Arab Investment Forum – Mozambique


Geographic and Demographic Details

Location: Mozambique is situated on the south-eastern coast of Africa. It borders Tanzania to the north, Zambia, Malawi, and Zimbabwe to the west and south Africa and Swaziland to the south. This location puts the country in a strategic position in the southern African region with its ports giving easy access to international markets and being the first choice for regional importers and exporters. Mozambique has 11 provinces; from north to south: Cabo Delgado, Niassa, Nampula, Tete, Zambezia, Manica, Sofala, Inhambane, Gaza, Maputo Province, and Maputo City.

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Mozambique has both comparative and competitive advantages, which are supplemented with good governance.


Strategic location (as a gateway to the Southern African Development Community, SADC): Providing infrastructure that gives access to land-locked SADC countries (ports, railways, pipelines and roads)


Rich and diverse natural resources: Vast land reserves, mineral resources, water, and a diverse cultural and historical heritage


Abundant labour force: availability of a competitive, educated and easily trainable labour force


Sustainable economic growth: Mozambique is expected to grow in average around 7% every year from 2022, as a result of the LNG Projects and will be one of the fastest growing economies in the Sub-Saharan Africa for years to come


Increased investment into infrastructure: infrastructure development is one of the country’s top priorities and public-private partnerships are encouraged


Access to preferential markets: Signatory to the Trade Protocol of SADC, AGOA (USA), EBAS and the Cotonou Agreement (EU), Africa Continental Free Trade Agreement AfCFTA which provides duty-free/preferential access to the relevant markets


Protection of investments: Investments are adequately regulated by relevant laws. Mozambique has Membership Agreements with of the ICSID, MIGA and ICC; and a signatory to bilateral investment promotion and protection agreements with many countries around the globe including South Africa, Germany, Algeria, Belgium, Botswana, China, Cuba, Denmark, Egypt, USA, USA (OPIC), Finland, France, Indonesia, Italy, Mauritius, the Netherlands, Portugal, Sweden, United Kingdom (UK), Vietnam, Zimbabwe, India, Spain, Switzerland, Japan, Brazil, Singapore and Turkey


Competitive incentives: Fiscal and non-fiscal incentives, agreements to prevent double taxation and fiscal evasion with Portugal, Mauritius, the United Arab Emirates (UAE), the Administrative Region of Macau, Italy, South Africa, Botswana, India, and Vietnam


Good living environment: Sincerity, hospitality, friendliness, delicious food, beautiful beaches.

Mozambique has seen a substantial increase in private investment, reaching nearly US$15 billion in the last five years due to heightened competitiveness. The financing structure of foreign direct investment (FDI) is predominantly composed of commercial loans (80%) and shares/equity (12%). The remaining 8% is allocated to various sectors, such as fishing, electricity, gas, water, finance, public administration, education, and health, showcasing a diverse investment landscape driving the country's economic growth.

Over the past decade, the Mozambican economy has experienced impressive growth, fueled by significant foreign direct investment (FDI) across diverse sectors. Notable areas of investment include agriculture, agro-industry, tourism, infrastructure development, energy, fisheries and aquaculture, industry, mineral resources (particularly coal and gas), and banking, among others.

Where to Invest?

  • In the Development of Agricultural Product Chains
  • In the Development of Fishing and Aquaculture Production
  • In Industrialization through the Processing of products aiming to add value
  • In Support Infrastructures: Electricity, Gas and Water Production and Distribution sector and others
  • In the Exploration of Subsoil Resources and Conservation of Biodiversity
  • In Tourism Development