the process, the country is taking bold steps down the road to greater security
and prosperity. However, tens of thousands of landmines remain and they are
a gruesome threat to civilian safety and rural economic recovery.
2.5
Opportunities
176.
It is encouraging to note the high priority that Mozambique has given to creating synergy between its macroeconomic policy, and especially its national
MDG strategy and its new growth and poverty alleviation strategy, in addressing some of the challenges. The immediate challenge is to consolidate the
country’s hard-won gains by utilising the available opportunities, including its
abundant natural resources and long coastline.
2.5.1
Political Stability
177.
Political stability plays an important role in determining a country’s economic
stability and progress. A stable political regime with a visionary leadership is
able to lead a country to a higher level of growth. In particular, it creates a
healthy economic environment for attracting foreign investment and attaining
high levels of growth.
178.
In Mozambique, there is currently a responsible government in place that enjoys
a significant support base domestically. Institutional capacity building is ongoing
and there is a strong commitment to democratic dispute resolution on the part
of major players. Consensus building towards the common interest of ensuring
the sustainable development of Mozambique will require concerted efforts, effective dialogue mechanisms, as well as participation by all role-players.
179.
Increased exports, foreign transfers, tourist earnings, international aid and FDI
are closely linked with a political regime’s stability. Mobilisation of international financial resources can only be undertaken effectively by a stable government. With its present stable government, Mozambique is in a position to
invest a large amount of capital in human resource development, financed by
international aid and the country’s rising economic growth.
180.
Political stability is, therefore, an important asset that Mozambique can ill afford to waste. Available evidence shows that political stability and sustainable
economic growth are inexorably linked and mutually reinforcing with appropriate policies in place.
181.
The cry for democracy alone does not guarantee social and political stability;
stability should instead be built on social redistribution and the fight against
corruption and power politics. Mozambique should use its current stable political system to mobilise international financial resources and invest a large
amount of capital in developing its human resources.
83