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Government: Foreign Investment Up by 4% in Last Decade

Government: Foreign Investment Up by 4% in Last Decade

Over the last ten years, the country has seen an increase in Foreign Direct Investment (FDI), from 4.5 per cent to 8.5 per cent of GDP. This information was revealed by the National Development Strategy (ENDE) 2025-2044, recently approved by the Council of Ministers.

According to ENDE, the 2015-19 period saw an average of 4.5 per cent of GDP in FDI, while from 2020-24 this average rose to 8.5 per cent. The statement says that this 4 per cent increase is a reflection of the incentive and stability policies implemented by the government, which aim to attract foreign capital and boost various sectors of the national economy.

ENDE 2025-2044 presents a trajectory for the future, with projections that indicate a growth in FDI. The document predicts that FDI will account for 10.7 per cent of GDP between 2025-29, 20.3 per cent between 2030-34, 38.6 per cent between 2035-39 and 45.9 per cent of GDP between 2040-44.

To achieve these goals, the government has implemented policies and incentives, including the creation of special economic zones, offering favourable tax regimes and guaranteeing stability and legal certainty for foreign investors. These measures are described as fundamental to creating an attractive and competitive business environment.

ENDE emphasises the importance of FDI not only as a source of funding, but also as a means of transferring technology and know-how, which are essential for sustainable economic development and improving the competitiveness of local sectors.

The communiqué also states that the increase in FDI should contribute to regional development, promoting balanced economic growth in different parts of the country through the creation of special economic zones and other strategic initiatives.

The growth in FDI over the last ten years and future projections are presented as a significant step for Mozambique’s economic development, “reflecting the government’s commitment to creating a favourable environment for foreign investment and sustainable growth”, reads the official statement.

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