Mozambique
USAID's Strategy in Mozambique
Mozambique’s independence from Portugal in 1975 was
followed by nearly two decades of civil war. In 1992, Mozambique
achieved peace and adopted a new constitution including a
multi-party system of democracy. Since then, the country's
transition to a market-led democracy has been progressing
at a steady pace. Mozambique’s status as an essential
link to global markets for several landlocked neighboring
countries and the potential for growth in its economic ties
to the industrial heartland of South Africa underscore the
fact that the country’s successful economic, political,
and social transitions are vital to the interests of peace,
stability, and economic growth throughout Southern Africa.
USAID programs in health, democracy, agriculture, and economic
growth seek to increase these successes.
IMPROVING HEALTH OF WOMEN AND CHILDREN
Over 60 percent of Mozambicans are without access to health
care, with only 650 doctors nationwide. The projected HIV
prevalence rate for 2004 is 14.9 percent. USAID aims to build
the capacity of the public health system; improve maternal
and child survival, health, and nutrition; and ensure basic
quality health services are increasingly accessible to the
rural poor and management procedures and policies are more
accountable. USAID programs increased the numbers of children
fully immunized by their first birthday from 26 percent in
2002 to 40 percent in 2004. USAID also trained 120 laboratory
staff from more than 30 sites in five provinces in improved
laboratory diagnosis of malaria parasites and vector resistance.
USAID funding supported the operation of 26 voluntary counseling
and HIV testing sites throughout the country providing services
to over 35,900 Mozambicans. Home-based care services were
provided to over 11,800 chronically ill HIV/AIDS patients
by over 6,600 trained volunteers.
STRENGTHENING DEMOCRACY AND MUNICIPAL GOVERNANCE
Although the Government of Mozambique is committed to democracy,
it is also characterized by a strong executive branch, a parliament
dominated by political wrangling between the two main parties,
and a judiciary short on skills, staff, and funds. USAID is
providing civic education to improve citizen understanding
of their rights and responsibilities as well as their awareness
of municipal government authorities. The Agency is working
with Ética Mozambique, the only Mozambican anti-corruption
nongovernmental organization, to establish 10 anti-corruption
centers in the country's provincial capitals. The number of
reported corruption cases increased by 33 percent from FY
2003 to FY 2004.
RAISING RURAL INCOMES
Poverty rates in Mozambique are dropping, going from 69 percent
of households living in poverty in 1997 to 54 percent in 2003,
but there is still a long way to go. USAID is increasing household
incomes through opening access to domestic, regional and global
markets; expanding the number and reach of rural enterprises;
and increasing and diversifying sustainable agriculture output.
Revenues from USAID-financed rural enterprise activities more
than tripled between 2003 and 2004, rising to nearly $8 million
in 2004. Using newly-introduced "best practices,"
farmers in coastal areas of Nampula Province harvested up
to 69 percent more maize per hectare in 2004 than they had
in 2002.
INCREASING EXPORTS
According to the International Monetary Fund, the Mozambican
economy is very open to foreign trade. Traditional exports
such as cotton and cashews have experienced almost no growth,
but total exports have risen dramatically due to large investments
in an aluminum refinery and a natural gas pipeline to South
Africa. Growth prospects are considered favorable. USAID’s
program to increase labor-intensive exports removes constraints
to investment and trade by helping the Government of Mozambique
and the private sector to increase international market access
for Mozambican products; enhance Mozambique’s competitiveness
by reducing the cost of doing business; and increase tourism
and exports in specific sectors such as garments and horticulture.
As a result, import/export clearance times improved from 15
to 3 days, and a new simplified decree on contracting foreign
labor makes it easier for businesses to hire highly skilled
foreigners. This is an essential change in a country working
to build up skilled human resources.
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