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Mozambique Real Estate

We offer Mozambique real estate investment information for Maputo, Inhambane, Beira, Quelimane, Cidade de Nacala and Pemba. Scroll down for more information about Mozambique.

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About Mozambique

Mozambique Population: 18,811,731 (July 2004 est.)
Languages: Makhuwa, Tsonga, Lomwe, Sena, numerous other indigenous languages, Portuguese (official; spoken by 27% of population as a second language).
Capital: Maputo
Government Type: Republic
Independence Day: 25 June 1975 (from Portugal)
Legal System: Based on Portuguese civil law system and customary law.
Currency: metical (MZM)

Executive Branch:

Chief of State: President Joaquim Alberto CHISSANO (since 6 November 1986); note - before being popularly elected, CHISSANO was elected president by Frelimo's Central Committee on 4 November 1986 (reelected by the Committee 30 July 1989).

Head of Government: Prime Minister Luisa DIOGO (since 17 February 2004).

American Embassy: Avenida Kenneth Kuanda 193, Maputo
Mailing Address: P. O. Box 783, Maputo
Telephone: [258] (1) 492797 FAX: [258] (1) 490448

General Overview: Almost five centuries as a Portuguese colony came to a close with independence in 1975. Large-scale emigration by whites, economic dependence on South Africa, a severe drought, and a prolonged civil war hindered the country's development. The ruling party formally abandoned Marxism in 1989, and a new constitution the following year provided for multiparty elections and a free market economy. A UN-negotiated peace agreement with rebel forces ended the fighting in 1992. Heavy flooding in both 1999 and 2000 severely hurt the economy. Political stability and sound economic policies have encouraged recent foreign investment.

Economic Overview: At independence in 1975, Mozambique was one of the world's poorest countries. Socialist mismanagement and a brutal civil war from 1977-92 exacerbated the situation. In 1987, the government embarked on a series of macroeconomic reforms designed to stabilize the economy. These steps, combined with donor assistance and with political stability since the multi-party elections in 1994, have led to dramatic improvements in the country's growth rate. Inflation was reduced to single digits during the late 1990s although it returned to double digits in 2000-03. Fiscal reforms, including the introduction of a value-added tax and reform of the customs service, have improved the government's revenue collection abilities. In spite of these gains, Mozambique remains dependent upon foreign assistance for much of its annual budget, and the majority of the population remains below the poverty line. Subsistence agriculture continues to employ the vast majority of the country's workforce. A substantial trade imbalance persists although the opening of the MOZAL aluminum smelter, the country's largest foreign investment project to date has increased export earnings. Additional investment projects in titanium extraction and processing and garment manufacturing should further close the import/export gap. Mozambique's once substantial foreign debt has been reduced through forgiveness and rescheduling under the IMF's Heavily Indebted Poor Countries (HIPC) and Enhanced HIPC initiatives, and is now at a manageable level.

International Disputes: None

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