued that the fundamental problem does not necessarily lie in a shortage of financial resources available on international markets. “Money is a problem, but it is not always the main one. What is often lacking are structured projects, credible institutions and conditions that allow financing to produce results,” he said at the 3rd International Growing Blue Conference.
According to Mutimucuio, Mozambique currently has several strategic instruments designed to drive the blue economy forward, including a Blue Economy Council and a Blue Economy Satellite Account. However, he argued that implementation remains fragmented and insufficiently coordinated.
The economist also drew attention to weak institutional coordination among the various sectors involved in marine resource management. “Development problems cannot be solved by a single ministry. These are challenges that require a whole-of-government and whole-of-society approach,” he said.
Mozambique has vast maritime wealth. The real challenge is no longer to discover the potential, but to transform it into investment, employment and sustainable growth.
A further obstacle identified is the high level of informality. Data presented by the World Bank indicates that roughly half of all economic activity linked to the blue economy operates outside formal channels. “There is no financial institution that will finance an activity that has not been formalised,” Mutimucuio observed.
Should these obstacles be overcome, the outlook appears promising. African Union Commission Chairperson Mahmoud Ali Youssouf stated that Mozambique “has everything it takes to be a champion of the blue economy, not just in the region, but across the entire continent.”
He noted that few African countries simultaneously combine an extensive coastline, a privileged geographic position and access to major international trade corridors. Even so, both the government and international partners acknowledge that an abundance of natural resources alone does not guarantee development.
Private sector demands better business environment
The need to create conditions conducive to investment was equally emphasised by the private sector. Meque Jimo Armando, a representative of the Confederation of Economic Associations of Mozambique (CTA), said that “the private sector needs a stable and predictable legal framework that protects investments and offers confidence.” He identified simplifying licensing processes, modernising infrastructure, improving access to finance and investing in the training of skilled labour as priorities.
In a similar vein, Enea Stocco, representative of the German Agency for International Cooperation (GIZ), argued that investors are above all seeking transparency, reliable information and sound institutions. Stocco noted that sectors such as fisheries and aquaculture continue to face significant constraints related to the absence of cold chain infrastructure, processing units and adequate conservation systems — factors that undermine the competitiveness of domestic producers.
Combating illegal fishing, maritime trafficking and other illicit activities emerged as another major challenge identified by participants at the conference. Minister of the Sea, Inland Waters and Fisheries Augusta Maíta advocated a regional approach to threats that exceed the response capacity of any single country. “The cost of conducting an operation of that nature on a permanent basis is unaffordable within our reality,” she said.
Between ambition and execution
The figures reveal a considerable distance still to be covered. According to data presented by ProAzul board chairman Oswaldo Petersburgo, although the blue economy accounts for around 11% of national GDP, the fisheries sector absorbs only 0.2% of credit extended by the banking system. “This represents a challenge, but also an opportunity to transform the financing structure of the Mozambican economy,” he said.
The disparity between the sector’s economic weight and available financing levels is yet another reflection of existing potential that continues to await stronger institutions, adequate financing, greater security and a business environment capable of converting marine resources into effective development for the country.
Waste management demands attention
National Director of the Environment Samson Guambe warned of “the need to strengthen national capacity for the treatment of hazardous waste” and to prevent marine pollution. Mozambique currently has only one specialised industrial landfill, located in Maputo Province — a situation that forces the transport of waste from regions across the country.
“The great challenge is to mobilise resources to ensure the implementation of new infrastructure in the central and northern regions of the country,” he said. According to Guambe, the government is working to mobilise resources for the construction of new facilities that would bring waste treatment closer to the locations where waste is generated. The measure aims to reduce environmental risks, lower operational costs and strengthen the protection of coastal and marine ecosystems.
Source: Diário Económico
Original article: https://www.diarioeconomico.co.mz/?p=539676
